Thu, Feb. 12, 1:44 PM
- Morgan Stanley thinks Whole Foods Market (WFM +5%) is seeing a lift from initiatives (online, loyalty, store refreshes) launched by the company.
- The 100 bp jump in traffic and comp growth acceleration in Q4 both point to growing momentum for the grocery store chain, reasons MS.
- Previously: Whole Foods Market beats by $0.01, revenue in-line (Feb. 11)
- Previously: Whole Foods Market delivers 4.5% comp in FQ1 (Feb. 11)
- Shares of WFM printed a 52-week high of $56.77 in trading this morning.
Wed, Feb. 11, 4:12 PM
- Whole Foods Market (NASDAQ:WFM) reports comparable-store sales increased 4.5% in FQ1 vs. 5.4% a year ago and 3.1% last quarter.
- Average weekly sales per store came in at $724K.
- Transactions were 2.3% higher during the period, while the average basket was up 2.2%.
- The EBITDA margin was 8.5%, down 60 bps Q/Q.
- Gross margin rate -20 bps to 34.8% on higher input costs.
- SG&A expense rate -4 bps to 28.5%.
- Guidance: The company reiterates FY15 guidance of +9% sales growth and EBITDA margin of around 9%. FQ2 comps are up 4.9% through February 8.
- WFM +3.25% AH.
Wed, Feb. 11, 4:04 PM
Tue, Feb. 10, 5:35 PM
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Thu, Jan. 22, 7:51 AM
- Cowen Research is out with a report on the natural grocery sector.
- The investment firm leans on a detailed consumer survey in setting ratings in the group.
- The balance between pricing and consumer push-back is crucial in the sector.
- The Fresh Market (NASDAQ:TFM) initiated at Market Perform.
- Whole Foods Market (NASDAQ:WFM) started at Market Perform.
- Sprouts Farmers Market lined up with an Outperform rating.
Wed, Jan. 21, 7:37 AM
- Grocery store chains stand to lose from the decision by the Supreme Court to reject a case on the swipe fee cap, according to analysts.
- Almost 70% of purchases in grocery stores are paid for by consumers with credit or debit cards.
- Operating margins in the industry tend to be very low.
- In some cases, the interchange fee which goes to the processing bank is higher than the profit margin on the grocery item.
- Trade groups repping the grocery industry wanted a cap of $0.07-$0.12, instead of the $0.21 approved by the Fed.
- Previously: Supreme Court passes on looking at swipe fees cap (Jan. 20 2015)
- Grocery store stocks: IMKTA, NGVC, TFM, SFM, SWY, DEG, SFS, WFM, SVU, KR, CASY, WMK, VLGEA.
Tue, Jan. 20, 1:53 PM
- The SEC is in the process of reviewing rules which allow companies to block shareholder proposals if they offer a similar measure.
- The issue has high relevance at Whole Foods Market (NASDAQ:WFM) which stymied an initiative led by shareholders to allow 3% WFM holders to nominate directors to the board.
- A watered-down version of the proposal from the company raised the threshold to 9%.
Fri, Jan. 9, 8:35 AM
- The House passed a bill to redefine a full-time worker under the Affordable Care Act to 40 hours a week from 30 hours.
- The legislation could impact millions of workers as companies adjust hours and employee policies around the issue.
- The measure was passed by a vote total of 252-172.
- Senate Majority Leader Mitch McConnell has indicated the bill will see a vote in his chamber.
- The White House has threatened to veto the bill on its view it will reduce the number of workers covered by healthcare.
- Most industry groups within the restaurant and food industry have issued support for the legislation.
- Related stocks: CAKE, CBRL, CMG, DNKN, DPZ, DRI, EAT, JACK, MCD, PNRA, RRGB, RT, SBUX, SONC, WEN, BWLD, BDL, NATH, LUB, QSR, CHUY, BLMN, PZZA, TXRH, DENN, KKD, BBRG, DFRG, BOBE, RUTH, IRG, DIN, CASY, IMKTA, SFS, KR, WMK, SVU, WFM, SWY, VLGEA, TFM,NGVC, BIG, ZU, TUES, WMT, PSMT, COST, TGT, DLTR, BURL, FDO, DG, FRED, WBA, RAD, CVS, HABT, NDLS, PBPB.
Dec. 31, 2014, 9:43 AM
- The push by large-format stores to downsize gives growing retail chains an easy path to accelerate growth.
- ICSC notes the trend of real estate managers such as DDR Corporation (NYSE:DDR) to remerchandise high-quality space before lease expiration could increase even more in 2015.
