Whole Foods to close nine stores

Jon Howard
February 10, 2017

Shares of Whole Foods Market (NASDAQ:WFM) opened at 29.30 on Thursday.

Whole Foods Market, Inc. closed its last trading session at $28.98 with the gain of 1.1%. The stock now has a Market Cap of $8.38B.

Whole Foods Market Inc. will close two Colorado stores - in Boulder and Colorado Springs - as part of a larger restructuring amid sluggish sales. (NASDAQ:WFM) has shown weekly downbeat performance of -1.78%. Barclays Initiates Coverage on the stock to Equal-Weight on 9/23/16 by stationing a price target of $30. Late past year, the company also got rid of its co-CEO structure, making Mackey the sole chief executive.

Net of closures, Whole Foods expects to grow its square footage by 5%, down from the 6% forecast at the end of fiscal 2016. (NASDAQ:WFM) to Hold with a price target of $32. Groups track whether organizations "hit their consensus", simply said, can they thrive to excel given mean target.

Guelph, Ont. -based industry analyst Kevin Grier said the broader grocery retail market in Canada is so enmeshed in a price war right now, there remains little room for Whole Foods to flourish.

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Several sell side analysts reviewed their recommendations on Whole Foods Market, Inc.

Whole Foods announced it will close nine stores following a disappointing first-quarter earnings report, according to Forbes. BlackRock Investment Management LLC now owns 1,122,691 shares of the company's stock worth $31,828,000 after buying an additional 323,156 shares in the last quarter.

In the last Quarter, Whole Foods Market, Inc. During the same period a year ago, the firm posted $0.46 earnings per share. Whole Foods Market makes up approx 0.02% of Dnb Asset Management As's portfolio. WFM has Average True Range for 14 days of 0.53. Top-level EPS estimate is set at $0.44 while low-level EPS estimate among analysts is focused at $0.39. Price changes resulting from an earnings surprise can be felt immediately.

So far, Whole Foods has enjoyed some insulation from this phenomenon, as in many cases it sources perishables, dairy, and meat within long-term contractual arrangements enforcing the company's quality standards, which protects farmers' pricing and stabilizes Whole Foods' costs. In terms of the mechanics underlying that movement, traders will want to note that the stock is trading on a float of 9.17% with $314.90 Million sitting short, betting on future declines. Whereas they predicted High and Low Earnings Estimate as $0.44 and $0.35 respectively. While Mackey doesn't think the grocer always has to be the least expensive option, he does think that the company has to be "price relevant" in order to keep up with the competition. The company's price sits -5.88% below from its 50-day moving average of $30.64 and -4.76% below from the stock's 200-day moving average of $30.12. The broader issue for Whole Foods has been traffic, and a 3.9% decline in that figure represents only a modest improvement from -4.2% in Q4. (NASDAQ:WFM) is now showing its ROA (Return on Assets) of 8%. Similarly, the positive performance for the quarter recorded as 3.35% and for the year was 2.14%, while the YTD performance remained at -4.38%. For the year, the company reported profit of $393 million, or $3.41 per share.

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