Time will tell....good arguments on both sides. I am a holder and will add on weakness with a big grin on my face. The WFM story has more to do with an expanding footprint which will bring in more on the EPS. The fact that foot traffic is also increasing at existing locations is gravy. If that same store sales doesn't grow though, expect multiple contraction....but from what I see, that isn't an issue.
So let me get this straight. The all time high is $99 during good times for the consumer. Now we have austerity measures in the US including the 2% payroll tax increase and higher tax for the upper income bracket. Sequestration is just around the corner and no matter how you look at it, there is no serious proposals to avoid the $1.2 trillion automatic spending cuts that are expected to take effect on March 1. The seriousness of this problem is highlighted by the Defense Dept. canceling the deployment of the US aircraft carrrier Truman and support ships to the Middle East where they always have had two aircraft carrier battle group, now they will be left with just one. Leon Panetta has said the most immediate impact would be 800,000 civilian employees hourly cut by 20% the rest of the year and 46,000 temp workers laid off. Gasoline has been its highest this time of the year. Bottom line more people are watching their budget. In addition, growing competition in the likes of Trader Joes, etc. Everything is about perception as you may know. So the perception going forward is not great for retail including high end grocery stores. What do you think now. I think WFM will sell off after earnings and may even disappoint.
I welcome your bullish sentiment. By the way, did the 2% tax hike and tax increase for higher income bracket affected you? How about the increase in gasoline? Now, you can provide your bullish sentiment.
Not for nothing stox....but have you done your DD on the company? NO. Sure you and everybody else can read the signs at the local gas station and can see a decrease in the pay but you may want to get more familiar with WFM the company before you dabble with a short here....especially since we both know you are 'guessing' more than anything here. FYI, buying AKAM after earnings was easy money.....already steaming back. Sorry if you gambled there as well.
Actually your long rant was #$%$ sentiment!!!!!!You obviously do not know the facts.I will not hit on everything you stated,it all #$%$,because your logic will not effect wholefoods one bit.One thing people do not cut back on is taking care of their health.As a matter of fact,if we take your logic,people will cut back on dining out and shop at wholefoods more to save some cash.The people that shop at whole foods have money and are not concerned about saving a couple of dollars.The unemployment problem is a problem of finding jobs for unskilled workers.There is over 300,000 jobs in the US that cannot be filled,good jobs,because people are not trained or qualified.The people that are effected by the economy do not shop at wholefoods anyhow.The tax hike will not effect the wealthy one bit.Now take your rant someplace else.This slight pullback of whole foods before earnings is just the lull before the storm.After earnings this stock will be significantly over a $100.00 with no sell off below $100,00.Take that to the bank.Actually the economy being bad helps wholefood's business.Can you say 365?