Walgreens Is Soaring on Friday. Here's Why The Beaten-Down Healthcare Stock Bounced.

Core Insights - Walgreens Boots Alliance (WBA) was one of the worst-performing stocks in 2024, dropping by 64% while the S&P 500 rose over 20% due to consumer spending challenges and poor performance in its primary care business [1] - The company reported better-than-expected results for fiscal 2025 Q1, leading to a 26% increase in stock price [2] - Revenue grew by 7.5% year-over-year across all business segments, with adjusted earnings of $0.51 per share, surpassing analyst expectations of$0.37 [3][4] Financial Performance - For the quarter ending November 30, Walgreens achieved 7.5% year-over-year revenue growth, with all segments (U.S. retail pharmacy, international, and U.S. healthcare) showing revenue increases [3] - Adjusted earnings per share were reported at $0.51, significantly higher than the expected$0.37 [3] Management Commentary - CEO Tim Wentworth highlighted disciplined execution of the company's 2025 priorities and controlling operating costs as key factors in the positive results [4] Future Outlook - Walgreens maintained its full-year adjusted earnings per share guidance of $1.40 to$1.80, indicating a valuation of approximately 7.2 times expected earnings at the midpoint [5]