Whole Foods' stock slips on weak earnings

Shares of Whole Foods Market Inc. took a sharp dive on Wednesday, a day after the organic grocer reported its fiscal second quarter profit slipped 13 percent.

For the 12-week period that ended April 13, Whole Foods earned $40 million, or 29 cents a share, down from $46 million, or 33 cents a share, during the comparable period a year earlier. The company in part blamed the costs associated with last year's acquisition of competitor Wild Oats Market.

Austin-based Whole Foods (NASDAQ: WFMI) stock tumbled more than $4.60 in early trading Wednesday before regaining some ground. Shares were trading around $29.28 before the closing bell, down from Tuesday's close of $33.64.

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Whole Foods logged revenue of $1.9 billion for the quarter, up nearly 28 percent from the 2007 quarter.

Whole Foods estimates the $565 million purchase of Boulder, Colo.-based Wild Oats last year cut about $8.6 million off the most-recent quarter's earnings.

www.wholefoodsmarket.com