We think that CVS Health stock (NYSE: CVS) currently is a better pick compared to Walgreens Boots Alliance stock (NYSE: WBA), despite CVS being more expensive of the two with its P/S ratio of 0.5x compared to 0.3x for Walgreens. Even if we were to look at the P/EBIT ratio, CVS is more expensive trading at 20.4x vs. 8.5x for Walgreens.
Is Walgreens better than CVS?
Year-to-date in 2021, Walgreens has done much better than CVS Health in terms of share price performance, which also partly explains WBA's valuation premium over CVS mentioned earlier.
Which is better CVS or Walgreens?
We think that CVS Health stock (NYSE: CVS) currently is a better pick compared to Walgreens Boots Alliance stock (NYSE: WBA), despite CVS being more expensive of the two with its P/S ratio of 0.5x compared to 0.3x for Walgreens. Even if we were to look at the P/EBIT ratio, CVS is more expensive trading at 20.4x vs. 8.5x for Walgreens.
Is Walgreens bigger than CVS?
Which is bigger Walgreens or CVS? CVS is a larger company than Walgreens with respect to revenue and market capitalization, but Walgreens has a bigger share of the US health & beauty specialist retail market.
Who owns the Walgreens and the CVS?
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- Best in Ease of Use: Humana.
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Why is CVS stock better than Walgreens?
We see that CVS has demonstrated better revenue growth over Walgreens over the last three years. It does not have any extra financial risk compared to Walgreens. However, the latter is more profitable, and it is available at a relatively lower valuation.
Which company is worth more Walgreens or CVS?
Looking at a longer time frame, CVS' sales have jumped from $185 billion in 2017 to $285 billion over the last twelve months, while Walgreens revenues have risen from $118 billion to $135 billion over the same period.
Is CVS stock a good buy now?
CVS stock is still a Buy in my opinion. The stock's forward P/E valuations are attractive in view of expectations of accelerating earnings growth in the intermediate term.
Should you invest in Walgreens?
With solid, consistent fundamentals plus a high dividend yield of 4.2% (three times the size of the S&P 500 average of around 1.4%), this can be a safe buy-and-hold investment to hang on to for the long haul.
Which chain is bigger CVS or Walgreens?
CVS is the US's largest pharmacy chain, ahead of chief rival Walgreens Boots Alliance.
Is Walgreens stock undervalued?
As we can observe, Walgreens is phenomenally undervalued with an over 57% margin of safety to consistently receive a 13% return over the next ten years.
Is CVS a buy or hold?
CVS Health has received a consensus rating of Buy. The company's average rating score is 2.79, and is based on 15 buy ratings, 4 hold ratings, and no sell ratings.
Is CVS overvalued?
Investors may also note in 2020 and 2021, Walgreens' EV-to-EBITDA ratio was about one or two turns higher than CVS Health. When compared to Walgreens, CVS does not appears overvalued.
Is CVS a good growth stock?
CVS is a good addition to your dividend growth portfolio. The company has strong fundamentals, with growth across the board. The management is focused on returning capital to shareholders, and the shares are attractively valued at a current forward P/E of 12.
What is the future of Walgreens?
Walgreens said it will have 85 primary-care clinics in stores by the end of the year. They will be under the name Village Medical at Walgreens. It plans to have at least 600 of the doctor offices in more than 30 U.S. markets by 2025 and 1,000 by 2027.
Is Walgreens a Buy Sell or Hold?
The median P/B ratio for stocks in the S&P is just over 3....Momentum Scorecard. More Info.Zacks RankDefinitionAnnualized Return1Strong Buy25.08%2Buy18.56%3Hold10.15%4Sell5.79%2 more rows
Is Walgreens a good dividend stock?
A strong dividend that's well-protected At its current price, the yield on the dividend is 4.53%, well above the average S&P 500 company's dividend of 1.37%. Over the past 10 years, Walgreens has increased its dividend by 74%.