# US Foods (USFD)

Sector: Foodservice distribution

| Field | Value |
|---|---|
| Price | $109.75 |
| Market cap | $24B |
| Intrinsic value source | Analysts |
| Data as of | 2026-11-12 |
| Next earnings | 2027-02-11 (estimate) |

Analysts: Bullish

Picks: Research only

Discount category: Far above intrinsic value

## In short

Investors pay a premium for the share and margin gains of US Foods, and only steady independent restaurant growth through 2027 while traffic stays slow and fuel costs stay high can earn this price.

## Themes and gap

- Themes: Weak consumer (weak-consumer)
- Gap type: Can close (closable)
- Why: The Q4 fiscal 2026 report, expected in February 2027, and its 2027 outlook show whether independent restaurant growth and margin gains hold.

## About

US Foods Holding Corp. (US Foods) is a foodservice distributor based in Rosemont, Illinois. It sells food and supplies to about 250,000 customer locations: independent restaurants, restaurant chains, healthcare facilities and hospitality companies. It runs more than 70 broadline locations and more than 90 cash and carry stores, and it has 30,000 associates. Net sales were $10.4 billion in Q3 fiscal 2026. Dave Flitman is Chair and Chief Executive Officer. The fiscal year ends on the Saturday nearest December 31, and fiscal 2026 has 53 weeks. The common stock trades on the NYSE in US dollars. US Foods files 10-K and 10-Q reports.

## Thesis

The price of US Foods depends on whether it can keep adding customers and margin in a slow restaurant market. Independent restaurant case volume grew 5.0% in Q3 fiscal 2026, the 22nd quarter in a row of share gains. Adjusted EBITDA grew 9.9% to $555 million, and adjusted diluted earnings per share grew 17.8% to $1.26. Management cut the top of its 2026 ranges, because of a slower economy and high fuel costs. Chain volume fell 1.5%. For the price to hold or rise, four things must be true. Independent restaurant growth must stay near 5%. Cost savings and technology must keep raising the EBITDA margin. Fuel and food costs must not take the gains. Net debt of 2.4 times adjusted EBITDA must fall as the company buys back shares and buys small distributors. The Q4 fiscal 2026 report, expected in February 2027, and its 2027 outlook are the next tests. If restaurant traffic stays weak, growth can slow.

## Checkpoints

- Feb 11, 2027 (estimate): Q4 fiscal 2026 results and 2027 outlook. Status: Pending. Watch: Independent restaurant case growth stays near 5% and the 2027 outlook shows adjusted EBITDA growth, and this passes; slower case growth or a flat outlook fails.
- May 2027 (estimate): Q1 fiscal 2027 results. Status: Pending. Watch: Adjusted EBITDA margin rises from the year before and net debt to adjusted EBITDA stays below 2.5 times, and this passes; a lower margin or higher leverage fails.

## Balance sheet

- Cash: $54M
- Debt: $5.1B
- Net debt: $5.1B
- EBITDA, last 12 months: $2.1B
- Net debt / EBITDA: 2.4× (medium)

At September 26, 2026, US Foods had total debt of $5,104 million and cash, cash equivalents and restricted cash of $54 million, which is net debt of $5,050 million. Net debt was 2.4 times adjusted EBITDA of $2,062 million for the last 12 months. Cash flow from operations was $1,160 million for nine months, and capital spending was $266 million. US Foods repurchased $690 million of shares in nine months and had $450 million left in its repurchase program. In October 2026, it refinanced term loans with a new $810 million loan due in 2033 and paid about $125 million for an acquisition.

As of 2026-09-26.

Sources:

- https://www.sec.gov/Archives/edgar/data/1665918/000166591826000056/usfd-20260926.htm
- https://www.sec.gov/Archives/edgar/data/1665918/000166591826000053/usfd09262026ex991.htm
- https://www.sec.gov/Archives/edgar/data/1665918/000166591826000048/usfd-20261002.htm

## Dividends

US Foods does not pay a dividend.

Source: company filings and market data, read on 2026-11-13.

