WFM

Whole Foods Market Inc

Consumer


Presented:10/01/2015
Price:$31.26
Cap:$11.27B
Current Price:$41.99
Cap:$13.45B

Presented

Date10/01/2015
Price$31.26
Market Cap$11.27B
Ent Value$13.36B
P/E Ratio18.67x
Book Value$11.35
Div Yield1.66%
Shares O/S360.50M
Ave Daily Vol5,540,121
Short Int7.82%

Current

Price$41.99
Market Cap$13.45B
Whole Foods Market, Inc. engages in the retailing business of natural and organic foods. It operates chain of natural and organic foods supermarkets in the United States, Canada, and the United Kingdom. Its product categories include beverages, body care, snacks, frozen, pantry staples, supplements and gift baskets and also eco-scaling cleaning products. The company was founded by John Mackey, Renee Lawson Hardy, Craig Weller and Mark Skiles on September 20, 1980 and is headquartered in Austin, TX.

Publicly traded companies mentioned herein: Costco Wholesale Corporation (COST), Kroger Co (KR), Sprouts Farmers Market Inc (SFM), Target Inc (TGT), Wal-Mart Stores Inc (WMT), Whole Foods Market Inc (WFM) 

Highlights

The presenter is short shares of Whole Foods Market (WFM) and said the specialty, organic grocery chain faces secular challenges due to a structural shift in the industry. Since 2014, WFM’s comps have lagged industry growth, and a combination of increasing competition, price pressure, and the capex required to roll out the new 365 concept should depress earnings. If his forecasts prove to be accurate, WFM earnings could fall short of Street forecasts by as much as $0.50/ share in 2017 and the stock could settle in the mid-$20s.

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Idea Discussion

Commentor 1 - 2 weeks ago

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