UPDATE: Cantor Fitzgerald Downgrades Walgreen on Full Valuation

In a report published Monday, Cantor Fitzgerald analyst Ajay Jain downgraded the rating on Walgreen (NYSE: WAG) from Buy to Hold, but reiterated the $49.00 price target.

In the report, Cantor Fitzgerald noted, “We are downgrading Walgreen to HOLD on valuation with the $49 PT unchanged. We recently took up the price target following better-than-expected 2Q:13 results and based on the positive long-term implications of the announcement with AmeriSource Bergen, with whom Walgreen has a 10-year comprehensive supply agreement. We expect that sales/earnings comparisons will continue to be favorable over the balance of FY:13. While Walgreen is set to report 3Q results on Tuesday, 6/25, the rationale for our rating is not earnings related. Our main issue at this time is that the recent trading range does not warrant enough upside to remain constructive on the stock at this time.”

Walgreen closed on Friday at $48.71.