Based on the aggregated intelligence of 125,000-plus investors participating in Motley Fool CAPS, the Fool's free investing community, grocery store operator Winn-Dixie Stores (NASDAQ:WINN) has received a distressing two-star ranking.

With that in mind, let's take a closer look at Winn-Dixie's business, and see what CAPS investors are saying about the stock right now.

Winn-Dixie facts

Headquarters (founded)

Jacksonville, Fla. (1925)

Market Cap

$530 million

Industry

Grocery stores

TTM Revenue

$7.34 billion

Management

President/CEO Peter L. Lynch (since 2004)
CFO Bennett Nussbaum (since 2004)

TTM Return on Equity

1.4%

Competitors

Safeway (NYSE:SWY)
Wal-Mart Stores (NYSE:WMT)

CAPS members bearish on WINN also bearish on

Palm (NASDAQ:PALM)
Pulte Homes (NYSE:PHM)

CAPS members bullish on WINN also bullish on

Johnson & Johnson
Google (NASDAQ:GOOG)

Sources: Capital IQ, a division of Standard & Poor's, and Motley Fool CAPS. TTM = trailing 12 months.

Over on CAPS, 16 of the 34 All-Star members who have rated Winn-Dixie -- some 47% -- believe the stock will underperform the S&P 500 going forward. These bears include callitabanana and bocards, both of whom are ranked in the top 20% of our community.

In December, callitabanana wrote that the bear case all comes down to cash (or lack thereof): "Great turn around story and groceries are a good defensive area. Price is too high, however, and the cash flows could be better."

In a more recent pitch from last week, bocards writes that the stock's problems go way beyond price:

The only way stores like this can compete with Wal-Mart is too have way better customer service. Right now that just isnt the case. Also, why shop for groceries there when you can go to Wal-Mart and do one stop shopping for less. Here in the Southeast going to Wla-Mart is part of the culture now....I just do not see Winn Dixie being able to take down Wal-Mart or Target (NYSE:TGT). Nice stores only last so long....then what declare bankruptcy again and remodel some more?

What do you think about Winn-Dixie, or any other stock for that matter? Make your voice heard on Motley Fool CAPS today. More than 125,000 investors are waiting to hear what you have to say. CAPS is 100% free, so simply click here to get started.

Fool contributor Brian Pacampara owns no position in any of the companies mentioned. Wal-Mart is a Motley Fool Inside Value pick, Johnson & Johnson is an Income Investor choice, and Google is a recommendation of Rule Breakers. The Fool's disclosure policy always gets a perfect score.