The Dividend Aristocrats 2020 provided a return of -1.92% in October as measured by the Dividend Aristocrat ETF (NOBL). View on seekingalpha.com. Earnings-per-share have nearly tripled from fiscal year 2009 to fiscal year 2019, which equates to a CAGR of more than 24% during this time period. Given the business fundamental, the company should have no trouble raising the dividend every year. The S&P Dividend Aristocrats index tracks companies in the S&P 500 that have increased dividends every year for at least 25 years in a row. Published Fri, 15 Sep 2017 17:22:50 -0400 on Seeking Alpha. For example, Walgreens suffered only a slight decline in earnings-per-share during the Great Recession: Walgreens grew earnings-per-share from 2007 to 2010. If you thought that becoming a Dividend Aristocrat was difficult, wait until you hear what it takes to be a Dividend King. Read with Free Trial. Walgreens Is A Dividend Aristocrat. 2020 - Total number of Aristocrats: 65. Since the 2008 financial crisis, the S&P 500 Dividend Aristocrat list has evolved as follows: . The number of consecutive annual dividend increases dating back to 1976 is a big accomplishment. The index is equally weighted, and rebalanced every quarter. These 'dividend aristocrats' are S&P 500 Index stocks growing dividend payouts for 25-plus straight years. Walgreens Boots Alliance is suffering from declining margins and the additional competition by Amazon entering the market is also not great. In other words, they're a … Over the past 10 years, Walgreens held an average price-to-earnings ratio of 16.2. Following this announcement, analysts estimated that somewhere between $75 and $77 might be the price needed to take Walgreens private. Walgreens expects to realize more than $300 million in annual cost savings by 2021. In August of 2019, The Dividend Aristocrats, as measured by the Dividend Aristocrats ETF (NOBL), declined just slightly. Fortunately, as Chuck Carnevale says, "it's a market of stocks, not a stock market." The company recently concluded fiscal 2020 Q1, and the results were mixed. To qualify for membership in the S&P 500 Dividend Aristocrats index, a stock must satisfy the following criteria: Find more details information on this page! Most of the U.S. lives within a short distance of a Walgreens store. For example, if this leveraged buyout were to be completed, it would be the largest in history. WBA's dividend yield, history, payout ratio, proprietary DARS™ rating & much more! Walgreens Boots Alliance: Undervalued Dividend Aristocrat (NASDAQ:WBA) Seeking Alpha. For example, Walgreens acquired over 1,900 Rite Aid (RAD) stores, three distribution centers, and related inventory, for $4.375 billion. As a result, WBA stock is a unique find in today’s market: it is a Dividend Aristocrat that actually offers good value for money. Dividend Aristocrats are companies that have increased their dividends annually. What are Dividend Aristocrats? It has increased its dividend for 44 consecutive years, which easily makes it a Dividend Aristocrat. Hundreds of Rite Aid stores were optimized in 2018 and 2019. Dividend Aristocrat #2: Walgreens Boots Alliance Inc (NASDAQ: WBA) The 52-week low for Walgreens is $36.65 and is currently trading just over $40. To be included in the Dividend Achievers Index, a stock must be a member of the S&P 500 and meet certain size and liquidity requirements. Now Related Stories. Find the latest dividend history for Walgreens Boots Alliance, Inc. Common Stock (WBA) at Nasdaq.com. Furthermore, there are significant cost synergies to accelerate earnings growth from the acquisition. ... Dividend Aristocrat Johnson & Johnson (JNJ) announces 6.1% dividend increase – Q1 2020 results April 14, ... Walgreens Boots Alliance Inc (WBA) rise on buy-out November 6, 2019. Dividend Aristocrat AbbVie (ABBV) dividend … This is a benefit of a profitable company with a discounted share price–it can use excess cash flow to repurchase its own shares at a significantly lower price. This shows that Walgreens continues to be the go-to retailer for pharmacy products and services. Current Dividend Per Share Annualized: $1.87 Walgreens Boots Alliance (WBA) Intrinsic Value – Margin of Safety Analysis (updated December 2020) One negative point from the quarter was that Walgreens lost market share by 55 basis points, to 20.9%. Perhaps even more impressively, Walgreens has … Unsurprisingly, the dividend aristocrats have been income investor favorites. What Do the Symbols on the U.S. $1 Bill Mean? This includes the following 7 new additions. Reviewing historical data on each dividend aristocrat is one thing, but understanding their future dividend growth potential and business outlooks is even more important. This list of stocks is officially tracked by the ratings company. Walgreens still has a strong market position and balance sheet. Click here to download your Dividend Aristocrats Excel Spreadsheet List now, 2008 earnings-per-share of $2.17 (6.9% increase), 2009 earnings-per-share of $2.02 (7.2% decline), 2010 earnings-per-share of $2.16 (6.9% increase). The first competitive advantage for Walgreens is its scale. Eleven Dividend Aristocrats That I Like Now. Separately, Walgreens benefits from a strong brand, and operates in a stable industry. WBA's most recent quarterly