Based on the aggregated intelligence of 180,000-plus investors participating in Motley Fool CAPS, the Fool's free investing community, natural and organic food retailer Whole Foods Market (Nasdaq: WFM ) has earned a respected four-star ranking.
With that in mind, let's take a closer look at Whole Foods' business and see what CAPS investors are saying about the stock right now.
Whole Foods facts
|Headquarters (founded)||Austin, Texas (1978)|
|Market Cap||$17.5 billion|
|Trailing-12-Month Revenue||$11.1 billion|
|Management||Co-founder/Co-CEO John Mackey
Co-CEO Walter Robb
|Return on Equity (average, past 3 years)||12.1%|
|Cash/Debt||$1.1 billion/$19.1 million|
Sources: S&P Capital IQ; Motley Fool CAPS.
On CAPS, 88% of the 4,824 members who have rated Whole Foods believe the stock will outperform the S&P 500 going forward.
Whole Foods Market still gets 96.9% of their sales from the U.S. The rest of their sales come from Canada and the UK, so they have plenty of room to grow overseas. They only have 307 stores in the U.S so there is room to grow here too. They estimate they can grow to 1,000 stores in the U.S. They have 324 global stores [actually 329].
As always the P/E ratio is on the high-side at 40.27, but it is one we believe will grow for many years. ...
Like [Hain Celestial Group], it is a good way to play the healthier eating trend. They were hurt in the last recession due to the Wild Oat acquisition and the FTC monopoly litigation. Those things are past them now, so I don't see them being hurt similarly by another recession.
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