Amazon Just Crushed Instacart--And It's Not Even Close
Warning! GuruFocus has detected 8 Warning Sign with DASH.
The market reaction was immediate and sharp. Instacart dropped nearly 11%, marking its steepest slide in months. Kroger fell 4.3%, while Walmart and Ahold Delhaize each lost 1.3%. Bloomberg Intelligence analysts noted that Amazon's low order minimum and bundled delivery model could pull on-demand shoppers away from competitors already struggling to rein in logistics costs. While Amazon shares moved less than 1%, the move reinforces its strategy of compressing margins across entire industries to grab long-term market share.
This isn't Amazon's first swing at fresh food, but it could be its most coordinated. The company already owns Whole Foods and operates stores under the Fresh banner, yet has wrestled with making grocery logistics profitable. What's different now? The timing. Recent earnings from Uber Eats (NYSE:UBER), DoorDash (NASDAQ:DASH), and Instacart suggest consumers haven't ditched deliveryeven with inflation top of mind. If Amazon can integrate its physical stores with a wider same-day delivery network while leveraging Prime incentives, it may finally start to chip away at Walmart's edge in food retail.
This article first appeared on GuruFocus.
Try Our AI Features
Explore what Daily8 AI can do for you:
Comments
No comments yet...
Related Articles
Yahoo
20 minutes ago
- Yahoo
More US companies skip lender consent to add on debt, Moody's says
By Matt Tracy (Reuters) -A growing number of U.S. companies are seeking more flexible covenants in their credit agreements to increase their debt loads while avoiding approvals from all their existing lenders, according to a new report by ratings agency Moody's Ratings. Moody's said in a report released on Thursday that U.S. corporate borrowers with weaker credit profiles were leaning harder on their lenders to get more flexibility in agreements to take out more debt without full consent from existing lenders, as they struggled to issue new debt in public markets. Shop Top Mortgage Rates A quicker path to financial freedom Personalized rates in minutes Your Path to Homeownership Deals with covenant changes that ensured a boost to a company's capacity to raise more debt - whether for opportunistic purposes or to avoid liquidity crunches - amounted to as much as 40% to 300% of their EBITDA, according to Moody's. Such dramatic debt load increases present a major credit risk to existing lenders, especially when borrowers' private equity sponsors use the added debt for dividend recaps, add-ons and acquisitions, the ratings agency noted. Borrowers on several recent deals have sought more flexible covenants to allow this greater debt capacity, it said, adding that 10%, or nine of 89 credit agreements, have done so between the start of 2024 and May 2025. All of the 10% involved PE-backed borrowers, the report noted. They included the initial proposed term sheets for debt that was funding PE firm Turn/River Capital's leveraged buyout of IT systems provider SolarWinds in March, and KKR's leveraged buyout in May of derivatives market software provider OSTTRA. These recent deals point to a growing trend of borrowers' "unfettered access" to debt, even those in financial distress, Moody's highlighted, as lenders in the public debt market face ever fiercer competition from lenders in the expanding private credit market. Error in retrieving data Sign in to access your portfolio Error in retrieving data Error in retrieving data Error in retrieving data Error in retrieving data
Yahoo
20 minutes ago
- Yahoo
FordDirect partners with Podium for AI-powered dealer conversations with customers
Podium, a specialist in AI-powered customer engagement tools, has announced its AI BDC solution is now officially in program with FordDirect, Ford's US business unit that supports its US dealers with data analytics and other marketing support. Podium's 'AI Employee' - known to many dealers as 'Jerry' – is now available to Ford dealers and Lincoln retailers in the US. This planned integration connects Podium's AI Employee directly with FordDirect's Customer Journey Platform (CJP), empowering dealerships to deliver faster, more consistent, human-like customer conversations that boost sales, service bookings, and lead conversions. "With dealerships navigating staffing shortages, rising competition, and growing consumer demand for immediate responses, it's critical to respond first, maximize every opportunity, and give employees the coverage they need to focus on closing on the floor. This partnership is about delivering an end-to-end communication platform that drives measurable results," said Eric Rea, Co-Founder and CEO at Podium Podium's AI BDC delivers on all fronts without, it says, sacrificing the human touch. It responds to every lead instantly and Pdium says it is trained on ten years of automotive industry data. Podium says the result for the dealership is 'more appointments, happier customers, and staff freed up to focus on other important parts of the job'. It says proven results from 1,800 dealers using Podium AI include: 80% increase in after-hours appointments 10% boost in appointment show rates 70% reduction in lead response times 30% improvement in lead-to-sale conversions "FordDirect is proud to expand our partnership with Podium to bring their AI-powered BDC solution into our nationwide network of Ford dealerships and Lincoln retailers," said Dean Stoneley, CEO FordDirect. "This partnership gives our dealers and retailers the ability to execute superior customer engagement, helping to deliver improved customer and dealer satisfaction." Ford and Lincoln dealers can learn more at: Podium says its AI-powered solutions help dealerships and service providers respond instantly to inbound