Whole Foods Market (WFM) PT Taken Down to $46 at RBC Capital; 'Buy' Maintained

RBC Capital analyst William Kirk lowered his price target on Whole Foods Market (NASDAQ: WFM) to $46.00 (from $51.00) but maintained an Outperform rating following weaker-than-expected Q3 results.

Krik commented, "After a weaker-than-expected quarter, soft quarter-to-date trends, and commentary suggesting near-term comp growth isn't the priority, shareholders shouldn't expect a meaningful acceleration off these results. That said, we believe the valuation (8x EV/EBITDA in after-hours) is compelling and those with long time horizons can reap the benefits of increased demographic penetration achieved by the 365 proposition."

The firm's new EPS is $0.36 for 4Q15E (from $0.39) and $1.85 for FY16E (from $1.93).

For an analyst ratings summary and ratings history on Whole Foods Market click here. For more ratings news on Whole Foods Market click here.

Shares of Whole Foods Market closed at $40.82 yesterday.

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