US Foods (USFD) Given “Hold” Rating at Pivotal Research
“We have greater conviction now that the FY20 three-year targets are overly aggressive (2-4% annual case growth, 4-6% sales growth, 8-10% adj. EBITDA growth). While we expect the FY20 guidance to be reset after the close of the SGA acquisition, the existing FY20 guidance assumes organic adj. EBITDA growth of around 7-9% over three years. We estimate that USFD is again set to deliver around 4-5% adj. EBITDA growth in FY19. Our estimates exclude the impact of SGA (now set to close in the 2Q19 timeframe).”,” the firm’s analyst wrote.
Several other equities analysts have also weighed in on USFD. Zacks Investment Research upgraded shares of US Foods from a sell rating to a hold rating in a research report on Saturday, November 10th. Citigroup reduced their price target on shares of US Foods from $39.00 to $37.00 and set a buy rating for the company in a research report on Tuesday, November 13th. Loop Capital cut their target price on shares of US Foods from $36.00 to $34.00 and set a hold rating for the company in a research report on Friday, November 9th. Buckingham Research assumed coverage on shares of US Foods in a research report on Monday, October 22nd. They set a neutral rating and a $32.00 target price for the company. Finally, TheStreet upgraded shares of US Foods from a c rating to a b- rating in a research report on Tuesday, December 18th. Six equities research analysts have rated the stock with a hold rating and seven have issued a buy rating to the company. The company currently has an average rating of Buy and a consensus price target of $38.08.
US Foods (NYSE:USFD) last posted its quarterly earnings results on Tuesday, February 12th. The company reported $0.56 earnings per share for the quarter, missing the Thomson Reuters’ consensus estimate of $0.60 by ($0.04). The company had revenue of $6.04 billion for the quarter, compared to the consensus estimate of $5.98 billion. US Foods had a net margin of 2.33% and a return on equity of 13.04%. US Foods’s quarterly revenue was up .8% compared to the same quarter last year. During the same quarter in the previous year, the company posted $0.44 EPS. Equities research analysts predict that US Foods will post 1.99 earnings per share for the current fiscal year.
A number of large investors have recently modified their holdings of USFD. Deutsche Bank AG lifted its holdings in shares of US Foods by 31.9% in the third quarter. Deutsche Bank AG now owns 2,067,166 shares of the company’s stock worth $63,702,000 after buying an additional 500,251 shares in the last quarter. Bank of New York Mellon Corp lifted its holdings in shares of US Foods by 1.2% in the third quarter. Bank of New York Mellon Corp now owns 2,903,382 shares of the company’s stock worth $89,483,000 after buying an additional 34,643 shares in the last quarter. Longview Partners Guernsey LTD purchased a new stake in shares of US Foods in the third quarter worth about $455,678,000. Highland Capital Management LLC lifted its holdings in shares of US Foods by 29.1% in the fourth quarter. Highland Capital Management LLC now owns 139,800 shares of the company’s stock worth $4,423,000 after buying an additional 31,550 shares in the last quarter. Finally, State Board of Administration of Florida Retirement System lifted its holdings in shares of US Foods by 8.6% in the third quarter. State Board of Administration of Florida Retirement System now owns 132,857 shares of the company’s stock worth $4,095,000 after buying an additional 10,537 shares in the last quarter. Hedge funds and other institutional investors own 99.44% of the company’s stock.
US Foods Company Profile
US Foods Holding Corp., through its subsidiary, US Foods, Inc, markets and distributes fresh, frozen, and dry food and non-food products to foodservice customers in the United States. Its customers include independently owned single and multi-unit restaurants, regional concepts, national restaurant chains, hospitals, nursing homes, hotels and motels, country clubs, government and military organizations, colleges and universities, and retail locations.
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