- What to watch: Nordstrom Rack (NYSE:JWN), Trader Joe's, Sprouts Farmers Market (NASDAQ:SFM) Dick's Sporting Goods (NYSE:DKS), and Whole Foods Market (NASDAQ:WFM) are expected to continue utilizing sub-leases or reworked leases to add outlets. Fast-fashion retailers Hennes & Mauritz (OTCPK:HMRZF), Fast Retailing (OTCPK:FRCOY), and Inditex (OTCPK:IDEXY) might also take advantage of the trend as they look to increase their brick-and-mortar U.S. presence.
- Previously: Big box retailers expected to follow sub-leasing strategy (Dec. 30 2014)
Dec. 30, 2014, 11:58 AM
- Instacart is now valued at $2B after bringing in $210M from investors.
- The online grocery delivery start-up is expected to clear $100M in revenue this year.
- An expansion outside of mainstream grocery products is expected to be unveiled by Instacart in 2015.
- The developments with Instacart have some bearing on Amazon (AMZN -0.5%) (rival) and Whole Foods Market (WFM +1.2%) (partner).
- Previously: Grocery stores 2.0: Place your bets (Dec. 06 2014)
- Instacart's SEC Form D filing
Dec. 19, 2014, 1:03 PM
- Whole Foods Market (WFM -0.2%) sits in an ideal position to acquire smaller health and wellness chains, according to Sterne Agee.
- The company's FQ4 balance sheet showed it was light on long-term debt.
- Analyst Charles Grom identifies Fairway Markets (FWM +0.7%) and privately-held Earth Fare as potential targets for Whole Foods.
Dec. 15, 2014, 2:08 PM
- It's a volatile day for Whole Foods Market (WFM +0.7%) amid some takeover chatter (Publix today).
- In earlier trading, shares of WFM threatened to hit the $50 mark for the first time since May.
- Back to fundamentals: Despite the focus on the comps reported by Whole Foods, some analysis points to the steady rate of EPS growth the grocery store operator keeps delivering.
Dec. 10, 2014, 10:22 AM
- The S&P 500 Retail ETF (NYSEARCA:XRT) is up 0.3% today despite the negative action in the broader market.
- A forecast for sustained lower oil prices is the major reason for the upswing.
- Top 20 XRT holdings showing gains: Limited Brands (LB +0.6%), Whole Foods Markets (WFM +0.4%), Casey's General Stores (CASY +0.3%), Ross Stores (ROST +0.7%), Kroger (KR +0.9%), Advance Auto Parts (AAP +0.4%), Target (TGT +0.4%), Zumiez (ZUMZ +0.3%), CST Brands (CST +1.3%).
Dec. 6, 2014, 10:24 AM
- Grocery delivery upstart Instacart is raising $100M from new and old investors at a pricing which gives the company a $2B valuation and plenty of cash to fund expansion.
- Sequoia Capital and Andreessen Horowitz have added to their original investments, reports Re/code.
- Instacart, which was started by a former Amazon supply chain engineer, delivers groceries from participating stores to consumers in larger markets within an hour.
- Major retail chains such as Whole Foods Markets (NASDAQ:WFM), Kroger (NYSE:KR), and Costco (NASDAQ:COST) are participating in Instacart's expansion - perhaps playing a little defense against Amazon Fresh (NASDAQ:AMZN) which also has growth plans.
- What to watch: Instacart's simple business model of a personal shopper army and vibrant website contrasts sharply with the distribution/branding might of Amazon Fresh (AMZN), but could end up in the same razor-thin margin predicament ($5.99 for one-hour delivery?). Meanwhile, old-school Kroger (KR) has recorded 44 straight quarters of positive comps and just raised its full-year profit guidance off of solid store execution.
- Related grocery stocks: SVU, SWY, RNDY, SFM, OTCQB:PUSH, TFM, WMT.
Nov. 6, 2014, 10:40 AM
- Organic food sellers rally after a reassuring Q3 report from Whole Foods Market (WFM +10.3%) tips sentiment favorably on the sector.
- There's a thought among retail analysts that lower oil prices are helping to boost traffic.
- Gainers: The Fresh Market (NASDAQ:TFM) +4.8%, Fairway Group (NASDAQ:FWM) +4.8%, Sprouts Farmers Market (NASDAQ:SFM) +1.9%, WhiteWave Foods (NYSE:WWAV) +0.6%.
- Previously: Enthusiasm builds over Whole Foods Markets
Nov. 6, 2014, 9:23 AM
- Whole Foods Market (NASDAQ:WFM) is poised for a rally after Q3 results impressed.
- There's a wave of analysts raising targets and estimates based on the company's outlook, although JPMorgan gets the nod for being ahead of the Street with its call.
- The big takeaway from the WFM earnings report and early look at Q4 is that the strategy by Whole Foods to lower prices amid organic food competition is seeing some benefits with traffic and branding.
- WFM +8.9% premarket
Whole Foods Market Inc is a retailer of natural and organic foods and a Certified Organic grocer. The Company's products include seafood, grocery, meat and poultry, bakery, prepared foods and catering, coffee and tea.
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