Shares of Whole Foods are tumbling after the company reported same-store sales that missed expectations.
The organic grocer report same-store sales grew 3.9% in the quarter, less than the 4.8% that was expected by analysts.
The company also cut its fiscal 2014 same-store sales outlook, saying it sees sales growing 4.1%-4.4%, down from a prior view of 5%-5.5%. Overall sales are now expected to grow 9.6%-9.9%, down from previous expectations for 10.5%-11% sales growth.
Whole Foods’ bottom lines results, however, beat estimates with earnings per share coming in at $US0.41, topping than the $US0.39 that was expected. Revenue totaled $US3.4 billion, which was in-line with expectations.
Whole Foods also announced a new $US1 billion share repurchase plan, which will run through August 1, 2016.
Shares of Whole Foods were down as much as 8% after the report.
This marks the second straight quarter that Whole Foods shares have slumped after the company’s earnings report, which the stock falling more than 12% after its quarterly report in May.
Excluding Wednesday’s after hours decline, Whole Foods was the second-worst performing stock in the S&P 500 this year, falling 34% year-to-date with only Coach shares suffering a larger percentage decline at 37%.
More to come …