Goldman Sachs Suggests Buying Calls on Whole Foods Market

Goldman Sachs is out with a research report this morning, where it suggests that traders buy calls on Whole Foods Market WFM ahead of earnings. Grocery analyst Stephen Grambling recently added WFM shares to the Goldman Sachs Conviction List and sees 17% upside to his 12-month price target of $76. His proprietary multi-factor SSS model suggests that Street estimates are too conservative for WFM this quarter and going forward. Options are implying a +/-9.5% move on earnings, far below the median 8-quarter move of +/-12%. Goldman Sachs suggests buying the August $65.00 call for $3.60 Whole Foods Market, Inc. is a natural and organic foods supermarket. The company has one operating segment, natural and organic foods supermarkets.