Sterling Capital Management LLC Acquires 11,651 Shares of US Foods Holding Corp. $USFD

Key Points

• Sterling Capital Management increased its US Foods position by 144.6% in the third quarter, purchasing 11,651 additional shares and bringing its total holdings to 19,709 shares valued at approximately $1.82 million.
• Institutional ownership remains substantial, with hedge funds and other institutional investors holding 98.76% of US Foods’ outstanding stock. Major investors including Wellington Management, BlackRock and Primecap also increased or initiated positions.
• Analysts maintain a positive outlook, with a consensus “Moderate Buy” rating and an average price target of $114.85. US Foods also exceeded quarterly earnings and revenue estimates, reporting $1.44 in EPS and $10.53 billion in revenue.

Sterling Capital Management LLC raised its holdings in US Foods Holding Corp. (NYSE:USFD - Free Report) by 144.6% in the 3rd quarter, according to its most recent Form 13F filing with the Securities & Exchange Commission. The institutional investor owned 19,709 shares of the company's stock after purchasing an additional 11,651 shares during the period. Sterling Capital Management LLC's holdings in US Foods were worth $1,817,000 at the end of the most recent reporting period.

Other large investors have also recently modified their holdings of the company. Wellington Management Group LLP lifted its stake in shares of US Foods by 46.1% during the 2nd quarter. Wellington Management Group LLP now owns 23,009,877 shares of the company's stock valued at $2,352,760,000 after buying an additional 7,259,357 shares in the last quarter. BlackRock Inc. bought a new position in US Foods in the 2nd quarter worth approximately $2,131,439,000. Primecap Management Co. CA purchased a new position in US Foods in the 2nd quarter valued at approximately $406,997,000. Bessemer Group Inc. grew its stake in US Foods by 1.8% in the 1st quarter. Bessemer Group Inc. now owns 2,926,696 shares of the company's stock valued at $269,872,000 after buying an additional 51,519 shares in the last quarter. Finally, Bank of America Corp DE grew its stake in US Foods by 50.9% in the 1st quarter. Bank of America Corp DE now owns 1,520,296 shares of the company's stock valued at $140,186,000 after buying an additional 512,511 shares in the last quarter. Hedge funds and other institutional investors own 98.76% of the company's stock.

Wall Street Analysts Forecast Growth

Several equities research analysts have issued reports on the company. Zacks Research upgraded US Foods from a "strong sell" rating to a "hold" rating in a research report on Tuesday, July 28th. Morgan Stanley lifted their price target on US Foods from $107.00 to $111.00 and gave the company an "equal weight" rating in a research report on Thursday, October 15th. Weiss Ratings upgraded US Foods from a "buy (b)" rating to a "buy (a-)" rating in a research report on Friday. TD Cowen boosted their price objective on US Foods from $116.00 to $119.00 and gave the company a "buy" rating in a research note on Thursday, August 6th. Finally, BTIG Research increased their price objective on US Foods from $105.00 to $120.00 and gave the stock a "buy" rating in a report on Friday, August 7th. One analyst has rated the stock with a Strong Buy rating, ten have assigned a Buy rating and four have issued a Hold rating to the company. According to MarketBeat, the stock has a consensus rating of "Moderate Buy" and an average price target of $114.85.

US Foods Price Performance

Shares of NYSE:USFD opened at $100.96 on Monday. The company's fifty day moving average price is $99.98 and its 200-day moving average price is $95.84. The firm has a market capitalization of $21.84 billion, a price-to-earnings ratio of 31.06, a PEG ratio of 1.28 and a beta of 0.86. US Foods Holding Corp. has a one year low of $69.88 and a one year high of $111.42. The company has a debt-to-equity ratio of 1.19, a current ratio of 1.14 and a quick ratio of 0.70.

US Foods (NYSE:USFD - Get Free Report) last posted its quarterly earnings data on Thursday, August 6th. The company reported $1.44 earnings per share for the quarter, beating the consensus estimate of $1.36 by $0.08. US Foods had a net margin of 1.81% and a return on equity of 20.53%. The firm had revenue of $10.53 billion for the quarter, compared to analysts' expectations of $10.46 billion. During the same quarter last year, the company posted $1.19 EPS. The business's quarterly revenue was up 4.5% on a year-over-year basis. US Foods has set its FY 2026 guidance at 4.696-4.935 EPS. On average, equities research analysts anticipate that US Foods Holding Corp. will post 4.45 earnings per share for the current fiscal year.

Insiders Place Their Bets

In other US Foods news, insider William Spencer Hancock sold 21,754 shares of US Foods 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 sale, the insider owned 101,144 shares of the company's stock, valued at $10,952,883.76. The trade was a 17.70% decrease in their ownership of the stock. The sale was disclosed in a document filed with the SEC, which is available at this hyperlink. Also, insider Randy J. Taylor sold 11,630 shares of the company's stock in a transaction dated Thursday, August 13th. The stock was 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 owned 73,618 shares of the company's stock, valued at $8,125,218.66. The trade was a 13.64% decrease in their ownership of the stock. The SEC filing for this sale provides additional information. 0.74% of the stock is owned by corporate insiders.

US Foods Profile

US Foods Holding Corp. is a leading foodservice distributor serving restaurants, health care and hospitality organizations, educational institutions, government facilities and other commercial customers across the United States. Through its distribution network, the company delivers food, beverages, equipment and related supplies to professional foodservice operators.

The company offers a broad selection of fresh and frozen foods, dry groceries, beverages, meat, seafood, produce, dairy products and disposable supplies.

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