The Premier Stocks For Your Portfolio: Walgreens Boots Alliance Inc. (WBA), Workhorse Group Inc. (WKHS)

Walgreens Boots Alliance Inc. (NASDAQ: WBA) shares are -37.65% down in the year-to-date (YTD) period and have moved -3.31% or -$1.26 lower in the latest trading session. However, stock’s trailing 12-month performance remains nearly +0.71% lower. Comparatively, the stock is -38.51% down YTD and -15.71% over the trailing 3-month period. If we look at the shorter duration, its week performance is -6.94% and -10.52% over the month.

Analyst Recommendations

On April 03, 2020, Deutsche Bank recommended the WBA stock is a Hold, while earlier, UBS had Upgrade the stock as a Neutral on April 06, 2020. 22 analysts offering the recommendations for the stock have a consensus rating of 3.10 to suggest that the WBA stock is a “Hold. 1 of the 22 analysts rate the stock as a “Sell”, while 1 has rated it as “Underweight”. 0 recommend buying, with 1 rating it as an Overweight.

The stock currently trades at $36.76 and analysts tracking its performance over the next 12 months have a consensus estimate price target of $42.72. The forecasts give the Walgreens Boots Alliance Inc. stock a price target range of $46.00 on the higher side while at least one analyst think the stock could plunge to a low of $37.00. The two limits represent an upside potential of 20.09% or 0.65%.

Earnings Forecast

Analysts estimate the earnings to decrease -29.10% in the current quarter to $0.97, down from the $1.43 reported in the same quarter a year ago. For the current year, earnings should grow to an average of $4.69, up 1.70% from $5.99 reported last year. Analysts also offered guidance for the next financial quarter, with their average projected EPS at between $0.96 and $1.41. Wall Street estimates earnings per share to be at an average of $5.14 for the next year.

Insider Transactions Summary

According to SEC data, total insider shares purchases at the company stands at 20 over the last 12 months, while SEC filings reveal that there have been 6 insider sales over the same period. Insiders have purchases 554,919 shares while those sold by company executives and officers stand at 303,422. The last 3 months have seen insiders trade a total of 0 and 0 in purchases and sales respectively.

The EVP, Global CAO and GC had earlier sold another 234,355 WBA shares valued at $14.8 million on Nov 05. The shares were sold at $63.16 per share.

Workhorse Group Inc. (NASDAQ:WKHS), on the other hand, is trading around $20.15 with a market cap of $2.17B and analyst research firms have a positive stance on its shares. Analysts predict that the stock will reach $24.33 and spell out a more modest performance – a 17.18% return. Some analysts are even forecasting -$1.67 per share in earnings this year on a short term (1 year) basis.

Let us briefly look at the Workhorse Group Inc. (WKHS) financials, with a focus on its operating details as indicated in its earnings report for the last quarter.

Company balance sheet and cash flow

WKHS’s operating expenses over the recent quarter were at $6.08 million. This represented a -6505.43% of the company’s total revenues which amounted $92000.0. With this in place, we can see that the company’s diluted EPS declined -$1.76 on the year-over-year period, shrinking to -$0.33 as given in the last earnings report.

In terms of the balance sheet & cash flow as of (Sep 2020), the total assets figure advanced to $55.45 million from $44.25 million over the previous quarter. The cash flow from operating activities totaled -$17.75 million, significantly lower than the -$11.81 million reported in the year-ago quarter. The company’s free cash flow for the quarter was -$18.73 million.

Insider activity

Insiders have transacted a total of 44 times at Workhorse Group Inc. over the last 6 months, with insider purchases undertaken 18 times and accounting for 4,934,667 shares. Insider sales totaled 6,057,862 shares over the same period, with these deals completed in 26 transactions. Looking at these numbers, we realize that net purchases over that period are -8.0 shares. Insiders now hold a total of 21.64M shares after the latest sales, with -1.00% net shares purchased.

Major holders

Insiders own 4.30% of the company shares, while shares held by institutions stand at 22.20% with a share float percentage of 96.82M. Investors are also buoyed by the number of investors in a company, with Workhorse Group Inc. having a total of 74 institutions that hold shares in the company.