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We recently published an article titled These 10 Firms Led This Week's Rally. In this article, we are going to take a look at where Walgreens Boots Alliance Inc (NASDAQ:WBA) stands against the other stocks.
Ten companies finished stronger this week, outpacing the broader market thanks to a series of catalysts that lifted investor sentiment.
On Friday, the Dow Jones recorded its largest weekly drop, falling 1.07%, while the S&P's main index and Nasdaq declined by 0.71% and 0.62%, respectively.
Despite a lackluster performance from Wall Street’s major indices, 10 companies demonstrated notable resilience. In this article, we will look at their past week's performance and the reasons that fueled their rally.
To come up with this week's top gainers, we considered only the stocks with at least $2 billion in market capitalization and $5 million in daily trading volume.
A pharmacist discussing the health benefits of a prescription medication with a customer.
Walgreens Boots Alliance Inc (NASDAQ:WBA)
Walgreens Boots Alliance Inc (NASDAQ:WBA) saw its share price week-on-week soar by 27.41 percent to $11.76 from the $9.23 posted a week prior after its executives announced progress improving one of the largest concerns facing the industry—shrinking prescription reimbursement and said that their store-closing plan was progressing better than expected.
According to Walgreens CEO Tim Wentworth, the company succeeded in modifying contracts with commercial insurance firms that pay for prescriptions, including Medicare and Medicaid.
He also announced the company's progress in closing 1,200 underperforming stores, a move that was expected to save Walgreens from incurring further expenses.
In the first quarter of the fiscal year, Walgreens (NASDAQ:WBA) shut down around 70 stores. It plans to shutter around 500 this year. The company runs about 8,500 locations in the US and Puerto Rico, as well as a few thousand stores in Europe and Asia.
Overall WBA ranks 2nd on our list of the firms that led this week's rally. While we acknowledge the potential of WBA as an investment, our conviction lies in the belief that AI stocks hold greater promise for delivering higher returns and doing so within a shorter timeframe. If you are looking for an AI stock that is more promising than WBA but that trades at less than 5 times its earnings, check out our report about the cheapest AI stock.
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Disclosure: None. This article is originally published at Insider Monkey.