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To: Roads End who wrote (11868)9/27/2007 4:03:01 PM
From: Perspective  Respond to of 19256
 
I just can't keep up with ones that fall apart like that. I refuse to short stocks hitting new highs - one must have stop losses or else get run over while awaiting downturns. However, RSH has evaded my entry all along this decline. The problem was that it fell from 35 to 22 without so much as a $2 bounce anywhere along the line. Would have had to short into weakness, which I prefer not to do.

BC



To: Roads End who wrote (11868)9/27/2007 4:44:05 PM
From: Smiling Bob  Respond to of 19256
 
I'm probably thinking/investing too far ahead, but the mkt continues to wrongly perceive WFMI as being a niche leader. It was a fad stock that had caught on for a time. Meanwhile, every supermarket I've been in has greatly expanded their organic section.

So you now have either/or to choose from at your local mkt vs the outlandishly overpriced coo coo food at WFMI. I personally don't derive any greater satisfaction from their produce or meats or dry goods than other stores, though obviously others do.

Unlike other chains, WFMI geographical growth is limited to well to do areas vs just looking for population and competition. It appears they are placing them within 2-10 miles of each other in the Philadelphia region. I don't know Wild Oats, but you could wonder what was the reason for their lackluster performance and if WF alone can make them work where they are or eat a lot of locations. Either way, there's a lot of expense and a lot of fat to be trimmed in an environment that's not exactly conducive to expansion of indulgent spending. Costs will be felt in the short term while any benefit is far down the road, if at all.