Log in
E-mail
Password
Remember
Forgot password ?
Become a member for free
Sign up
Sign up
Settings
Settings
Dynamic quotes 
OFFON

4-Traders Homepage  >  Equities  >  Nasdaq  >  Whole Foods Market, Inc.    WFM

Delayed Quote. Delayed  - 07/27 10:14:59 pm
41.78 USD   -0.07%
01:02a AMAZON COM : ploughs ahead with high sales and spending; profit plun..
07/27DJAMAZON 2ND-QUAR : What to watch
07/27DJWHOLE FOODS MAR : Extends Sales Slide -- WSJ
SummaryQuotesChartsNewsAnalysisCalendarCompanyFinancialsConsensusRevisions 
News SummaryMost relevantAll newsSector newsTweets

Whole Foods shakes up board, appoints new CFO

share with twitter share with LinkedIn share with facebook
share via e-mail
0
05/11/2017 | 12:28am CEST
People pass by a Whole Foods Market in New York

Whole Foods Market Inc (>> Whole Foods Market, Inc.) named a new chief financial officer and five independent directors who were not on activist investor Jana Partners' slate, in a dramatic shakeup as the high-end grocer seeks to boost dwindling profits and a sagging stock.

Whole Foods Market Inc (>> Whole Foods Market, Inc.) named a new chief financial officer and five independent directors who were not on activist investor Jana Partners' slate, in a dramatic shakeup as the high-end grocer seeks to boost dwindling profits and a sagging stock.

Shares of Whole Foods rose more than 2 percent to $37.25 in after-hours trading on Wednesday, as it named former Kohl's Corp (>> Kohl's Corporation) executive Keith Manbeck as chief financial officer, effective May 17.

Whole Foods, which posted its seventh straight quarterly same-store sales decline, also appointed Gabrielle Sulzberger as chairman.

The new independent directors are former Footlocker Chief Executive Ken Hicks, Morningstar founder and Executive Chairman Joe Mansueto, former Best Buy Co Inc (>> Best Buy Co Inc) Chief Financial Officer Sharon McCollam, Panera Bread Co (>> Panera Bread Co) founder and Chief Executive Ron Shaich, and State Street Global Advisors CEO Scott Powers.

The shakeup came after Jana Partners took an 8.3 percent stake in the company and nominated four directors for the board. Mutual fund firm Neuberger Berman, which owns a 2.7 percent stake, has also pressured Whole Foods to take steps to improve its stock price, which has fallen steadily since peaking in 2013.

Reuters earlier on Wednesday reported that Whole Foods planned to remove more than half its board, citing a person familiar with the matter. The board, with 12 directors, is expected to remove another two directors by year-end, said the source, who was not authorized to speak publicly about the matter and requested anonymity.

Whole Foods has been losing shoppers to rivals as the natural and organic category it pioneered has gone mainstream at retailers including Kroger Co (>> Kroger Co) and Wal-Mart Stores Inc (>> Wal-Mart Stores Inc), as well as newer competitors like Amazon.com Inc (>> Amazon.com, Inc.) and meal kit provider Blue Apron.

The grocer has not struck a standstill agreement with Jana, the source said, meaning the hedge fund can continue to pressure it to improve performance. Standstill agreements usually offer an activist hedge fund representation on the company's board in exchange for support and silence for at least the next year.

Jana and a spokesman for Whole Foods were not immediately available for comment.

In a filing in April, Jana said it was frustrated with Whole Foods' lack of engagement regarding its strategic review, noting its "apparent unwillingness to engage in discussions with third parties regarding such alternatives."

Jana has nominated four directors for Whole Foods' board, including former Gap Inc (>> Gap Inc) CEO Glenn Murphy, former Harris Teeter Supermarkets CEO Thomas "Tad" Dickson and former Barclays stock analyst Meredith Adler.

Jana can still nominate that slate at the next Whole Foods annual meeting, which is expected in February.

Late last year, Whole Foods returned co-founder John Mackey to the role of solo CEO after six years of splitting the job with Walter Robb, who focused on operations, betting that Mackey would be best to lead a turnaround.

