It’s time for investors to snatch up shares of Walgreens Boots Alliance , according to Loop Capital. Analyst Joseph France initiated coverage of the drugstore operator with a buy rating and $45 price target, saying that Walgreens’ new health care platform should improve services access for its customers. “Over the past two years the company has also lowered its costs and assembled a portfolio of health care providers that we expect to strengthen WBA’s core retail business and accelerate its growth and profitability by increasing its engagement with consumers,” he wrote in a Wednesday note. WBA YTD mountain Shares so far this year The comments from Loop Capital come just weeks after Walgreens topped expectations for the recent quarter and boosted its full-year outlook due in part to its U.S. health-care segment’s acquisition of Summit Health . According to France, most of the upside to Walgreens’ earnings, growth and stock price in the near future should stem from these businesses and an investment portfolio he estimates represents more than half of its $40 billion enterprise value. “Much of our enthusiasm for WBA’s new healthcare business owes to its rollout of a national primary care platform, and the acquisition of new services for institutions and managing care at home,” he wrote, adding that most of this segment’s growth near term should stem from its primary care clinics. These facilities should eventually offer high margins, although a quick opening clip through 2027 could contribute to sizeable losses, he added. So far this year, shares of Walgreens have dipped 3.4%. The firm’s price target implies nearly 25% upside from Wednesday’s close. — CNBC’s Michael Bloom contributed reporting
