HF Foods Group (HFFG) AI Stock Analysis

• Market Cap: $124.12M
• Dividend Yield: N/A
• Average Volume (3M): 91.62K
• Price to Earnings (P/E): ―
• Beta (1Y): 0.64
• Revenue Growth: 4.10%
• EPS Growth: -2241.30%
• Country: US
• Employees: 1,015
• Sector: Consumer Defensive
• Sector Strength: 42
• Industry: Food Distribution
• EPS (TTM): 0.08
• Shares Outstanding: 53,043,830
• 10 Day Avg. Volume: 102,855
• 30 Day Avg. Volume: 91,618
• PEG Ratio: >-0.01
• Price to Book (P/B): 0.70
• Price to Sales (P/S): 0.14
• P/FCF Ratio: 16.72
• Enterprise Value/Market Cap: 3.01
• Enterprise Value/Revenue: 0.31
• Enterprise Value/Gross Profit: 1.79
• Enterprise Value/Ebitda: -36.15
• 1Y Price Target: $7.00
• Price Target Upside: 170.27% Upside
• Rating Consensus: Moderate Buy
• Number of Analyst Covering: 1
• EPS Forecast (FY): 0.06
• Revenue Forecast (FY): $1.23B

• Rating: 52 Neutral
• Price Target: $2.50 ▼(-3.47% Downside)

HF Foods Group's overall stock score is primarily influenced by its financial challenges, including negative profitability and operational inefficiencies. While the earnings call provided a positive outlook with strategic initiatives and growth, the technical analysis and valuation metrics remain weak. The company's improving cash flow is a positive sign, but significant risks persist, impacting the overall score.

HF Foods Group Business Overview & Revenue Model

Company Description

HF Foods Group (HFFG) is a leading wholesale distributor of food and related products in the United States, specializing in servicing the Asian and other ethnic restaurant markets. The company operates primarily in the foodservice sector, providing a diverse range of products including frozen, refrigerated, and dry goods. HF Foods Group focuses on delivering high-quality products and exceptional service, catering to the unique needs of its clientele through a robust supply chain and logistics network.

How the Company Makes Money

HF Foods Group generates revenue primarily through the wholesale distribution of food products to restaurants and foodservice operators. The company's revenue model is built on selling a wide variety of food items, including meat, seafood, sauces, and staple goods, to ethnic and Asian restaurants, which represent a significant portion of their customer base. Key revenue streams include direct sales to customers, long-term contracts with restaurants, and partnerships with food manufacturers for exclusive distribution rights. Additionally, HF Foods Group benefits from economies of scale in procurement and distribution, optimizing costs and enhancing profitability. Strategic partnerships with suppliers also enable the company to maintain a competitive edge in pricing and product availability, contributing to its overall earnings.

HF Foods Group Financial Statement Overview

Summary

HF Foods Group's financial performance is challenged by negative profitability and operational inefficiencies. Despite modest revenue growth and stable gross margins, the company struggles with negative net profit margins and returns on equity. The balance sheet shows moderate leverage, but profitability remains a concern. Cash flow performance is improving, with significant free cash flow growth, but overall financial health requires attention.

Income Statement

HF Foods Group's income statement shows a challenging financial position with declining profitability. The company has experienced a negative net profit margin of -3.97% TTM, indicating losses. Revenue growth is modest at 1.04% TTM, but EBIT and EBITDA margins are negative, reflecting operational inefficiencies. The gross profit margin remains stable at around 17%, but overall, the income statement highlights significant profitability issues.

Balance Sheet

The balance sheet reveals a moderate financial structure with a debt-to-equity ratio of 0.99 TTM, suggesting a balanced approach to leveraging. However, the return on equity is negative at -19.30% TTM, indicating poor returns for shareholders. The equity ratio is not explicitly calculated, but the company's equity position appears stable relative to its assets. Overall, the balance sheet shows stability but lacks strong profitability.

Cash Flow

Cash flow analysis indicates some positive trends, with a significant free cash flow growth rate of 124.33% TTM, suggesting improved cash generation. The operating cash flow to net income ratio is 0.20, indicating that operating cash flow covers net income, albeit at a low level. The free cash flow to net income ratio is 0.61, reflecting a reasonable conversion of earnings to cash. Overall, cash flow performance is improving but remains a concern due to low coverage ratios.

Breakdown	TTM	Dec 2024	Dec 2023	Dec 2022	Dec 2021	Dec 2020
Income Statement
Total Revenue	1.22B	1.20B	1.15B	1.17B	796.88M	566.83M
Gross Profit	208.41M	205.19M	204.03M	205.51M	151.51M	100.75M
EBITDA	-10.33M	-8.04M	34.77M	32.40M	52.83M	-324.70M
Net Income	-48.26M	-48.51M	-2.17M	460.00K	22.14M	-343.51M
Balance Sheet
Total Assets	593.54M	549.99M	596.52M	637.53M	596.95M	484.29M
Cash, Cash Equivalents and Short-Term Investments	15.65M	14.47M	15.23M	24.29M	14.79M	9.58M
Total Debt	237.19M	204.25M	203.32M	224.67M	190.68M	142.25M
Total Liabilities	352.42M	308.70M	308.54M	341.28M	301.96M	219.48M
Stockholders Equity	239.71M	239.29M	286.66M	291.81M	290.95M	260.43M
Cash Flow
Free Cash Flow	20.17M	10.09M	12.29M	29.11M	15.30M	43.47M
Operating Cash Flow	33.12M	22.64M	15.80M	35.40M	17.51M	44.13M
Investing Cash Flow	-12.81M	-12.55M	-1.51M	-50.79M	-41.08M	-94.41M
Financing Cash Flow	-18.63M	-10.85M	-23.35M	24.89M	28.78M	43.76M

