In April, struggling natural foods grocer Whole Foods Market, Inc. (NASDAQ:WFM) saw its share price skyrocket more than 20% as investors cheered Jana Partners’ decision to take an 8.8% stake in the company.

WFM stock has been depressed for years, as the grocer has struggled against rising competition and an unflattering image among shoppers. Despite efforts to ramp up growth and rework its image, Whole Foods continued to suffer during the first quarter and management was forced to scale down its growth plans to cope with falling store traffic and declining sales.

Enter Jana Partners

With all of these issues plaguing Whole Foods stock, Jana Partners is hoping to boost the price of WFM stock by improving the company’s operations, refining its real estate strategy and possibly shaking up its board of directors.

At the moment, most agree that WFM is poorly run. The company is far behind most of its peers when it comes to making use of technology for both in-store and online experiences, its loyalty programs are lacking and management hasn’t been able to capitalize on one of the company’s last remaining assets — its clout in the organic foods space.

Can Jana Fix Whole Foods?

It’s difficult to say whether or not Jana can turn things around for WFM stock. On one hand, the activist investor has been successful in increasing shareholder value for several other similarly floundering companies in the past. On the other hand, though, WFM hasn’t been receptive to the hedge fund’s advances, which could make changes more difficult to implement.

Some analysts believe that any operational changes Jana can bring about, no matter how small, would be a boon to WFM shareholders. That has been a major driver behind the recent rush to Whole Foods stock.

The Sale of Whole Foods Is a Real Possibility

Perhaps the biggest reason to pick up WFM stock now is the possibility that the company will put itself up for sale later this year. Jana, together with other large shareholders, have been calling for Whole Foods to explore the possibility of a sale, and companies such as Cerberus-owned chain Albertsons have already been named as interested buyers.

At the moment, WFM management is pushing back against the idea, saying that the company is working on a turnaround and that it just needs more time. However, this quarter’s results, due to come out on Wednesday, will likely play a large role in deciding whether a sale is the right direction for the future of Whole Foods.

Jana Partners has said Whole Foods must either put itself up for sale or face a proxy contest by September 6. So, this week’s results will either strengthen Jana’s case or boost WFM management’s position.

After several quarters of declining comparable store sales, lackluster store traffic figures and disappointing growth figures, the company’s second-quarter results aren’t expected to wow anyone. Most are expecting the same trends to continue, with EPS expected to come in at 37 cents, down from 44 cents a year ago.

The Bottom Line for WFM Stock

WFM stock is unlikely to wow investors with its second-quarter results on Wednesday. That will add fuel to Jana Partners’ argument that the company needs an intervention, making a sale much more likely. Jana’s involvement in WFM stock is definitely good for Whole Foods stock price, but shares have gotten expensive in the most recent rally.

There’s no question that WFM stock is becoming a much more attractive buy, now that activist investors are putting pressure on management. However, buying Whole Foods stock now is both risky and expensive.

Even if the company does eventually put itself up for sale, there’s no guarantee that there would be a buyer, especially with share prices on the way up.

As of this writing, Laura Hoy did not hold a position in any of the aforementioned securities.