JPMorgan Chase & Co. Has Lowered Expectations for US Foods (NYSE:USFD) Stock Price

Key Points

• JPMorgan cut US Foods’ price target from $108 to $98 and maintained a “neutral” rating, implying roughly 4.9% upside from the reported $93.44 share price.
• Despite JPMorgan’s caution, broader analyst sentiment remains positive: US Foods has an average “Moderate Buy” rating and a consensus price target of $114.54, supported by 11 Buy ratings and four Holds.
• US Foods exceeded quarterly expectations, reporting $1.44 in earnings per share versus the $1.36 consensus and $10.53 billion in revenue; however, two insiders recently sold shares, while institutional investors own 98.76% of the company.

US Foods (NYSE:USFD - Get Free Report) had its price objective cut by stock analysts at JPMorgan Chase & Co. from $108.00 to $98.00 in a research report issued to clients and investors on Tuesday, Benzinga reports. The firm presently has a "neutral" rating on the stock. JPMorgan Chase & Co.'s price objective would indicate a potential upside of 4.88% from the stock's current price.

USFD has been the subject of a number of other research reports. BMO Capital Markets reissued an "outperform" rating and issued a $120.00 price objective on shares of US Foods in a report on Friday, August 7th. Zacks Research raised shares of US Foods from a "strong sell" rating to a "hold" rating in a research note on Tuesday, July 28th. Weiss Ratings upgraded shares of US Foods from a "buy (b)" rating to a "buy (b+)" rating in a report on Tuesday, September 22nd. UBS Group boosted their target price on shares of US Foods from $117.00 to $127.00 and gave the company a "buy" rating in a report on Friday, August 7th. Finally, Citigroup increased their price target on shares of US Foods from $110.00 to $124.00 and gave the company a "buy" rating in a research note on Friday, August 7th. Eleven analysts have rated the stock with a Buy rating and four have issued a Hold rating to the company. According to data from MarketBeat, US Foods has an average rating of "Moderate Buy" and an average price target of $114.54.

US Foods Price Performance

Shares of NYSE:USFD traded down $0.28 during midday trading on Tuesday, hitting $93.44. The company had a trading volume of 161,340 shares, compared to its average volume of 2,637,938. US Foods has a twelve month low of $69.88 and a twelve month high of $111.42. The stock has a market cap of $20.21 billion, a price-to-earnings ratio of 28.77, a price-to-earnings-growth ratio of 1.19 and a beta of 0.82. The company has a debt-to-equity ratio of 1.19, a current ratio of 1.14 and a quick ratio of 0.70. The business's 50-day simple moving average is $101.68 and its 200-day simple moving average is $94.88.

US Foods (NYSE:USFD - Get Free Report) last released its quarterly earnings data on Thursday, August 6th. The company reported $1.44 earnings per share for the quarter, topping analysts' consensus estimates of $1.36 by $0.08. US Foods had a return on equity of 20.53% and a net margin of 1.81%.The company had revenue of $10.53 billion for the quarter, compared to analyst estimates of $10.46 billion. During the same quarter in the previous year, the company posted $1.19 earnings per share. The firm's revenue for the quarter was up 4.5% compared to the same quarter last year. US Foods has set its FY 2026 guidance at 4.696-4.935 EPS. On average, research analysts predict that US Foods will post 4.4 earnings per share for the current year.

Insiders Place Their Bets

In related news, insider William Spencer Hancock sold 21,754 shares of the firm's stock in a transaction dated Friday, August 7th. The stock was sold at an average price of $108.29, for a total transaction of $2,355,740.66. Following the completion of the transaction, the insider directly owned 101,144 shares in the company, valued at $10,952,883.76. This trade represents a 17.70% decrease in their position. The sale was disclosed in a legal filing with the SEC, which is available through this link. Also, insider Randy J. Taylor sold 11,630 shares of US Foods stock in a transaction dated Thursday, August 13th. The shares were sold at an average price of $110.37, for a total value of $1,283,603.10. Following the completion of the transaction, the insider directly owned 73,618 shares of the company's stock, valued at approximately $8,125,218.66. This represents a 13.64% decrease in their ownership of the stock. Additional details regarding this sale are available in the official SEC disclosure. Insiders own 0.74% of the company's stock.

Institutional Inflows and Outflows

Hedge funds and other institutional investors have recently made changes to their positions in the business. QRG Capital Management Inc. grew its holdings in shares of US Foods by 3.1% in the second quarter. QRG Capital Management Inc. now owns 47,763 shares of the company's stock valued at $4,884,000 after purchasing an additional 1,425 shares in the last quarter. Junto Capital Management LP purchased a new position in US Foods in the 2nd quarter valued at approximately $70,921,000. Cidel Asset Management Inc. boosted its position in US Foods by 10.1% in the 2nd quarter. Cidel Asset Management Inc. now owns 2,947 shares of the company's stock valued at $301,000 after buying an additional 270 shares during the period. Integrated Wealth Concepts LLC grew its stake in shares of US Foods by 9.0% in the second quarter. Integrated Wealth Concepts LLC now owns 3,094 shares of the company's stock worth $316,000 after acquiring an additional 255 shares in the last quarter. Finally, NewEdge Advisors LLC grew its stake in shares of US Foods by 5.7% in the second quarter. NewEdge Advisors LLC now owns 10,962 shares of the company's stock worth $1,121,000 after acquiring an additional 592 shares in the last quarter. Hedge funds and other institutional investors own 98.76% of the company's stock.

About US Foods

US Foods Holding Corp. NYSE: USFD is a major foodservice distributor serving restaurants and other food-away-from-home businesses across the United States. The company supplies independent and multi-unit restaurants, healthcare organizations, hospitality businesses, educational institutions, government facilities and other commercial customers.

Its product portfolio includes fresh produce, meat and seafood, dairy products, frozen and dry groceries, beverages, ingredients, disposable supplies, kitchen equipment and other foodservice-related products.

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