Walgreens Boots Alliance Valuation
Is WBA * undervalued compared to its fair value, analyst forecasts and its price relative to the market?
Valuation Score
5/6Valuation Score 5/6
Below Fair Value
Significantly Below Fair Value
Price-To-Sales vs Peers
Price-To-Sales vs Industry
Price-To-Sales vs Fair Ratio
Analyst Forecast
Share Price vs Fair Value
What is the Fair Price of WBA * when looking at its future cash flows? For this estimate we use a Discounted Cash Flow model.
Below Fair Value: WBA * (MX$175.61) is trading below our estimate of fair value (MX$247.22)
Significantly Below Fair Value: WBA * is trading below fair value by more than 20%.
Key Valuation Metric
Which metric is best to use when looking at relative valuation for WBA *?
Key metric: As WBA * is unprofitable we use its Price-To-Sales Ratio for relative valuation analysis.
| What is WBA *'s PS Ratio? | |
|---|---|
| PS Ratio | 0.05x |
| Sales | US$147.66b |
| Market Cap | US$7.49b |
| Key Statistics | |
|---|---|
| Enterprise Value/Revenue | 0.3x |
| Enterprise Value/EBITDA | 13.9x |
| PEG Ratio | n/a |
Price to Sales Ratio vs Peers
How does WBA *'s PS Ratio compare to its peers?
| Company | Forward PS | Estimated Growth | Market Cap |
|---|---|---|---|
| Peer Average | 0.5x | ||
FRAGUA B Corporativo Fragua. de | 0.6x | 10.3% | Mex$70.6b |
BEVIDES B Farmacias Benavides. de | 0.5x | n/a | Mex$8.0b |
CHDRAUI B Grupo Comercial Chedraui. de | 0.5x | 8.1% | Mex$125.8b |
SORIANA B Organización Soriana S. A. B. de C. V | 0.3x | 5.1% | Mex$53.4b |
WBA * Walgreens Boots Alliance | 0.05x | 1.5% | Mex$7.5b |
Price-To-Sales vs Peers: WBA * is good value based on its Price-To-Sales Ratio (0.1x) compared to the peer average (0.5x).
Price to Sales Ratio vs Industry
How does WBA *'s PS Ratio compare vs other companies in the South American Consumer Retailing Industry?
Price-To-Sales vs Industry: WBA * is good value based on its Price-To-Sales Ratio (0.1x) compared to the South American Consumer Retailing industry average (0.4x).
Price to Sales Ratio vs Fair Ratio
What is WBA *'s PS Ratio compared to its Fair PS Ratio? This is the expected PS Ratio taking into account the company's forecast earnings growth, profit margins and other risk factors.
| Fair Ratio | |
|---|---|
| Current PS Ratio | 0.05x |
| Fair PS Ratio | 0.3x |
Price-To-Sales vs Fair Ratio: WBA * is good value based on its Price-To-Sales Ratio (0.1x) compared to the estimated Fair Price-To-Sales Ratio (0.3x).
Analyst Price Targets
What is the analyst 12-month forecast and do we have any statistical confidence in the consensus price target?
