Despite Walgreen's high multiple, I'd keep holding it.
Despite Walgreen's high multiple, I'd keep holding it. That way, you'll hold your risk to a minimum and still have a shot at market-beating returns. Walgreen has also profited from heavy investment in advanced digital photofinishing equipment, which has now started to pay off. Furthermore, the company has a credible plan for continuing to turn in above-average gains.
Nonetheless, to have a balanced portfolio, you need to include successful growth companies as well as defensive shares, comeback plays and income stocks. Sign up for Premium Membership to get our stock recommendations. But for now, at least, Walgreen still has room to expand, particularly in Sunbelt states that are popular with retirees.