United Natural Foods (NYSE:UNFI) Shares Gap Down Following Weak Earnings

United Natural Foods, Inc. (NYSE:UNFI) shares gapped down prior to trading on Tuesday following a weaker than expected earnings announcement. The stock had previously closed at $51.64, but opened at $41.93. United Natural Foods shares last traded at $44.4120, with a volume of 708,638 shares traded.

The company reported $0.77 EPS for the quarter, missing analysts’ consensus estimates of $0.81 by ($0.04). The company had revenue of $7.72 billion during the quarter, compared to analysts’ expectations of $7.79 billion. United Natural Foods had a positive return on equity of 7.42% and a negative net margin of 0.12%.United Natural Foods’s revenue for the quarter was down 4.2% compared to the same quarter last year. During the same quarter last year, the firm posted $0.44 EPS. United Natural Foods has set its FY 2026 guidance at 2.400-2.600 EPS.

Trending Headlines about United Natural Foods

Here are the key news stories impacting United Natural Foods this week:

• Negative Sentiment: UNFI missed Wall Street’s revenue expectations, with Q3 net sales of about $7.72 billion coming in below forecasts and down year over year, which pressured the stock. UNFI Q3 Earnings Miss Estimates, Sales Guidance Range Narrowed
• Negative Sentiment: The company narrowed its full-year guidance and signaled ongoing pressure from higher energy costs and weaker consumer spending, adding to investor concern about near-term growth. United Natural Foods Warns Higher Energy Prices, SNAP Cuts Are Impacting Consumers
• Neutral Sentiment: Management emphasized margin expansion, improved adjusted EBITDA, and deleveraging efforts, suggesting execution is improving even though the top line remains under pressure. UNFI expects return to growth in fiscal 2027 while reiterating $695M adjusted EBITDA midpoint
• Neutral Sentiment: On the earnings call, UNFI framed fiscal 2027 as the likely return-to-growth year, which may reassure long-term investors but does little to offset the immediate sales miss. UNFI Q3 Earnings Call Puts Focus on 2027 Growth Path

Analyst Upgrades and Downgrades

A number of equities analysts have recently commented on UNFI shares. Wall Street Zen cut United Natural Foods from a “buy” rating to a “hold” rating in a report on Monday, May 4th. The Goldman Sachs Group reissued a “neutral” rating and set a $47.00 price target on shares of United Natural Foods in a research note on Wednesday. Deutsche Bank Aktiengesellschaft upped their price objective on United Natural Foods from $40.00 to $46.00 and gave the company a “hold” rating in a research report on Thursday, March 12th. BMO Capital Markets reaffirmed an “outperform” rating and issued a $56.00 price objective on shares of United Natural Foods in a research report on Wednesday. Finally, Roth Mkm reaffirmed a “neutral” rating and issued a $43.00 price objective on shares of United Natural Foods in a research report on Wednesday. Three research analysts have rated the stock with a Buy rating, six have given a Hold rating and one has given a Sell rating to the company’s stock. According to MarketBeat.com, the stock currently has a consensus rating of “Hold” and an average price target of $46.38.

Insider Buying and Selling

In other United Natural Foods news, insider Danielle Benedict sold 4,807 shares of the company’s stock in a transaction on Wednesday, May 6th. The stock was sold at an average price of $52.00, for a total value of $249,964.00. Following the transaction, the insider owned 98,470 shares of the company’s stock, valued at $5,120,440. This represents a 4.65% decrease in their position. The sale was disclosed in a legal filing with the SEC, which is available through this hyperlink. The transaction was executed under a pre-arranged Rule 10b5-1 trading plan. 2.40% of the stock is owned by company insiders.

Institutional Investors Weigh In On United Natural Foods

A number of institutional investors and hedge funds have recently bought and sold shares of the company. Groupe la Francaise raised its position in United Natural Foods by 33.3% during the 1st quarter. Groupe la Francaise now owns 10,000 shares of the company’s stock valued at $449,000 after purchasing an additional 2,500 shares in the last quarter. Bank of America Corp DE raised its position in United Natural Foods by 67.1% during the 1st quarter. Bank of America Corp DE now owns 359,539 shares of the company’s stock valued at $16,201,000 after purchasing an additional 144,322 shares in the last quarter. California State Teachers Retirement System raised its position in United Natural Foods by 23.8% during the 1st quarter. California State Teachers Retirement System now owns 71,085 shares of the company’s stock valued at $3,203,000 after purchasing an additional 13,669 shares in the last quarter. Empowered Funds LLC raised its position in United Natural Foods by 25.0% during the 1st quarter. Empowered Funds LLC now owns 433,634 shares of the company’s stock valued at $19,540,000 after purchasing an additional 86,605 shares in the last quarter. Finally, Quantinno Capital Management LP raised its position in United Natural Foods by 293.0% during the 1st quarter. Quantinno Capital Management LP now owns 64,514 shares of the company’s stock valued at $2,907,000 after purchasing an additional 48,099 shares in the last quarter. 87.63% of the stock is owned by institutional investors.

United Natural Foods Trading Up 9.3%

The company has a current ratio of 1.33, a quick ratio of 0.52 and a debt-to-equity ratio of 1.04. The stock has a 50-day simple moving average of $49.26 and a two-hundred day simple moving average of $41.24. The firm has a market capitalization of $3.08 billion, a P/E ratio of -76.76 and a beta of 0.81.

United Natural Foods Company Profile

United Natural Foods, Inc (NYSE: UNFI) is a leading distributor of natural, organic and specialty foods in North America. Founded in 1976 and headquartered in Providence, Rhode Island, the company has grown through strategic acquisitions and organic expansion to become one of the largest food distributors serving retail, foodservice and e-commerce customers.

UNFI’s core business centers on the procurement, warehousing and distribution of a broad portfolio of products, including fresh produce, groceries, frozen foods, dairy, bakery items, beverages, supplements and household essentials.