Whole Foods Market, Inc. (WFM): If You Thought This Stock Would Be an Unhealthy Option, Think Again!

Published on March 1, 2013 at 1:33 pm by The Motley Fool in Stock Analysis

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Prospects Look Even More Interesting

Given the interests of other companies into the industry and the growing demand, it is obvious that a company like Whole Foods Market, which specializes in such products, is definitely going to continue its growth. Moreover, the company has been setting new records through growth in each quarter. This sets the benchmark, as well as the expectations, higher.

However, the company’s continuous new product launches, such as 70 new frozen products last fall, makes its future shine bright. It has also launched its new product line in January called Engine 2 – Plant Strong, which is again a low fat natural food and contains no added oils, sugar, or any animal product. Such initiatives will lure higher customer traffic going forward.

The organic food maker is not only strengthening its product offerings, but has also been expanding its geographical footprint. After adding 10 new stores in the first quarter, it plans to add another 100 stores in the next five years. This highlights the growth potential of the company.

Additionally, the retailer is also planning to have a low priced product line that will cater to lower income group people who find it difficult to buy Whole Foods’ products. This will lead to higher volumes and great growth.

The Takeaway

Overall, Whole Foods looks like a growing company and a great investment proposition. Its stock price has appreciated 146% in the last 5 years. Moreover, it has been repurchasing its shares, which make it even more attractive to investors. Its 11 new license agreements, 6 new locations, and many other expansionary initiatives make this company increasingly interesting. Investors should definitely not ignore this one.

The article If You Thought This Stock Would Be an Unhealthy Option, Think Again! originally appeared on Fool.com.