| Date | Share Price | Average 1Y Price Target | Dispersion | High | Low | 1Y Actual price | Analysts |
|---|---|---|---|---|---|---|---|
| Current | Mex$175.61 | Mex$217.52 +23.9% | 30.1% | Mex$402.34 | Mex$140.82 | n/a | 16 |
| Nov ’25 | Mex$191.10 | Mex$214.87 +12.4% | 30.6% | Mex$396.51 | Mex$138.78 | n/a | 16 |
| Oct ’25 | Mex$175.02 | Mex$240.15 +37.2% | 36.8% | Mex$451.10 | Mex$137.29 | n/a | 16 |
| Sep ’25 | Mex$181.10 | Mex$260.81 +44.0% | 35.7% | Mex$456.15 | Mex$138.83 | n/a | 16 |
| Aug ’25 | Mex$220.00 | Mex$250.10 +13.7% | 35.3% | Mex$422.37 | Mex$128.55 | n/a | 16 |
| Jul ’25 | Mex$213.39 | Mex$287.34 +34.7% | 32.1% | Mex$428.46 | Mex$165.29 | n/a | 16 |
| Jun ’25 | Mex$276.26 | Mex$383.14 +38.7% | 24.7% | Mex$593.80 | Mex$220.55 | n/a | 16 |
| May ’25 | Mex$304.40 | Mex$396.12 +30.1% | 21.3% | Mex$600.13 | Mex$274.35 | n/a | 17 |
| Apr ’25 | Mex$326.98 | Mex$408.68 +25.0% | 19.2% | Mex$613.03 | Mex$314.80 | n/a | 17 |
| Mar ’25 | Mex$369.79 | Mex$435.31 +17.7% | 17.0% | Mex$632.48 | Mex$341.88 | n/a | 17 |
| Feb ’25 | Mex$396.00 | Mex$445.54 +12.5% | 16.0% | Mex$632.65 | Mex$359.07 | n/a | 16 |
| Jan ’25 | Mex$451.00 | Mex$452.62 +0.4% | 16.5% | Mex$628.58 | Mex$339.77 | n/a | 14 |
| Dec ’24 | Mex$340.00 | Mex$468.82 +37.9% | 16.2% | Mex$642.45 | Mex$347.27 | n/a | 13 |
| Nov ’24 | Mex$370.50 | Mex$497.42 +34.3% | 14.4% | Mex$672.07 | Mex$399.61 | Mex$191.10 | 13 |
| Oct ’24 | Mex$390.99 | Mex$541.51 +38.5% | 16.7% | Mex$719.76 | Mex$386.21 | Mex$175.02 | 13 |
| Sep ’24 | Mex$401.11 | Mex$543.89 +35.6% | 14.2% | Mex$687.65 | Mex$436.07 | Mex$181.10 | 14 |
| Aug ’24 | Mex$500.20 | Mex$550.49 +10.1% | 13.1% | Mex$683.94 | Mex$450.40 | Mex$220.00 | 14 |
| Jul ’24 | Mex$486.00 | Mex$582.06 +19.8% | 12.6% | Mex$701.90 | Mex$479.35 | Mex$213.39 | 15 |
| Jun ’24 | Mex$533.00 | Mex$732.45 +37.4% | 13.4% | Mex$966.37 | Mex$572.67 | Mex$276.26 | 14 |
| May ’24 | Mex$633.00 | Mex$739.74 +16.9% | 12.6% | Mex$970.91 | Mex$629.30 | Mex$304.40 | 14 |
| Apr ’24 | Mex$628.00 | Mex$752.41 +19.8% | 12.6% | Mex$977.35 | Mex$633.47 | Mex$326.98 | 14 |
| Mar ’24 | Mex$637.00 | Mex$771.71 +21.1% | 12.2% | Mex$992.20 | Mex$661.47 | Mex$369.79 | 14 |
| Feb ’24 | Mex$688.00 | Mex$783.98 +13.9% | 12.5% | Mex$1,013.54 | Mex$675.69 | Mex$396.00 | 13 |
| Jan ’24 | Mex$725.00 | Mex$830.33 +14.5% | 13.2% | Mex$1,065.43 | Mex$710.28 | Mex$451.00 | 13 |
| Dec ’23 | Mex$787.50 | Mex$809.80 +2.8% | 13.5% | Mex$1,042.89 | Mex$695.26 | Mex$340.00 | 13 |
| Nov ’23 | Mex$718.00 | Mex$792.01 +10.3% | 9.1% | Mex$956.64 | Mex$697.55 | Mex$370.50 | 15 |
Analyst Forecast: Target price is more than 20% higher than the current share price, but analysts are not within a statistically confident range of agreement.