sent the pharmacy giant's stock soaring as high as 11% on Wednesday morning. By midday, stocks had settled back down to a 4% uptick.They've been looking for the pharmacy chain to figure out its long-term strategy, and a number of analysts said Brewer has potential to put Walgreens on the right path.
In March, Rosalind Brewer will become the third Black woman in modern history to lead a Fortune 500 company.Brewer's experience in improving customer loyalty, deploying technology, and driving innovation in stores and products is what Walgreens needs, the Baird analysts wrote. They're hoping she can do the same for Walgreens, where operating margins have suffered because of cuts to pharmacy reimbursement, according to an Evercore note.
Walgreens' choice of Brewer "points to a focus Walgreens being a retailer rather than a healthcare provider, and at a time when brick-and-mortar retail is struggling, is this the right strategy?" Tanquilut said in an interview. to care for people with chronic illnesses in between primary-care visits. CVS also boasts 1,100 thousand MinuteClinics.Walgreens, which reported $424 million in net earnings in its fiscal 2020, hasbut continued to partner with health systems to operate clinics inside its stores. It has also saddled up with Microsoft, FedEx and Labcorp in recent years.