HF Foods Group Technical Analysis

• Technical Analysis Sentiment: Negative
• Last Price: 2.59
• 50DMA: Negative
• 100DMA: Negative
• 200DMA: Negative
• MACD: Negative
• RSI: Neutral
• STOCH: Neutral

Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For HFFG, the sentiment is Negative. The current price of 2.59 is above the 20-day moving average (MA) of 2.31, below the 50-day MA of 2.71, and below the 200-day MA of 3.15, indicating a bearish trend. The MACD of -0.11 indicates Negative momentum. The RSI at 42.91 is Neutral, neither overbought nor oversold. The STOCH value of 55.88 is Neutral, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Negative sentiment for HFFG.

HF Foods Group Peers Comparison

Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
WILC	80 Outperform	$307.49M	11.63	15.58%	4.55%	12.41%	137.89%
CHEF	64 Neutral	$2.55B	35.61	14.12%	―	8.88%	54.12%
PFGC	63 Neutral	$15.29B	46.51	7.42%	―	10.55%	-23.38%
Sector *	62 Neutral	$20.33B	14.63	-3.31%	3.23%	1.93%	-12.26%
DIT	54 Neutral	$76.15M	126.85	0.51%	0.85%	3.90%	-87.36%
HFFG	52 Neutral	$124.12M	―	-17.40%	―	4.10%	-2241.30%
UNFI	52 Neutral	$2.33B	―	-7.39%	―	2.60%	-3.23%

HF Foods Group Corporate Events

HF Foods Group Reports Strong Q3 2025 Results

HF Foods Group Inc., a prominent distributor of foodservice solutions to Asian restaurants across the United States, has reported its financial results for the third quarter of 2025, showcasing a mix of growth and challenges in its operations.

HF Foods Group Appoints New Board Member and Interim CFO

On October 16, 2025, HF Foods Group announced the appointment of Jeffery Taylor to its Board of Directors. Taylor, with over 27 years of senior finance leadership experience, is expected to play a crucial role in the company’s operational transformation plan, bringing expertise in financial management, M&A execution, and capital markets financing. Additionally, HF Foods announced a CFO transition with Paul McGarry stepping in as Interim CFO, replacing Cindy Yao, to further enhance its financial leadership during this strategic transformation.

The most recent analyst rating on (HFFG) stock is a Hold with a $3.00 price target. To see the full list of analyst forecasts on HF Foods Group stock, see the HFFG Stock Forecast page.

HF Foods Group Acquires Chicago Distribution Facility

On September 29, 2025, HF Foods Group announced a binding purchase agreement to acquire a distribution facility in Chicago, Illinois, previously leased following its acquisition of Great Wall Seafood in 2022. This strategic move is part of HF Foods’ transformation plan to improve operational efficiency, reduce facility costs, and support long-term growth. The acquisition is expected to enhance the company’s Midwest distribution footprint, improve operating expenses, and expand capacity, benefiting local restaurant customers in the Chicago and Midwest region. Additionally, HF Foods’ At-the-Market equity offering program is anticipated to provide the financial flexibility needed for this acquisition and future business expansions.

The most recent analyst rating on (HFFG) stock is a Hold with a $3.00 price target. To see the full list of analyst forecasts on HF Foods Group stock, see the HFFG Stock Forecast page.

HF Foods Group Launches $100M ATM Equity Offering

On September 25, 2025, HF Foods Group Inc. announced the establishment of an At-The-Market (ATM) equity offering program, allowing the company to sell shares of its common stock for up to $100 million through sales agents D.A. Davidson & Co. and Roth Capital Partners. The proceeds from this offering are intended for general corporate purposes, including working capital, capital expenditures, and potential acquisitions or business expansion, which could impact the company’s operations and market positioning.

The most recent analyst rating on (HFFG) stock is a Hold with a $3.50 price target. To see the full list of analyst forecasts on HF Foods Group stock, see the HFFG Stock Forecast page.

HF Foods Group Reports Record Earnings Amid Challenges

HF Foods Group’s latest earnings call revealed a generally positive sentiment, underscored by record-breaking financial results. The company reported significant growth in net revenue and gross profit, attributed to strategic initiatives and operational discipline. However, the call also highlighted challenges such as reduced foot traffic due to economic uncertainty, immigration policy impacts, and tariff uncertainties, which remain areas of concern.

HF Foods Group Reports Strong Q2 2025 Growth

HF Foods Group Inc., a prominent distributor of international foodservice solutions primarily to Asian restaurants across the United States, has released its financial results for the second quarter of 2025, showcasing significant growth and strategic advancements.