, Columnist
Standing Pat Isn't a Long-Term Strategy for Walgreens
Doing nothing is no way for Walgreens to respond to merging competitors and pressured margins.
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As the rest of the health-care industry undergoes a seismic wave of consolidation, Walgreens Boots Alliance Inc. is standing pat.
The pharmacy giant on Wednesday announced profit and sales results for its fiscal second quarter that beat analyst expectations. But good short-term numbers shouldn't overshadow long-term threats. Shares rose 1.3 percent on Wednesday but have fallen 20 percent in the past year. The standalone pharmacy at the core of the Walgreens business model will always have a place. It will just be a place with slower growth and tighter margins.