Whole Foods Continues To Shine, Despite Revenue Mix (WFMI)
Whole Foods Market, Inc. (NASDAQ: WFMI) had traded as though investors were expecting a breather going into earnings. Those earnings are out and it turns out that the company continues to amaze. Earnings came in at $0.51 EPS on revenue…
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For 2011, Whole Foods sees earnings of $1.87 to $1.90 EPS and Thomson Reuters has estimates of $1.80 EPS. It is also backing same-store sales growth of 7.9% to 8.9% and total sales growth 11.7% to 12.6% for the year, both of which are higher than prior guidance. The company maintained its cap-ex expectations at $350 million to $400 million.
During the quarter, Whole Foods generated $149.8 million in cash flow from operations and its total cash and cash equivalents were $721.2 million. Its total debt was only $208.2 million.
The company called this the strongest results it has reported in the past five years and hinted that it is considering other uses for our growing cash balance, including accelerating growth, raising the dividend and repurchasing stock.
Whole Foods stock closed down $0.03 at $59.74 on Wednesday and the 52-week range is $33.96 to $66.87. The after-hours reaction now has shares up almost 5% at $62.35.
JON C. OGG
Contact [email protected] for any questions or corrections.
Jon Ogg has been a financial news analyst since 1997. Mr. Ogg set up one of the first audio squawk box services for traders called TTN, which he sold in 2003. He has previously worked as a licensed broker to some of the top U.S. and E.U. financial institutions, managed capital, and has raised private capital at the seed and venture stage. He has lived in Copenhagen, Denmark, as well as New York and Chicago, and he now lives in Houston, Texas. Jon received a Bachelor of Business Administration in finance at University of Houston in 1992. www.247wallst.com.