## Recent events

- 2026-11-05: US Foods reported Q3 fiscal 2026 results. Net sales rose 2.1% to $10.4 billion, net income rose 42.5% to $218 million and adjusted EBITDA rose 9.9% to $555 million. It repurchased $191 million of shares in the quarter. It tightened its 2026 guidance to adjusted EBITDA growth of 9% to 11% and adjusted diluted earnings per share growth of 18% to 20%.
- 2026-10-30: US Foods completed an acquisition for about $125 million, funded with cash on hand, as the 10-Q reports. The Q3 release says that US Foods closed the purchase of Prime Line Distributors, an independent specialty food distributor in Fort Lauderdale, Florida, in October.
- 2026-10-02: US Foods signed a new $810 million senior secured term loan that matures on October 2, 2033. It used the loan and cash to repay term loans due in 2028, to repay part of the term loans due in 2031 and to repay some borrowings under its asset-based credit facility.

## Latest news and filings

- Last earnings: 2026-11-05 (8-K: https://www.sec.gov/Archives/edgar/data/1665918/000166591826000053/)
- Next earnings: 2027-02-11 (expected; the company has not confirmed it)

| Filed | Form | Headline | Period end | XBRL document | Link |
| --- | --- | --- | --- | --- | --- |
| 2026-11-12 | 8-K | Change of directors or officers and Investor disclosure |  | usfd-20261112 | https://www.sec.gov/Archives/edgar/data/1665918/000166591826000059/usfd-20261112.htm |
| 2026-11-05 | 10-Q | Quarterly report for the period ended Sep 26, 2026 | 2026-09-26 | usfd-20260926 | https://www.sec.gov/Archives/edgar/data/1665918/000166591826000056/usfd-20260926.htm |
| 2026-11-05 | 8-K | Earnings release |  | usfd-20261105 | https://www.sec.gov/Archives/edgar/data/1665918/000166591826000053/ |
| 2026-10-02 | 8-K | New material agreement and New debt or financial obligation |  | usfd-20261002 | https://www.sec.gov/Archives/edgar/data/1665918/000166591826000048/usfd-20261002.htm |
| 2026-08-06 | 10-Q | Quarterly report for the period ended Jun 27, 2026 | 2026-06-27 | usfd-20260627 | https://www.sec.gov/Archives/edgar/data/1665918/000166591826000045/usfd-20260627.htm |
| 2026-08-06 | 8-K | Earnings release |  | usfd-20260806 | https://www.sec.gov/Archives/edgar/data/1665918/000166591826000043/ |
| 2026-06-02 | 8-K | New material agreement and New debt or financial obligation |  | usfd-20260528 | https://www.sec.gov/Archives/edgar/data/1665918/000166591826000041/usfd-20260528.htm |
| 2026-05-15 | 8-K | Change to shareholder rights or bylaws and Shareholder vote results |  | usfd-20260514 | https://www.sec.gov/Archives/edgar/data/1665918/000166591826000038/usfd-20260514.htm |
| 2026-05-14 | 8-K | Other company news |  | usfd-20260514 | https://www.sec.gov/Archives/edgar/data/1665918/000166591826000035/usfd-20260514.htm |
| 2026-05-07 | 10-Q | Quarterly report for the period ended Mar 28, 2026 | 2026-03-28 | usfd-20260328 | https://www.sec.gov/Archives/edgar/data/1665918/000166591826000032/usfd-20260328.htm |

Every filing on SEC EDGAR (CIK 1665918): https://www.sec.gov/cgi-bin/browse-edgar?action=getcompany&CIK=0001665918&type=&dateb=&owner=include&count=40

## Risks

- Medium: Restaurant traffic can stay weak. Chain case volume fell 1.5% in Q3 fiscal 2026, and management says that the economy is slower than it expected.
- Medium: Costs can rise. US Foods lists diesel fuel and food cost inflation among its risks, and it uses only a small share of forward purchase contracts for fuel, $10 million through December 2026.
- Medium: The business has debt. Net debt was $5,050 million at September 26, 2026, which is 2.4 times adjusted EBITDA. Higher interest rates raise the cost of its floating-rate term loans.
- Low: Margins are thin. Adjusted EBITDA is about 5% of net sales, so a small change in gross profit or in operating costs moves earnings much.
- Low: Acquisitions can fail to earn their cost. US Foods buys small distributors, and integration problems can reduce the benefit.

## Links

- Page: https://picks.utilarium.app/company/USFD/
- History of changes: https://picks.utilarium.app/company/USFD/history/
- JSON with full history: https://picks.utilarium.app/data/company/USFD.json

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