Performance Food Group (PFGC) AI Stock Analysis

• Market Cap: $13.87B
• Dividend Yield: N/A
• Average Volume (3M): 1.53M
• Price to Earnings (P/E): 42.5
• Beta (1Y): 0.79
• Revenue Growth: 10.55%
• EPS Growth: -23.38%
• Country: US
• Employees: 36,630
• Sector: Consumer Defensive
• Sector Strength: 42
• Industry: Food Distribution
• EPS (TTM): 1.18
• Shares Outstanding: 156,812,130
• 10 Day Avg. Volume: 1,537,060
• 30 Day Avg. Volume: 1,534,299
• PEG Ratio: -1.81
• Price to Book (P/B): 3.03
• Price to Sales (P/S): 0.21
• P/FCF Ratio: 19.23
• Enterprise Value/Market Cap: 1.78
• Enterprise Value/Revenue: 0.38
• Enterprise Value/Gross Profit: 3.21
• Enterprise Value/Ebitda: 15.49
• 1Y Price Target: $119.13
• Price Target Upside: 34.73% Upside
• Rating Consensus: Strong Buy
• Number of Analyst Covering: 9
• EPS Forecast (FY): N/A
• Revenue Forecast (FY): N/A

• Rating: 65 Neutral
• Price Target: $98.00 ▲(10.83% Upside)

Performance Food Group's overall score reflects strong earnings growth and strategic corporate developments. However, the stock's high valuation and technical indicators suggest caution. The company's financial performance shows potential risks due to high leverage and declining free cash flow.

Positive Factors

Revenue Growth

Consistent revenue growth indicates strong market demand and effective sales strategies, enhancing long-term financial stability.

Leadership Transition

The planned leadership transition ensures strategic continuity and leverages McPherson's experience to drive future growth.

Market Expansion

Expanding distribution channels strengthens market presence and supports sustained revenue growth across segments.

Negative Factors

High Leverage

High leverage can increase financial risk and limit the company's ability to invest in growth opportunities.

Declining Free Cash Flow

Reduced free cash flow may constrain the company's ability to fund operations and strategic initiatives.

Operational Challenges

Operational inefficiencies can erode margins and hinder the company's ability to maintain competitive pricing.

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 generates revenue primarily through the distribution of food and related products to the foodservice industry. The company's revenue model is built on selling a wide variety of products, including meat, seafood, dairy, produce, and dry food items, to a diverse customer base that includes independent restaurants, chains, and institutional clients. Key revenue streams include direct sales to customers, as well as partnerships with major suppliers and manufacturers, allowing for a robust inventory of products. Additionally, PFGC benefits from value-added services such as menu planning, marketing support, and logistics solutions, which enhance customer loyalty and drive repeat business. The company's strategic acquisitions and expansion into new markets also play a significant role in boosting revenue and market share.

Performance Food Group Financial Statement Overview

Summary

Performance Food Group demonstrates steady revenue growth and stable gross margins, indicating operational efficiency. However, the low net profit margin and high leverage present potential risks. Cash flow management needs attention due to declining free cash flow, which could affect future financial flexibility.

Income Statement

Performance Food Group shows a consistent revenue growth trajectory with a TTM revenue growth rate of 2.62%. Gross profit margins have remained stable around 11.8%, indicating efficient cost management. However, the net profit margin is relatively low at 0.50%, suggesting room for improvement in profitability. EBIT and EBITDA margins are modest, reflecting the competitive nature of the food distribution industry.

Balance Sheet

The company's debt-to-equity ratio is relatively high at 1.82, indicating significant leverage, which could pose risks if not managed carefully. Return on equity is moderate at 7.88%, showing decent returns for shareholders. The equity ratio stands at 24.93%, suggesting a balanced approach to financing through equity and debt.

Cash Flow

Operating cash flow is positive, but the free cash flow has seen a decline of 25.72% in the TTM period, which could impact future investments and debt servicing. The operating cash flow to net income ratio is 0.22, indicating a moderate conversion of income to cash. The free cash flow to net income ratio is 0.52, showing that a portion of earnings is being converted into free cash flow.

