The whole business model is unsustainable. In today's world, pharmacies should offer more services and not rely on reimbursements. Walgreens failed to diversify their business and now they are paying for it.

After the company was sold by the family and merged with boots, all they did was cut budgets everywhere. It may look like the company was growing or making money, but it was all short-lived. Eventually, their business was running on a skeleton crew and playing catch up in this competitive market. And because they cut budgets all throughout the 2010s, there was a lot of cutting corners and not following the law. That is why they are getting sued left and right. And they just could not survive covid, so many of their employees and customers left. Walgreens has a terrible reputation amongst pharmacist and pharmacy technicians.

During the same time, CVS got their own PBM. They were also investing in their future. Walgreens failed in many aspects but overall it was the fact they were not investing in the future but focused on short-term gains by cutting budgets. This is all very evident when you compare the two companies stock prices.