Goldman Sachs analyst Leah Jordan has maintained their neutral stance on UNFI stock, giving a Hold rating today.
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Leah Jordan’s rating is based on a combination of factors, including United Natural Foods’ recent operational challenges and financial adjustments. The company experienced a cyber incident that disrupted its network, leading to a reduction in its FY25 adjusted EBITDA guidance by 2.7% at the midpoint. This incident is expected to have a financial impact of $40-50 million, excluding potential insurance recoveries.
Despite these challenges, UNFI slightly increased its sales guidance, although adjusted EPS guidance saw a decrease. The company also revised its capital expenditures and free cash flow projections. Leah Jordan maintains a Neutral stance with a 12-month price target of $26, considering both the potential upside from market share gains and new business opportunities, and the downside risks of market share losses and cost pressures.
Jordan covers the Consumer Defensive sector, focusing on stocks such as Conagra Brands, General Mills, and Hormel Foods. According to TipRanks, Jordan has an average return of 27.4% and a 68.29% success rate on recommended stocks.
In another report released today, TR | OpenAI – 4o also reiterated a Hold rating on the stock with a $24.50 price target.