Breakdown	TTM	Dec 2025	Dec 2024	Dec 2023	Dec 2022	Dec 2021
Income Statement
Total Revenue	64.96B	63.30B	58.28B	57.25B	50.89B	30.40B
Gross Profit	7.67B	7.42B	6.58B	6.25B	5.26B	3.53B
EBITDA	1.59B	1.54B	1.39B	1.26B	812.80M	546.00M
Net Income	325.80M	340.20M	435.90M	397.20M	112.50M	40.70M
Balance Sheet
Total Assets	18.35B	17.88B	13.39B	12.50B	12.38B	7.85B
Cash, Cash Equivalents and Short-Term Investments	38.10M	78.50M	20.00M	12.70M	11.60M	11.10M
Total Debt	8.30B	8.00B	4.98B	4.74B	5.00B	3.00B
Total Liabilities	13.78B	13.41B	9.27B	8.75B	9.08B	5.74B
Stockholders Equity	4.57B	4.47B	4.13B	3.75B	3.30B	2.11B
Cash Flow
Free Cash Flow	523.00M	704.10M	767.40M	562.40M	61.00M	-124.20M
Operating Cash Flow	1.01B	1.21B	1.16B	832.10M	276.50M	64.60M
Investing Cash Flow	-2.50B	-3.09B	-682.70M	-294.60M	-1.86B	-199.80M
Financing Cash Flow	1.48B	1.94B	-472.60M	-536.20M	1.58B	-274.40M

Performance Food Group Technical Analysis

• Technical Analysis Sentiment: Negative
• Last Price: 88.42
• 50DMA: Negative
• 100DMA: Negative
• 200DMA: Negative
• MACD: Positive
• RSI: Neutral
• STOCH: Neutral

Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For PFGC, the sentiment is Negative. The current price of 88.42 is below the 20-day moving average (MA) of 91.20, below the 50-day MA of 93.84, and below the 200-day MA of 92.88, indicating a bearish trend. The MACD of -1.95 indicates Positive momentum. The RSI at 39.28 is Neutral, neither overbought nor oversold. The STOCH value of 27.84 is Neutral, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Negative sentiment for PFGC.

Performance Food Group Peers Comparison

Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
USFD	74 Outperform	$16.71B	31.20	12.29%	―	4.80%	3.49%
CHEF	72 Outperform	$2.46B	34.92	14.12%	―	8.88%	54.12%
SYY	71 Outperform	$35.57B	19.90	84.89%	2.84%	2.92%	-4.06%
PFGC	65 Neutral	$13.87B	42.51	7.42%	―	10.55%	-23.38%
Sector *	62 Neutral	$20.33B	14.63	-3.31%	3.23%	1.93%	-12.26%
UNFI	52 Neutral	$2.01B	-19.79	-6.37%	―	1.45%	-5.49%

Performance Food Group Corporate Events

Performance Food Group Announces CEO Succession and Transition

On December 18, 2025, Performance Food Group announced a leadership succession in which long-time Chairman and CEO George L. Holm will retire from the chief executive role and transition to Executive Chair of the board effective January 1, 2026, while Scott E. McPherson, currently president and chief operating officer, will become CEO and join the board as its 14th member on the same date. The move, described as the result of multi-year succession planning, keeps Holm focused on M&A, key customer relationships and strategic oversight, and elevates McPherson, a former Core-Mark CEO with more than 30 years’ industry experience, who played a central role in shaping PFG’s strategy and overseeing its core segments. In conjunction with the change, the board approved a substantial new compensation package for McPherson, including a higher base salary and performance-oriented equity awards tied to relative total shareholder return, while reducing Holm’s pay to reflect his new role, signaling a carefully managed transition designed to maintain strategic continuity and support the company’s growth and value-creation objectives for shareholders and other stakeholders.

The most recent analyst rating on (PFGC) stock is a Buy with a $120.00 price target. To see the full list of analyst forecasts on Performance Food Group stock, see the PFGC Stock Forecast page.

Performance Food Group Ends Talks with US Foods

On November 24, 2025, Performance Food Group announced the mutual termination of an information sharing process with US Foods, deciding not to pursue a potential business combination. The decision followed a detailed evaluation of regulatory considerations and synergies, with PFG’s board concluding that focusing on its standalone strategic plan would best serve long-term stockholder value. PFG reiterated its fiscal 2026 financial outlook, expecting significant revenue and profit growth, supported by strong first-quarter results.

The most recent analyst rating on (PFGC) stock is a Buy with a $116.00 price target. To see the full list of analyst forecasts on Performance Food Group stock, see the PFGC Stock Forecast page.

Performance Food Group Holds 2025 Annual Stockholder Meeting

On November 19, 2025, Performance Food Group Company held its 2025 Annual Meeting of Stockholders where key decisions were made. Stockholders elected directors for a one-year term and ratified Deloitte & Touche LLP as the independent registered public accounting firm for fiscal 2026. Additionally, an advisory vote approved the compensation of the company’s named executive officers.

The most recent analyst rating on (PFGC) stock is a Buy with a $116.00 price target. To see the full list of analyst forecasts on Performance Food Group stock, see the PFGC Stock Forecast page.