Whole Foods Market 1Q15: The company reported sales growth of just 3.6% well below a consensus forecast of 5.2%. Weaker economic data and in particular outstanding jobs growth and to some extend bad weather conditions explain the drop.
The shares are down about 10% pre-market. Clearly, the shortfall is much greater than anticipated; This level represents a buying opportunity as valuation reached very attractive level. We believe that some of the negative elements will reverse and given the very fluid markets, but at competitive levels, are opportune conditions for WFM to exercise.