Retailer Walmart (WMT) has been hit today by another potentially deadly Listeria outbreak linked to food sold at its stores.
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Health Alert
The U.S. Department of Agriculture’s Food Safety and Inspection Service has issued a public health alert for 12-ounce packages of “Marketside Linguine with Beef Meatballs & Marinara Sauce.”
The contamination was discovered after the producing company tested samples of pre-cooked pasta used in the meals. Laboratory results confirmed the linguine pasta tested positive for Listeria monocytogenes, a bacteria that can cause serious illness.
FSIS officials are investigating whether the contaminated strain is connected to an ongoing outbreak linked to chicken fettuccine alfredo meals.
That refers to an incident earlier this year when three people died potentially as a result of eating ready-to-eat chicken fettuccine alfredo products from Walmart and retail rival Kroger (KR).
The meals were sold nationwide at Walmart, under the Marketside brand, and at Kroger, under the Home Chef brand.
The outbreak, which impacted at least 17 people in 13 states, began last July, but the Listeria bacteria were only found during a routine inspection in March. At least 16 people were hospitalized, and there was one pregnancy loss as a result.
Dangerous Disease
Consumers who purchased the Linguine products should not eat them and instead throw them away or return them to the store they bought them from.
Listeriosis can be particularly dangerous for older adults, pregnant women, newborns, and people with compromised immune systems. Symptoms include fever, muscle aches, headache, stiff neck, confusion, loss of balance, and convulsions. Gastrointestinal symptoms may occur first. Pregnant women face additional risks including miscarriage, stillbirth, premature delivery, or life-threatening infection in newborns.
In April, Walmart recalled celery sticks because of a potential Listeria contamination. That was also found during random sampling by the Georgia Department of Agriculture.
The month before, the U.S. Food and Drug Administration (FDA) labeled broccoli sold in bags at Walmart stores as ‘deadly’ due to potential Listeria contamination.
Walmart has been touted by some analysts as a winner, given its reputation for value, during the current economic uncertainty. But nothing screams louder than Listeria and product recalls for diminishing brand confidence.
It is why, see above, that ability to sell is such a key risk for the business and investors.
Is WMT a Good Stock to Buy Now?
On TipRanks, WMT has a Strong Buy consensus based on 29 Buy ratings. Its highest price target is $129. WMT stock’s consensus price target is $114.89 implying an 11.72% upside.
