Whole Foods Market (NASDAQ:WFM) shares dove after the company signaled that its days of consistently clocking 8% quarterly sales gains may be numbered. And for a stock that's priced for big growth, that's an important trend for investors to watch. Still, one quarter's results tell us almost nothing about the company's long-term potential, which remains massive.
In the video below, Fool contributor Demitrios Kalogeropoulos argues that, in worrying over the cloudy sales growth issue, investors may have missed much of the good news in Whole Foods' latest results. For one thing, the company's market potential is growing as more consumers look to fill their shopping carts with healthier food options. Next, Whole Foods set a new first-quarter record in profitability, giving it plenty of ammunition to compete on price and win a larger share of this growing market. And finally, the company is seeing strong results with its "365" value brand, which should give it another avenue for growth as it builds on its loyal customer base, he argues.