dividend payment was made to shareholders of record on Friday, December 11. A Dividend Aristocrat is a group of more than five dozen S&P 500 companies that have raised their annual dividend for at least 25 consecutive years. Average yield for the Dividend Aristocrats is ‘just’ 2.5%, which seems low given the minimum 20 years that the company has raised its dividend. As they age, consumers will have higher demand for healthcare products and prescriptions. It operates retail pharmacy store chain in the United States. Consider this: Trading at $70.74 per share at the time of writing, Walgreens Boots Alliance has a price-to-earnings (P/E) ratio 13.54 times. Finding great dividend stocks is hard work. ... making it a Dividend Aristocrat. Jan. 1, 2021 12:07 PM ET | Includes: AbbVie Inc. (ABBV), AFL, APD, BDX, CB, CVX, LOW, MKC, NUE, TGT, WBA. Consider this: Trading at $70.74 per share at the time of this writing, Walgreens Boots Alliance has a price-to-earnings (P/E) ratio of 13.5 times. But due to Walgreens’ slower growth and current headwinds, we have a 2025 price-to-earnings ratio target of 12 for the stock. As a result, the stock trades for a price-to-earnings ratio of 9.0. Since Walgreens and Rite Aid have nearly identical operations, Walgreens can eliminate duplicated functions across the business. As a result, Walgreens stock appears to be undervalued, relative to both the broader market as well as its own historical averages. If shares were to expand to meet our target valuation, investors would see an additional 5.9% added to annual returns over the next five years. Dividend Aristocrat Walgreens Boots Alliance Inc. (WBA) is a pharmacy led health and wellbeing company. Plus, due to the share price decline over the past year, Walgreens stock yields 3.4% today. Walgreens Boots Alliance: A Dividend Aristocrat Held By Bill Gates. Next up is pharmacy giant Walgreens Boots Alliance (WBA). For fiscal 2020, Walgreens expects adjusted earnings-per-share of $6.00 at the midpoint, with flattish earnings-per-share growth expected year-over-year. Finally, Walgreens has been a dividend aristocrat with constant dividend increases. In this presentation, we’ll give you 10 dividend aristocrat stocks you can invest in right now. The company has an impressive track record of increasing dividends by … It outperformed the S&P 500 that provided a return of -2.66% in October. In addition, its international segment saw a 2.7% decline in sales due to ongoing soft market conditions in the U.K. As a result, it is very difficult for competitors to take market share. Walgreens assumed the real estate obligation, but did not assume any debt f… Summary. Walgreens assumed the real estate obligation, but did not assume any debt from Rite Aid. Quality blue-chip bargains are always on sale, and here's how to find them. Predicted Next Dividend Ex-Date For WBA: February 15th (the typical date would have fallen on a Sunday) This prediction for the WBA next dividend date is extrapolated from past data and therefore may or may not be useful as a future predictor depending on company-specific circumstances. The most recent quarter showed that the company continues to struggle with earnings-per-share growth, but also is taking steps to secure its long term growth prospects through strategic investment. Additionally, WBA is a dividend aristocrat that has increased its dividend consistently for 43 years. This could be a significant event for shareholders, if the deal transpires. The Retail Pharmacy International segment offers retail stores, which sells products of brands No7, Boots Pharmaceuticals, Botanics, Liz Earle, and Soap & Glory. The addition of Rite Aid has allowed the company to grow its prescription drug market share. The Pharmaceutical Wholesale segment supplies medicines, other healthcare products and related services to pharmacies, doctors, health centers, and hospitals. That's roughly a third of what its peers are priced at, and a 25% discount to CAH's own historical forward P/E. A Dividend Aristocrat is a group of more than five dozen S&P 500 companies that have raised their annual dividend for at least 25 consecutive years. Specifically, the U.S. is an aging population. You can see a full downloadable spreadsheet of all 57 Dividend Aristocrats, along with several important financial metrics such as price-to-earnings ratios, by clicking on the link below: Click here to download your Dividend Aristocrats Excel Spreadsheet List now. Dividend Kings. As a result, WBA stock is a unique find in today’s market; it’s a Dividend Aristocrat that actually offers good value for money. We use cookies for a number of reasons, such as keeping our website reliable and secure, personalising content and ads, providing social media features and to analyse how our website are used. NOBL generated total returns of -0.6% in August of 2019 2. As discussed above, the Rite Aid transaction has already helped Walgreens grow earnings. We analyzed the business models, dividend safety, dividend growth, key risks, and more of the dividend aristocrats below. To become a dividend aristocrat, a company must be an S&P 500 component and must have increased its dividend payout every year for at least 25 years. By Sure Dividend Jan 1, 2018, 9:25 am EST December 28, 2017 Deep Dive These ‘Dividend Aristocrat’ stocks have risen up to 24% a year for a decade Published: March 11, 2016 at 7:45 a.m. It modestly outperformed the SPDR S&P 500 ETF (SPY) for the month. Walgreens Is An Anti-Bubble Dividend Aristocrat Set To Soar (NASDAQ:WBA) Seeking Alpha - Brad Thomas. For the first time in over 100 years, we faced a global pandemic that required widespread travel bans, caused millions of businesses to shut their doors, and forced central banks to take unprecedented monetary action to combat a looming global depression. Excluding acquisitions, pharmacy sales and prescriptions still grew 2.5% and 2.8%, respectively. Now Related Stories. #1 - Clorox (NYSE:CLX) Clorox (CLX) - I’m going to start with a couple of stocks that should give investors some capital gain in the short term in addition to its dividend. However, WBA has been able to consistently grow its revenues at a CAGR of 5.7% in the same period, primarily led by growth in its US retail business, which more than offset the deterioration in the company’s international store sales. Still, Walgreens has a strong brand, and it remains an industry leader. The chart below displays the total price return(%) of Walgreens Boots Alliance for different periods: The chart below displays the (CAGR) total return (%) including all dividends paid of Walgreens Boots Alliance for different periods: Helping You Make The Most Of Your Money – Invest Smarter with Dividend. Since the 2008 financial crisis, the S&P 500 Dividend Aristocrat list has evolved as follows: Why should it be part of your core portfolio? A Dividend Aristocrat is a company in the S&P 500 that has paid and increased its base dividend every year for at least 25 consecutive years. The one-year forward dividend yield on WBA’s current stock price stands at 1.9% as of June 28, 2016. This should be your starting point to create your core portfolio. This represents nearly 15% of the current market capitalization of the stock, meaning the buyback could be a significant boost to EPS. In other words, they're a … The Walgreens Boots Alliance (WBA) dividend has been paid continuously since 1972 and increased for 45 consecutive years; qualifying the company as a Dividend Aristocrat and Dividend Champion. It usually pays out 5% yield although it has slowed down recently with declined margins. The company was founded in 1901 and is headquartered in Deerfield, IL. Walgreens Boots Alliance Inc. (WBA) is a dividend aristocrat paying over 25+ years of dividend. View on seekingalpha.com. www.moneyinvestexpert.com Copyright 2011-2020, Dividend Aristocrat Walgreens Boots Alliance…. Pharmacy sales were up 2.9% last quarter, while prescriptions grew 1.4%. Thanks for reading this article. The Dividend Aristocrats List consists of the S&P 500 companies that have increased their dividend for 25 consecutive years or more. We expect it to continue allocating billions of dollars into share repurchases when the current authorization expires. For example, buying one share … This helps earnings stay afloat, even during recessions. Hundreds of Rite Aid stores were optimized in 2018 and 2019. Walgreens reported a 6% decline in adjusted earnings-per-share for the quarter while sales increased 1.6% (up 2.3% on a constant currency basis), thanks to continued growth in the Retail Pharmacy USA segment and a 5.2% increase in the Pharmaceutical Wholesale segment. Additionally, WBA stock has a $34 billion market capitalization and Walgreens generates $139.5 billion in annual revenue. For example, Walgreens acquired over 1,900 Rite Aid (RAD) stores, three distribution centers, and related inventory, for $4.375 billion. Looking out further, Walgreens should continue to grow earnings for the long-term, due to very favorable macro-economic conditions. Walgreens Is An Anti-Bubble Dividend Aristocrat Set To Soar. While the company continues to be plagued by sluggishness and growing competition in the space, there should be plenty of room for growth next year and beyond, thanks to sales growth, strategic initiatives, and the continued integration of the Rite Aid acquisition. Please send any feedback, corrections, or questions to support@suredividend.com. As a result, we believe Walgreens stock is an attractive buy for 2020. The company pays a current dividend yield of 4.63% with a dividend payout ratio of 215%. It makes Walgreens a Dividend Aristocrat. Ticker Trading Ideas Educational Ideas Scripts People Walgreens remains a strong company, with a great brand and positive growth prospects moving forward. It’s currently traded at low 40ish which I think may be undervalued given the potential future growth … Dividend.com: The #1 Source For Dividend Investing. Walgreens has increased its dividend for 44 years in a row. 25 or more years of DIVIDEND GROWTH! WBA's most recent quarterly dividend payment was made to shareholders of record on Friday, December 11. It created a German wholesale joint venture with McKesson (MCK) and formed a group purchasing organization with Kroger (KR) as it believes these strategic partnerships will help it grow its market share and improve its long-term growth outlook. For the Dividend Aristocrats, they need to participate in the economy of the United States, but not be headquartered here. 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