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Best of StockTwits: Whole lotta love for Whole Foods

July 26, 2012: 12:59 PM ET

Talk about your organic growth! Shares of grocer Whole Foods Market (WFM) surged nearly 10% after the company reported results late Wednesday that were far better than estimates.

The rally has to be considered vindication for anyone who stuck with the stock after it got pummeled Friday following a disappointing report from Chipotle Mexican Grill (CMG). Shares fell 7%.

That sell-off was silly. I even called the dip in Whole Foods on Friday my Stupid Stock Move of the Day. The argument last week seemed to be that rising commodity costs might hurt Whole Foods. Some also seemed to try and suggest that the hipster urbanites who often frequent Chipotle may be slowing down their purchases due to the weakening economy -- and that they might be pulling back on buying pricey food too.

So far at least, those fears appear to be for naught.

CDMCapital:  Whole foods is such a beast, trend is healthier eating. Pay attention to any stocks that have similar profiles. $WFM

BryanMortenson: $WFM Seeing solid traction with boomers who are more health focused (staying young by staying healthy).

seemacnbc:  If you're wondering what Americans are spending their $$ on, check out $WFM. Whole foods says customers are spending MORE. Like this story.

Other traders were quick to point out though that the strength in Whole Foods may not necessarily mean the consumer has sprung back to life. Investors have to pick retail and consumer products stocks wisely. Companies like Hershey (HSY) and Colgate-Palmolive (CL),  may also be attractive for example.

retail_guru:  Stocks with pricing power, growth geographies increasingly rare in this environment. Valuation premium could stretch further $CL $WFM $HSY

At the end of the day, Whole Foods might simply be a must-have for consumers ... even if they are worried about the overall economy.

ldrogen:: street still doesn't understand the $WFM story and how it is the new $SBUX for food.

That is high praise. Now excuse me while I go step out for some sushi at Whole Foods followed by an iced skim caramel latte at Starbucks (SBUX) for lunch.

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Paul Lamonica
Paul R. La Monica
Assistant Managing Editor, CNNMoney

Paul R. La Monica is an assistant managing editor at CNNMoney. He is the author of the site's daily column, The Buzz, and also tweets throughout the day about the markets and economy @LaMonicaBuzz. La Monica also oversees the site's economic, markets and technology coverage.

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Stupid Stock Move of the Day
#StupidStock Move of the Day! Does $S really deserve to be down 20% because it isn't buying $TMUS? Doesn't SoftBank put floor on the stock?
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