US Foods Holding (USFD) AI Stock Analysis

• Market Cap: $17.37B
• Dividend Yield: N/A
• Average Volume (3M): 2.54M
• Price to Earnings (P/E): 32.6
• Beta (1Y): 0.78
• Revenue Growth: 5.32%
• EPS Growth: 11.65%
• Country: US
• Employees: 30,000
• Sector: Consumer Defensive
• Sector Strength: 59
• Industry: Food Distribution
• EPS (TTM): 1.19
• Shares Outstanding: 225,171,620
• 10 Day Avg. Volume: 2,958,790
• 30 Day Avg. Volume: 2,539,630
• PEG Ratio: N/A
• Price to Book (P/B): N/A
• Price to Sales (P/S): N/A
• P/FCF Ratio: N/A
• Enterprise Value/Market Cap: 1.32
• Enterprise Value/Revenue: 0.59
• Enterprise Value/Gross Profit: 3.41
• Enterprise Value/Ebitda: 16.67
• 1Y Price Target: $89.82
• Price Target Upside: 17.64% Upside
• Rating Consensus: Strong Buy
• Number of Analyst Covering: 11

• Rating: 68 Neutral
• Price Target: $86.00 ▲(12.64% Upside)

US Foods Holding's overall stock score is driven by strong earnings performance and positive guidance, which are offset by technical indicators suggesting bearish momentum and a high valuation. The company's financial health is solid, but operational and cash flow challenges remain. The absence of a dividend yield further impacts the valuation score.

Positive Factors

Cost Management

Margin expansion through self-help initiatives and identified cost savings gives confidence in strong EBITDA growth.

Financial Performance

USFD provided a solid Q2 beat and raise, indicating strong performance despite challenges.

Market Strategy

USFD is a share consolidator in a fragmented industry and has a line of sight on industry-leading EPS growth.

Negative Factors

Market Performance

Total organizational case volume growth of 1.4% missed the bar of about 2%; more importantly, independent case volume of 1.8% missed the 3%+ bar and slowed sequentially.

Mergers and Acquisitions

Management's interest in acquiring PFGC has been rebuffed, making a transaction highly unlikely.

US Foods Holding Business Overview & Revenue Model

Company Description

US Foods Holding Corp. is one of the largest foodservice distributors in the United States, serving a diverse customer base that includes restaurants, healthcare facilities, and educational institutions. The company operates through various segments, providing a wide range of products such as fresh meat, produce, canned and frozen foods, and disposable supplies. US Foods is committed to delivering quality products and innovative solutions to its customers, enhancing their operational efficiency and culinary offerings.

How the Company Makes Money

US Foods generates revenue primarily through the sale of food and related products to foodservice operators. Its revenue model is based on a wholesale distribution model, where the company purchases products from manufacturers and suppliers, then sells them to customers at a markup. Key revenue streams include the sale of fresh and frozen foods, dry goods, and non-food items. Additionally, US Foods has established strategic partnerships with various food manufacturers and suppliers, allowing it to offer exclusive products and competitive pricing. The company also benefits from ancillary services, such as menu development and operational consulting, which enhance customer loyalty and drive additional revenue.

US Foods Holding Financial Statement Overview

Summary

US Foods Holding demonstrates solid revenue growth and improving profitability, with effective leverage management. However, challenges in operational efficiency and cash flow management persist. Continued focus on cost control and cash flow optimization will be crucial for sustaining financial health.

Income Statement

US Foods Holding has shown strong revenue growth with a TTM increase of 9.74% and consistent gross profit margins around 17%. The net profit margin has improved to 1.43% in the TTM, indicating enhanced profitability. However, the EBIT margin has slightly decreased, suggesting some operational cost pressures.

Balance Sheet

The company's debt-to-equity ratio has improved to 1.08 in the TTM, reflecting better leverage management. Return on equity has increased to 12.04%, showcasing effective use of equity to generate profits. However, the equity ratio remains stable, indicating moderate financial stability.

Cash Flow

Operating cash flow has increased, but free cash flow growth is negative at -13.92% in the TTM, which could indicate higher capital expenditures or other cash outflows. The free cash flow to net income ratio remains strong at 0.75, suggesting efficient cash generation relative to net income.