leads, automate follow-ups, and streamline communication across text, webchat, and social platforms. FordDirect is a joint venture between Ford Motor Company and its franchised dealers with a mission of helping Ford and Lincoln dealerships sell more cars and trucks. Recommended listen: Car Dealership Guy podcast with Eric Rea of Podium: The Rise of the AI Employee in Car Dealerships "FordDirect partners with Podium for AI-powered dealer conversations with customers" was originally created and published by Just Auto, a GlobalData owned brand. The information on this site has been included in good faith for general informational purposes only. It is not intended to amount to advice on which you should rely, and we give no representation, warranty or guarantee, whether express or implied as to its accuracy or completeness. You must obtain professional or specialist advice before taking, or refraining from, any action on the basis of the content on our site. Error in retrieving data Sign in to access your portfolio Error in retrieving data Error in retrieving data Error in retrieving data Error in retrieving data
Yahoo
20 minutes ago
- Yahoo
Here are the 3 top tax mistakes that cost US retirees thousands — and almost every older American makes them
The U.S. tax code has grown significantly over the past 40 years. According to Intuit, it now exceeds 6,000 pages when including statutes, regulations, and IRS guidance. It's no surprise, then, that a Tax Foundation survey found 66% of Americans view the tax code as overly complicated. Without guidance from an experienced financial professional, you may be missing valuable strategies that could lower your tax liability and boost your savings. This is particularly important for retirees whose income is derived from a mix of sources, such as Social Security, dividends, interest, and capital gains. With that in mind, here are the top three tax mistakes many older Americans frequently make — and how to avoid them. Don't miss Thanks to Jeff Bezos, you can now become a landlord for as little as $100 — and no, you don't have to deal with tenants or fix freezers. Here's how I'm 49 years old and have nothing saved for retirement — what should I do? Don't panic. Here are 6 of the easiest ways you can catch up (and fast) Want an extra $1,300,000 when you retire? Dave Ramsey says this 7-step plan 'works every single time' to kill debt, get rich in America — and that 'anyone' can do it Neglecting tax gains harvesting Long-term capital gains and qualified dividends are taxed more favorably than ordinary income. As of 2025, the 0% capital gains rate applies to individuals with taxable income up to $48,350, and married couples filing jointly up to $96,700. These generous brackets allow you to realize gains — such as by selling appreciated assets in a taxable brokerage account — without increasing your tax bill. Overlooking this opportunity could prove costly, especially if much of your wealth is in traditional IRAs that will be subject to Required Minimum Distributions (RMDs) starting at age 73. Social Security torpedo Social Security benefits aren't taxed like other income. To determine how much is taxable, the IRS uses your provisional income — which includes half of your Social Security benefits, in addition to other income sources like wages, dividends, and tax-free interest. Up to 85% of your benefits may be taxed if your provisional income exceeds $34,000 as a single filer or $44,000 as a married couple filing jointly. At lower income levels, a smaller portion — 50% or none — may be taxed. This means even a small increase in income can trigger a higher taxation of your benefits, creating a steep marginal tax rate. This sudden spike is known as the 'tax torpedo.' and it's one of the most common mistakes older Americans make. Avoiding this costly surprise requires careful planning across all income sources and retirement withdrawals. Read more: Nervous about the stock market? Gain potential quarterly income through this $1B private real estate fund — even if you're not a millionaire. Inefficient Roth conversions A Roth conversion involves moving funds from a traditional retirement account — such as a Traditional IRA or 401(k) — into a Roth IRA. It's a powerful tax strategy, but many retirees mismanage it due to poor timing or converting too much or too little. Take Michelle, age 55, with $2 million in traditional retirement accounts. She plans to convert it gradually into a Roth IRA. If she converts too much now, while still working, she could push herself into a higher tax bracket. If she waits too long, RMDs at age 73 could force her into higher taxes later. Her ideal window for larger conversions may be between retirement at age 62 and claiming Social Security at age 70. Strategic conversions during this period can significantly reduce her lifetime tax burden. To find your own optimized plan, consult a qualified financial planner who can model your long-term tax outlook. What to read next Robert Kiyosaki warns of a 'Greater Depression' coming to the US — with millions of Americans going poor. But he says these 2 'easy-money' assets will bring in 'great wealth'. How to get in now Here are 5 simple ways to grow rich with real estate if you don't want to play landlord. And you can even start with as little as $10 Rich, young Americans are ditching the stormy stock market — here are the alternative assets they're banking on instead Here are 5 'must have' items that Americans (almost) always overpay for — and very quickly regret. How many are hurting you? Stay in the know. Join 200,000+ readers and get the best of Moneywise sent straight to your inbox every week for free. This article provides information only and should not be construed as advice. It is provided without warranty of any kind.
