US Foods (NYSE:USFD) Issues Earnings Results

US Foods (NYSE:USFD) announced its earnings results on Thursday. The company reported $1.44 earnings per share (EPS) for the quarter, topping analysts’ consensus estimates of $1.36 by $0.08, FiscalAI reports. US Foods had a return on equity of 19.37% and a net margin of 1.71%.The firm had revenue of $10.53 billion during the quarter, compared to analysts’ expectations of $10.46 billion. During the same quarter in the prior year, the business earned $1.19 earnings per share. The company’s revenue was up 4.5% on a year-over-year basis. US Foods updated its FY 2026 guidance to 4.696-4.935 EPS.

Here are the key takeaways from US Foods’ conference call:

• Positive Sentiment: US Foods reported strong second-quarter results, with net sales up 4.5% to $10.5 billion, adjusted EBITDA up 10.2% to a record $604 million, and adjusted diluted EPS up 21% to $1.44. Adjusted EBITDA margin expanded 29 basis points to a record 5.7%.
• Positive Sentiment: Independent restaurant case volume accelerated 5.1%, supported by the strongest net-new-account generation in three years, while healthcare and hospitality volumes grew 3.5% and 4.4%, respectively. The company said it gained share with independent restaurants for the 21st consecutive quarter and healthcare for the 23rd.
• Positive Sentiment: Pronto sales are expected to reach approximately $1.3 billion in 2026, and US Foods raised its 2027 sales outlook for the program to more than $1.7 billion from $1.5 billion previously. Management also cited early encouraging behavior from the new sales compensation plan, though the full impact may take two to three years.
• Positive Sentiment: Self-help initiatives continued to support margins, including more than $50 million of cost-of-goods savings in the first half and over $20 million of incremental indirect procurement savings year to date. The company is also expanding AI applications in sales, forecasting, labor planning, routing, and inventory management to improve productivity and service.
• Neutral Sentiment: US Foods reaffirmed its 2026 guidance for 4%–6% net sales growth, 9%–13% adjusted EBITDA growth, 18%–24% adjusted EPS growth, and 2.5%–4.5% total case volume growth. Management continues to cite industry traffic, inflation, and fuel prices as key variables, while noting that higher sales-force costs will remain elevated for the next couple of quarters.

US Foods Stock Performance

Shares of USFD stock traded up $2.01 during trading hours on Friday, reaching $108.98. 2,423,713 shares of the company’s stock were exchanged, compared to its average volume of 2,743,044. US Foods has a fifty-two week low of $69.88 and a fifty-two week high of $110.08. The company has a quick ratio of 0.70, a current ratio of 1.14 and a debt-to-equity ratio of 1.16. The stock has a market capitalization of $24.00 billion, a P/E ratio of 36.69, a P/E/G ratio of 1.28 and a beta of 0.81. The business has a fifty day moving average price of $96.42 and a 200-day moving average price of $91.94.

Hedge Funds Weigh In On US Foods

A number of institutional investors and hedge funds have recently bought and sold shares of the stock. Measured Wealth Private Client Group LLC acquired a new position in US Foods during the 3rd quarter valued at $26,000. Geneos Wealth Management Inc. grew its position in US Foods by 120.1% in the 2nd quarter. Geneos Wealth Management Inc. now owns 482 shares of the company’s stock worth $37,000 after purchasing an additional 263 shares during the last quarter. Caitong International Asset Management Co. Ltd acquired a new stake in US Foods in the 3rd quarter worth $49,000. AlphaCentric Advisors LLC bought a new position in shares of US Foods during the 4th quarter worth about $79,000. Finally, Northwestern Mutual Wealth Management Co. increased its holdings in shares of US Foods by 68.5% during the 3rd quarter. Northwestern Mutual Wealth Management Co. now owns 1,198 shares of the company’s stock worth $92,000 after purchasing an additional 487 shares during the period. Institutional investors own 98.76% of the company’s stock.

More US Foods News

Here are the key news stories impacting US Foods this week:

• Positive Sentiment: Solid Q2 earnings: US Foods reported adjusted EPS of $1.44, exceeding the $1.36 consensus estimate, while revenue reached $10.53 billion versus expectations of $10.46 billion. Revenue increased 4.5% year over year, and adjusted EBITDA rose 10.2% to a record $604 million. US Foods earnings report
• Positive Sentiment: Growth and guidance reaffirmed: Independent restaurant case volume accelerated 5.1%, total case volume increased 1.9%, and net income rose 22.8% to $275 million. Management reaffirmed fiscal 2026 targets, including 4%–6% sales growth, 9%–13% adjusted EBITDA growth and 18%–24% adjusted EPS growth. The company also repurchased $374 million of stock during the quarter. US Foods Q2 results and outlook
• Positive Sentiment: Analyst optimism increased: Citigroup raised its price target from $110 to $124 and initiated a “buy” rating. Wells Fargo lifted its target from $110 to $125 with an “overweight” rating, while BTIG increased its target from $105 to $120 and reiterated “buy.” These targets imply additional upside and reinforce the positive reaction to the earnings report. Analyst price-target revisions
• Neutral Sentiment: Valuation remains a consideration: Despite a reported 206% five-year return, one analysis cautioned that US Foods stock may now look expensive, potentially limiting further gains unless earnings continue to grow rapidly. US Foods valuation analysis
• Negative Sentiment: Insider selling: Company insiders have reported three open-market sales and no purchases over the past six months, including sales by the chief financial officer. While not necessarily a fundamental concern, the activity is a potential sentiment headwind.

Wall Street Analyst Weigh In

A number of analysts have recently weighed in on USFD shares. Piper Sandler reduced their price objective on shares of US Foods from $103.00 to $88.00 and set a “neutral” rating for the company in a research note on Monday, June 1st. Wells Fargo & Company raised their target price on shares of US Foods from $110.00 to $125.00 and gave the company an “overweight” rating in a research note on Friday. UBS Group lifted their target price on shares of US Foods from $117.00 to $127.00 and gave the stock a “buy” rating in a report on Friday. Zacks Research raised shares of US Foods from a “strong sell” rating to a “hold” rating in a research report on Tuesday, July 28th. Finally, Guggenheim upped their price target on shares of US Foods from $115.00 to $120.00 and gave the company a “buy” rating in a report on Friday. Eleven research analysts have rated the stock with a Buy rating and four have assigned a Hold rating to the company. Based on data from MarketBeat.com, the stock has an average rating of “Moderate Buy” and a consensus price target of $112.38.

About US Foods

US Foods (NYSE: USFD) is a leading foodservice distributor in the United States that supplies a wide range of products and services to professional food operators. The company provides fresh, frozen and dry food items as well as non-food restaurant supplies and kitchen equipment. Its customer base includes independent restaurants, multi-unit chains, healthcare and senior living facilities, hospitality businesses, government and educational institutions, and other foodservice operators.

Beyond commodity and branded food products, US Foods offers value-added solutions designed to help customers run their businesses.