Walgreens stock price forecast suggests moderate upside in Q3 2024, with analysts projecting a range of $20.50–$23.30 amid cost-cutting initiatives and an improving retail pharmacy environment. Investors are watching same-store sales growth and prescription volume trends closely. The company also remains in talks with pharmacy benefit managers (PBMs) and health issuers about creating a better reimbursement system that will help stabilize its pharmacy margins and ensure fair payment. The dividend is unlikely to change. The company has already cut its distribution, aiding the downdraft in early 2024, and can sustain itself at the current level with or without Boots in the mix. With Boots in the portfolio, the payout ratio runs roughly 65% of the 2025 and 2024 earnings outlook. That will change with Boots out of the portfolio, but the balance sheet will be injected with capital to offset the increase until earnings growth resumes. Market confidence in Walgreens stock price forecast strengthened after management reaffirmed full-year guidance, hinting at a more resilient retail pharmacy sector.
