Whole Foods' Sales & Shares Lose Momentum
Austin, Texas-
By ANUK Staff
2.14.13
After hovering close to the 100 dollar mark last week, Whole Foods stocks have fallen to $87.90.
Whole Foods, America’s largest natural and organic grocery chain, said on Wednesday that sales at established stores have softened from the prior period, and shares fell 6.6 percent after the close.
The company narrowed its 2013 forecast for growth in sales at established stores to a range of 6.6 percent to 8 percent from 6.5 percent to 8.5 percent, according to Reuters.
As the best-performing publicly held U.S. grocer, when Whole Foods’ shares do not exceed expectations, they often dive.
Full year earnings forecasts per share were maintained at between $2.83 and $2.87 despite a lower forecast of gross margins because of efforts to lower prices and attract a broader clientele.
Austin, Texas-based Whole Foods also said first-quarter net income rose 24 percent to $146 million, or 78 cents per share.
Total sales increased 14 percent to $3.9 billion.
Whole Foods selectively passed higher food costs on to shoppers, who continued to switch to pricier items such as exclusive brands and organic products, executives said on a conference call.
