Walgreens Boots Alliance initiated with a Market Perform at Leerink

Leerink initiated coverage of Walgreens Boots Alliance with a Market Perform rating and $23 price target. With a new CEO coming to lead the business, the firm sees a renewed and pivoting focus on identifying the best ways to leverage the current sizable asset base in order to generate sustained profit growth and shareholder returns and thinks this adjusted focus, including a holistic review of the entire current portfolio, will likely provide downside support for earnings. However, until the new team is able to lay out a clearer path for the next three to five years of growth, the ultimate stock upside would likely be capped, the analyst tells investors.