US Foods (NYSE:USFD) Rating Lowered to Strong Sell at Zacks Research

US Foods (NYSE:USFD) was downgraded by equities researchers at Zacks Research from a “hold” rating to a “strong sell” rating in a research note issued to investors on Wednesday,Zacks.com reports.

A number of other brokerages also recently commented on USFD. Weiss Ratings downgraded US Foods from a “buy (b+)” rating to a “buy (b)” rating in a research note on Friday, May 1st. JPMorgan Chase & Co. reduced their price target on US Foods from $98.00 to $90.00 and set a “neutral” rating for the company in a report on Thursday, May 14th. BTIG Research lowered their price target on US Foods from $110.00 to $105.00 and set a “buy” rating for the company in a research note on Monday, May 11th. Piper Sandler dropped their price objective on US Foods from $103.00 to $88.00 and set a “neutral” rating on the stock in a report on Monday, June 1st. Finally, Wall Street Zen lowered shares of US Foods from a “buy” rating to a “hold” rating in a research report on Saturday, May 9th. Ten investment analysts have rated the stock with a Buy rating, two have issued a Hold rating and one has given a Sell rating to the company. According to MarketBeat.com, US Foods has an average rating of “Moderate Buy” and a consensus target price of $105.50.

US Foods Trading Up 2.1%

Shares of NYSE:USFD opened at $104.04 on Wednesday. The firm has a fifty day moving average of $88.97 and a two-hundred day moving average of $87.85. The firm has a market capitalization of $22.91 billion, a P/E ratio of 35.03, a price-to-earnings-growth ratio of 1.30 and a beta of 0.79. US Foods has a 12-month low of $69.88 and a 12-month high of $104.43. The company has a quick ratio of 0.70, a current ratio of 1.14 and a debt-to-equity ratio of 1.16.

US Foods (NYSE:USFD) last posted its quarterly earnings results on Thursday, May 7th. The company reported $0.78 EPS for the quarter, missing the consensus estimate of $0.82 by ($0.04). US Foods had a net margin of 1.71% and a return on equity of 19.37%. The company had revenue of $9.61 billion for the quarter, compared to analysts’ expectations of $9.66 billion. During the same quarter in the prior year, the firm earned $0.68 earnings per share. The company’s revenue was up 2.8% on a year-over-year basis. US Foods has set its FY 2026 guidance at 4.696-4.935 EPS. On average, equities analysts expect that US Foods will post 4.34 EPS for the current fiscal year.

Hedge Funds Weigh In On US Foods

A number of institutional investors have recently made changes to their positions in USFD. Measured Wealth Private Client Group LLC bought a new stake in US Foods during the 3rd quarter valued at approximately $26,000. Steph & Co. bought a new position in US Foods in the 4th quarter worth approximately $34,000. Nalls Sherbakoff Group LLC acquired a new position in shares of US Foods during the fourth quarter worth approximately $36,000. Geneos Wealth Management Inc. lifted its holdings in shares of US Foods by 120.1% during the second quarter. Geneos Wealth Management Inc. now owns 482 shares of the company’s stock worth $37,000 after buying an additional 263 shares during the last quarter. Finally, Western Wealth Management LLC bought a new stake in shares of US Foods in the first quarter valued at approximately $46,000. 98.76% of the stock is currently owned by institutional investors.

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.