There is never a dull moment is there? This morning out of left field Amazon (AMZN) announced it was buying Whole Foods (WFM). Which sent both stocks up.

AMZN Price data by YCharts

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Which sent the other grocers, Wal-mart (WMT), and Costco (COST) sharply lower.

COST Price data by YCharts

and the organic distributors.

HAIN Price data by YCharts

Makes you think this a net negative all around, well except for Amazon. Potentially, or did Amazon make a mistake? Time will tell, just ask yourself how much more Margin can Amazon squeeze? WFM had $15.72 Billion in Revenue in 2016 and net income of $507 million, that is 3.2 percent. Ocado, an on-line grocer in the UK,  had total revenue in 2016 of £1.27 billion and before tax income of £12.1 million.  Just a thought. Different market, different pricing power, different market share. I know.

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