Breakdown	TTM	Dec 2024	Dec 2023	Dec 2022	Dec 2021	Dec 2020
Income Statement
Total Revenue	38.65B	37.88B	35.60B	34.06B	29.49B	22.89B
Gross Profit	6.72B	6.53B	6.15B	5.49B	4.66B	3.72B
EBITDA	1.38B	1.40B	1.40B	1.02B	841.00M	371.00M
Net Income	553.00M	494.00M	506.00M	265.00M	164.00M	-226.00M
Balance Sheet
Total Assets	13.79B	13.44B	13.19B	12.77B	12.52B	12.42B
Cash, Cash Equivalents and Short-Term Investments	61.00M	59.00M	269.00M	211.00M	148.00M	828.00M
Total Debt	5.01B	5.43B	5.20B	5.31B	5.47B	6.19B
Total Liabilities	9.16B	8.91B	8.44B	8.28B	8.25B	8.37B
Stockholders Equity	4.63B	4.53B	4.75B	4.50B	4.27B	4.05B
Cash Flow
Free Cash Flow	965.00M	833.00M	831.00M	500.00M	145.00M	224.00M
Operating Cash Flow	1.29B	1.17B	1.14B	765.00M	419.00M	413.00M
Investing Cash Flow	-389.00M	-552.00M	-495.00M	-255.00M	-262.00M	-1.11B
Financing Cash Flow	-1.23B	-831.00M	-587.00M	-447.00M	-837.00M	1.43B

US Foods Holding Technical Analysis

• Technical Analysis Sentiment: Neutral
• Last Price: 76.35
• 50DMA: Negative
• 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 USFD, the sentiment is Neutral. The current price of 76.35 is below the 20-day moving average (MA) of 81.63, below the 50-day MA of 79.57, and above the 200-day MA of 71.16, indicating a neutral trend. The MACD of -0.67 indicates Positive momentum. The RSI at 34.94 is Neutral, neither overbought nor oversold. The STOCH value of 10.41 is Positive, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Neutral sentiment for USFD.

US Foods Holding Peers Comparison

Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
PFGC	78 Outperform	$15.77B	46.32	7.91%	―	8.61%	-22.16%
SYY	73 Outperform	$39.36B	21.77	99.08%	2.60%	3.21%	-4.03%
CHEF	73 Outperform	$2.50B	37.83	13.64%	―	7.90%	68.05%
SPTN	71 Outperform	$898.26M	2,245.98	-2.08%	3.30%	0.26%	-119.66%
USFD	68 Neutral	$17.37B	32.64	11.48%	―	5.32%	11.65%
UNFI	66 Neutral	$1.60B	―	-4.11%	―	6.62%	53.12%
Sector *	63 Neutral	$20.97B	14.56	-8.07%	3.14%	2.79%	-9.90%

US Foods Holding Corporate Events

US Foods CEO Discusses Potential Merger with PFG

On August 7, 2025, US Foods Holding Corp. CEO Dave Flitman addressed speculation about a potential merger with Performance Food Group during the company’s Q2 2025 earnings call. Flitman highlighted the strategic benefits of such a merger, including economies of scale, expanded growth opportunities, and enhanced competition in the foodservice industry. Despite US Foods’ approach to PFG to explore the merger’s potential, PFG has declined the invitation. The proposed combination is seen as a way to offer a broader product range, improve market competitiveness, and generate significant synergies and shareholder returns.

The most recent analyst rating on (USFD) stock is a Buy with a $79.00 price target. To see the full list of analyst forecasts on US Foods Holding stock, see the USFD Stock Forecast page.

US Foods Holding Concludes Annual Stockholders Meeting

On May 22, 2025, US Foods Holding Corp. conducted its annual meeting of stockholders, where a quorum was achieved with 219,917,528 shares represented. During the meeting, several directors were elected to serve until the next annual meeting, and a proposal to approve executive officer compensation on a non-binding advisory basis was passed.

The most recent analyst rating on (USFD) stock is a Buy with a $71.00 price target. To see the full list of analyst forecasts on US Foods Holding stock, see the USFD Stock Forecast page.