Drugstore chain, Walgreen Company(WAG) reported a decline in sales on Wednesday for the month of November.
The company reported that November sales declined by 6.2%, much higher than the expected decline of 1.3%. Sales totaled $5.85 billion for the month, a 3.9% decline from last years November sales of $6.09 billion.
Total customer traffic declined by nearly 5%, although customers purchased more inventory on average. Front end sales declined 0.3, along with prescriptions, which declined by 2.9%. Total pharmacy sales also decreased by 4.7%.
Walgreens shares were mostly flat during premarket trading Wednesday. The stock is up 3.66% YTD.
The Bottom Line
Shares of Walgreen Company (WAG) have a 3.21% dividend yield, based on last night’s closing stock price of $34.27. The stock has technical support in the $31-$32 price area. If the shares can firm up, we see overhead resistance around the $36-$37 price levels.
Walgreen Company(WAG) is not recommended at this time, holding a Dividend.com DARS™ Rating of 3.3 out of 5 stars.
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