Performance Food Group (PFGC) AI Stock Analysis

• Market Cap: $13.46B
• Dividend Yield: N/A
• Average Volume (3M): 1.17M
• Price to Earnings (P/E): 35.9
• Beta (1Y): 0.85
• Revenue Growth: 6.20%
• EPS Growth: -10.58%
• Country: US
• Employees: 36,630
• Sector: Consumer Defensive
• Sector Strength: 66
• Industry: Food Distribution
• EPS (TTM): 0.79
• Shares Outstanding: 156,090,900
• 10 Day Avg. Volume: 798,066
• 30 Day Avg. Volume: 1,165,769
• PEG Ratio: 0.10
• Price to Book (P/B): 2.48
• Price to Sales (P/S): 0.00
• P/FCF Ratio: 16.52
• Enterprise Value/Market Cap: 1.04
• Enterprise Value/Revenue: 0.06
• Enterprise Value/Gross Profit: 1.96
• Enterprise Value/Ebitda: 2.45
• 1Y Price Target: $105.90
• Price Target Upside: 22.85% Upside
• Rating Consensus: Strong Buy
• Number of Analyst Covering: 11

• Rating: 76 Outperform
• Price Target: $101.00 ▲(17.17%Upside)

Performance Food Group's overall score reflects strong financial performance and positive corporate actions, such as the share repurchase plan. While technical indicators are favorable, high valuation metrics and competitive pressures temper the outlook.

Positive Factors

Growth Strategy

Investor Day yielded a higher than expected sales/EBITDA outlook and a deeper look into PFGC's sales & margin drivers, competitive advantages in cross-selling across its three divisions, and an over-arching growth culture embedded throughout the organization.

Leadership and Management

PFGC's leadership remains strong, with current CEO George Holm still engaged and COO Scott McPherson showing promise for the future.

Technology and Innovation

PFGC's digital ordering platform remains a key driver, with 67% of customers and 76% of order volume engaged with the platform, further complemented by salespeople integration and AI-generated order suggestions.

Negative Factors

Acquisition Risks

There are concerns about potential integration risk with recent acquisitions and a more modest return profile, contributing to a Neutral rating.

Competitive Position

There is a preference for US Foods as the pure-play operator and Chefs' Warehouse with its niche positioning over PFGC, leaving a Neutral stance on PFGC shares.

Performance Food Group Business Overview & Revenue Model

Company Description

Performance Food Group Company, through its subsidiaries, markets and distributes food and food-related products in the United States. It operates through three segments: Foodservice, Vistar, and Convenience. The company offers a range of frozen foods, groceries, candy, snacks, beverages, cigarettes, and other tobacco products; beef, pork, poultry, and seafood; and health and beauty care products. It also sells disposables, cleaning and kitchen supplies, and related products. In addition, the company offers value-added services, such as product selection and procurement, menu development, and operational strategy. It serves independent and chain restaurants, schools, business and industry locations, hospitals, vending distributors, office coffee service distributors, retailers, convenience stores, theaters, hospitality providers, concessionaires, airport gift shops, college bookstores, corrections facilities, and impulse locations, as well as franchises and other institutional customers. Performance Food Group Company was founded in 1885 and is headquartered in Richmond, Virginia.

How the Company Makes Money

Performance Food Group makes money through the distribution and sale of food and related products to various segments of the foodservice industry. The company's primary revenue streams include supplying independent and chain restaurants, educational institutions, health care facilities, and hospitality businesses with fresh and frozen foods, beverages, and other kitchen essentials. PFGC leverages its expansive distribution network and logistics capabilities to efficiently deliver products across its service regions. Additionally, PFGC benefits from strategic partnerships with food manufacturers and suppliers, allowing it to offer a wide variety of products and maintain competitive pricing. The company's earnings are also influenced by factors such as market demand, cost management, and operational efficiencies.

Performance Food Group Financial Statement Overview

Summary

Performance Food Group exhibits robust financial health with strong revenue growth, stable profitability metrics, and solid cash flow generation. Improvements in net profit margin and effective cash management enhance the company's financial position despite moderate leverage.

Income Statement

Performance Food Group demonstrates a strong income statement with impressive revenue growth over the years. The gross profit margin for TTM is approximately 11.63%, indicating efficient cost management. The net profit margin, although modest at 0.61% for TTM, shows improvement from previous years. EBIT and EBITDA margins have remained stable, reflecting consistent operational efficiency. Revenue growth is particularly notable, with a significant increase from 2021 to 2025, showcasing the company's expanding market presence.

