Then Idaho-based ABS slipped on a banana peel. In 1999, the company took over a rival grocery chain, American Stores and found that melding the two organizations was a lot more challenging than the brass had expected. Now, though, I sense that the worst is over. Priceline has done away with its name your own price grocery service, while both Webvan and Peapod are bleeding cash. The grocery business is known for cutthroat competition.
Profit margins are tight.
At only 9X next year's projected earnings, the stock looks as tempting as a double-coupon special. All rights reserved.