United Natural Foods (NYSE:UNFI) Shares Down 4.3% - Time to Sell?

Key Points

• UNFI shares fell 4.3% to about $48.62, below the consensus analyst price target of $47.86 only slightly, while the overall analyst rating remains “Hold.”
• The company missed quarterly expectations, reporting $0.77 in EPS versus $0.81 expected and $7.72 billion in revenue versus $7.79 billion; revenue declined 4.2% year over year.
• Analyst sentiment is mixed, with targets ranging from $43 to $47, while two insiders recently sold shares. Institutional investors remain heavily involved, owning 87.63% of the stock.

United Natural Foods, Inc. (NYSE:UNFI - Get Free Report) shares traded down 4.3% during trading on Monday . The company traded as low as $48.22 and last traded at $48.6230. Approximately 368,939 shares traded hands during trading, a decline of 48% from the average session volume of 702,845 shares. The stock had previously closed at $50.83.

Analysts Set New Price Targets

UNFI has been the topic of several analyst reports. The Goldman Sachs Group reaffirmed a "neutral" rating and set a $47.00 target price on shares of United Natural Foods in a research report on Wednesday, June 10th. Zacks Research upgraded United Natural Foods from a "hold" rating to a "strong-buy" rating in a research note on Friday, July 3rd. Roth Capital reaffirmed a "neutral" rating and set a $43.00 price objective on shares of United Natural Foods in a report on Wednesday, June 10th. UBS Group upped their target price on shares of United Natural Foods from $44.00 to $47.00 and gave the stock a "neutral" rating in a research note on Wednesday, June 10th. Finally, Wall Street Zen downgraded shares of United Natural Foods from a "buy" rating to a "hold" rating in a report on Sunday, July 12th. One research analyst has rated the stock with a Strong Buy rating, two have given a Buy rating, five have assigned a Hold rating and one has issued a Sell rating to the company's stock. According to MarketBeat, the stock presently has an average rating of "Hold" and a consensus price target of $47.86.

United Natural Foods Stock Down 5.1%

The stock has a fifty day moving average of $49.71 and a 200 day moving average of $45.16. The company has a debt-to-equity ratio of 1.04, a current ratio of 1.33 and a quick ratio of 0.51. The firm has a market capitalization of $2.92 billion, a P/E ratio of -73.11 and a beta of 0.84.

United Natural Foods (NYSE:UNFI - Get Free Report) last announced its quarterly earnings data on Tuesday, June 9th. The company reported $0.77 earnings per share (EPS) for the quarter, missing analysts' consensus estimates of $0.81 by ($0.04). United Natural Foods had a negative net margin of 0.12% and a positive return on equity of 7.42%. The business had revenue of $7.72 billion during the quarter, compared to the consensus estimate of $7.79 billion. During the same quarter last year, the company earned $0.44 EPS. The firm's revenue for the quarter was down 4.2% compared to the same quarter last year. United Natural Foods has set its FY 2026 guidance at 2.400-2.600 EPS. On average, research analysts anticipate that United Natural Foods, Inc. will post 2.52 EPS for the current fiscal year.

Insider Activity

In other United Natural Foods news, insider Mark Bushway sold 10,000 shares of the business's stock in a transaction dated Tuesday, June 23rd. The shares were sold at an average price of $51.56, for a total value of $515,600.00. Following the transaction, the insider directly owned 51,119 shares in the company, valued at $2,635,695.64. The trade was a 16.36% decrease in their ownership of the stock. The transaction was disclosed in a legal filing with the Securities & Exchange Commission, which is available through the SEC website. Also, insider Danielle Benedict sold 4,807 shares of the stock in a transaction that occurred on Wednesday, May 6th. The shares were sold at an average price of $52.00, for a total transaction of $249,964.00. Following the transaction, the insider directly owned 98,470 shares of the company's stock, valued at $5,120,440. This represents a 4.65% decrease in their ownership of the stock. Additional details regarding this sale are available in the official SEC disclosure. The transaction was executed under a pre-arranged Rule 10b5-1 trading plan. 2.40% of the stock is currently owned by corporate insiders.

Institutional Investors Weigh In On United Natural Foods

A number of hedge funds have recently modified their holdings of the stock. Revisor Wealth Management LLC grew its holdings in United Natural Foods by 4.7% during the first quarter. Revisor Wealth Management LLC now owns 6,188 shares of the company's stock valued at $279,000 after purchasing an additional 278 shares during the period. PNC Financial Services Group Inc. raised its stake in shares of United Natural Foods by 4.0% in the fourth quarter. PNC Financial Services Group Inc. now owns 7,485 shares of the company's stock valued at $252,000 after buying an additional 285 shares during the period. Oregon Public Employees Retirement Fund lifted its position in shares of United Natural Foods by 2.1% during the 4th quarter. Oregon Public Employees Retirement Fund now owns 13,894 shares of the company's stock valued at $468,000 after buying an additional 289 shares during the last quarter. Optimize Financial Inc lifted its position in shares of United Natural Foods by 1.5% during the 4th quarter. Optimize Financial Inc now owns 20,963 shares of the company's stock valued at $706,000 after buying an additional 300 shares during the last quarter. Finally, Arax Advisory Partners grew its stake in shares of United Natural Foods by 37.4% during the 4th quarter. Arax Advisory Partners now owns 1,102 shares of the company's stock worth $37,000 after acquiring an additional 300 shares during the period. Institutional investors own 87.63% of the company's stock.

About United Natural Foods

United Natural Foods, Inc NYSE: UNFI is a leading distributor of natural, organic and specialty foods in North America. Founded in 1976 and headquartered in Providence, Rhode Island, the company has grown through strategic acquisitions and organic expansion to become one of the largest food distributors serving retail, foodservice and e-commerce customers.

UNFI's core business centers on the procurement, warehousing and distribution of a broad portfolio of products, including fresh produce, groceries, frozen foods, dairy, bakery items, beverages, supplements and household essentials.

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