Balance Sheet

The balance sheet of Performance Food Group shows a solid equity base with a debt-to-equity ratio of 1.77 in TTM, reflecting moderate leverage. Return on Equity (ROE) is 8.65% for TTM, indicating reasonable profitability for shareholders. The equity ratio of 25.33% suggests a balanced asset financing structure, though there's room for improvement in reducing liabilities to strengthen financial stability.

Cash Flow

Cash flow analysis reveals healthy operational cash flow, with an operating cash flow to net income ratio of 2.75 for TTM, indicating strong cash generation relative to reported earnings. The free cash flow to net income ratio of 1.46 suggests effective cash utilization, although the free cash flow growth rate shows a decline compared to the previous period, highlighting potential areas for enhancing cash management strategies.

Breakdown
TTM	Jun 2024	Sep 2023	Sep 2022	Sep 2021	Jun 2020
Income Statement		Total Revenue
61.55B	58.28B	57.25B	50.89B	30.40B	25.09B
	Gross Profit
7.16B	6.58B	6.25B	5.26B	3.53B	2.87B
	EBIT
829.90M	826.40M	765.80M	327.40M	200.70M	-99.00M
	EBITDA
1.50B	1.39B	1.26B	812.80M	546.00M	171.00M
	Net Income Common Stockholders
375.20M	435.90M	397.20M	112.50M	40.70M	-114.10M
Balance Sheet		Cash, Cash Equivalents and Short-Term Investments
10.20M	20.00M	12.70M	11.60M	11.10M	420.70M
	Total Assets
17.12B	13.39B	12.50B	12.38B	7.85B	7.72B
	Total Debt
7.69B	4.98B	4.74B	5.00B	3.00B	3.02B
	Net Debt
7.68B	4.96B	4.73B	4.99B	2.99B	2.60B
	Total Liabilities
12.79B	9.27B	8.75B	9.08B	5.74B	5.71B
	Stockholders Equity
4.34B	4.13B	3.75B	3.30B	2.11B	2.01B
Cash Flow		Free Cash Flow
549.50M	767.40M	562.40M	61.00M	-124.20M	465.60M
	Operating Cash Flow
1.03B	1.16B	832.10M	276.50M	64.60M	623.60M
	Investing Cash Flow
-3.02B	-682.70M	-294.60M	-1.86B	-199.80M	-2.15B
	Financing Cash Flow
1.99B	-472.60M	-536.20M	1.58B	-274.40M	1.93B

Performance Food Group Technical Analysis

• Technical Analysis Sentiment: Positive
• Last Price: 86.20
• 50DMA: Positive
• 100DMA: Positive
• 200DMA: Positive
• MACD: Positive
• RSI: Neutral
• STOCH: Positive

Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For PFGC, the sentiment is Positive. The current price of 86.2 is below the 20-day moving average (MA) of 87.42, above the 50-day MA of 82.76, and above the 200-day MA of 82.53, indicating a neutral trend. The MACD of 1.01 indicates Positive momentum. The RSI at 49.69 is Neutral, neither overbought nor oversold. The STOCH value of 17.40 is Positive, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Positive sentiment for PFGC.

Performance Food Group Peers Comparison

Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
SYY	78 Outperform	$36.01B	19.22	94.91%	2.75%	3.55%	-5.79%
USFD	77 Outperform	$17.46B	34.67	11.16%	―	6.32%	5.69%
PFGC	76 Outperform	$13.46B	35.88	9.05%	―	6.20%	-10.58%
CHEF	74 Outperform	$2.50B	41.02	12.90%	―	7.85%	79.89%
Sector *	65 Neutral	$8.82B	14.91	4.71%	6.22%	3.60%	-2.66%
SPTN	63 Neutral	$596.43M	2,245.98	-1.38%	4.99%	-2.66%	8.18%
UNFI	48 Neutral	$1.29B	―	-4.11%	―	6.62%	53.12%

Performance Food Group Corporate Events

Performance Food Group Unveils $500M Share Repurchase Plan

On May 27, 2025, Performance Food Group‘s Board of Directors authorized a new $500 million share repurchase program, replacing the previous $300 million program. This strategic move allows the company flexibility in repurchasing shares, depending on market conditions and stock performance. Additionally, during its 2025 Investor Day on May 28, 2025, PFG reaffirmed its fiscal 2025 guidance and set ambitious three-year targets, projecting significant growth in sales and Adjusted EBITDA by fiscal 2028. These announcements underscore PFG’s commitment to enhancing shareholder value and its strategic growth trajectory in the competitive foodservice distribution industry.

The most recent analyst rating on (PFGC) stock is a Buy with a $95.00 price target. To see the full list of analyst forecasts on Performance Food Group stock, see the PFGC Stock Forecast page.