After Jana disclosed its stake, acquisition speculation swirled around the company, though a suitor has yet to emerge.

Whole Foods posted quarterly sales of $3.74 billion, edging past analysts' average estimate of $3.73 billion according to Thomson Reuters I/B/E/S.

The Austin, Texas-based company reported a 2.8 percent fall in sales at stores open at least 13 months, less than the 3.1 percent drop expected by analysts polled by Consensus Metrix.

Net income declined to $99 million, or 31 cents per share, from $142 million, or 44 cents per share, a year earlier.

Excluding certain items, earnings of 37 cents per share in the second quarter ended April 9 were in line with the analysts' average estimate.

The company trimmed its 2017 earnings forecast to $1.30 per share, from the previous forecast of $1.33.

(Reporting by Michael Flaherty and Lauren Hirsh in New York; Additional reporting by Gayathree Ganesan in Bengaluru; Editing by Meredith Mazzilli and Richard Chang)

By Michael Flaherty and Lauren Hirsch

share with twitter share with LinkedIn share with facebook
share via e-mail
0
Latest news on WHOLE FOODS MARKET, INC.
01:02a AMAZON COM : ploughs ahead with high sales and spending; profit plunges
07/27DJAMAZON 2ND-QUARTER EARNINGS : What to watch
07/27DJWHOLE FOODS MARKET : Extends Sales Slide -- WSJ
07/26 WHOLE FOODS MARKET : Flat on Q3 Earnings
07/26DJWHOLE FOODS MARKET : Sales Fall Again -- Update
07/26 WHOLE FOODS MARKET, INC. (NASDAQ : WFM) Files An 8-K Results of Operations and F..
07/26 WHOLE FOODS MARKET INC : Results of Operations and Financial Condition, Financia..
07/26DJWHOLE FOODS MARKET : Sales Fall Again -- Update
07/26DJWHOLE FOODS MARKET : Sales Fall Again
07/26 WHOLE FOODS MARKET : sales struggle shows Amazon buying a fixer-upper
More news
News from SeekingAlpha
07/27 Barnes & Noble Might Actually Be Worth $1 Billion Or More
07/26 Whole Foods Market beats by $0.03, revenue in-line
07/26 Whole Foods reports FQ3 results early
07/26 GDS Investments July 2017 Commentary
07/25 Notable earnings after Wednesday?s close
Financials ($)
Sales 2017 15 925 M
EBIT 2017 723 M
Net income 2017 398 M
Debt 2017 596 M
Yield 2017 1,51%
P/E ratio 2017 32,78
P/E ratio 2018 29,53
EV / Sales 2017 0,88x
EV / Sales 2018 0,87x
Capitalization 13 361 M
Chart WHOLE FOODS MARKET, INC.
Duration : Period :
Whole Foods Market, Inc. Technical Analysis Chart | WFM | US9668371068 | 4-Traders
Technical analysis trends WHOLE FOODS MARKET, INC.
Short TermMid-TermLong Term
TrendsBullishBullishBullish
Income Statement Evolution
Consensus
Sell
Buy
Mean consensus HOLD
Number of Analysts 23
Average target price 39,8 $
Spread / Average Target -4,9%
EPS Revisions
Managers
NameTitle
John P. Mackey Chief Executive Officer & Director
A. C. Gallo President & Chief Operating Officer
Gabrielle Sulzberger Chairman
Keith Manbeck Chief Financial Officer & Executive Vice President
Jason J. Buechel Chief Information Officer & Executive VP
Sector and Competitors
1st jan.Capitalization (M$)
WHOLE FOODS MARKET, INC.35.73%13 361
WAL-MART STORES13.60%239 190
ALIMENTATION COUCHE TARD INC-0.31%28 015
CARREFOUR-9.55%18 830
DAIRY FARM INTERNATIONAL HOLDINGS LTD14.97%11 050
YONGHUI SUPERSTORES CO., LTD37.88%9 560