Loading...

US Foods Holding

NYSE:USFD
Snowflake Description

Fair value with acceptable track record.

The Snowflake is generated from 30 checks in 5 different areas, read more below.
USFD
NYSE
$8B
Market Cap
  1. Home
  2. US
  3. Consumer Retailing
Company description

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. The last earnings update was 49 days ago. More info.


Add to Portfolio Compare Print
USFD Share Price and Events
7 Day Returns
-2.9%
NYSE:USFD
0.9%
US Consumer Retailing
2%
US Market
1 Year Returns
-8%
NYSE:USFD
15.7%
US Consumer Retailing
4.3%
US Market
USFD Shareholder Return
  7 Day 30 Day 90 Day 1 Year 3 Year 5 Year
US Foods Holding (USFD) -2.9% -5% 2.3% -8% 45.4% -
US Consumer Retailing 0.9% 5.9% 7.9% 15.7% 28.6% 37.8%
US Market 2% 4.1% 4.2% 4.3% 43.9% 40.8%
1 Year Return vs Industry and Market
  • USFD underperformed the Consumer Retailing industry which returned 15.7% over the past year.
  • USFD underperformed the Market in United States of America which returned 4.3% over the past year.
Price Volatility
USFD
Industry
5yr Volatility vs Market

Value

 Is US Foods Holding undervalued based on future cash flows and its price relative to the stock market?

Value is all about what a company is worth versus what price it is available for. If you went into a grocery store and all the bananas were on sale at half price, they could be considered undervalued.
INTRINSIC VALUE BASED ON FUTURE CASH FLOWS
Here we compare the current share price of US Foods Holding to its discounted cash flow analysis.value.

The discounted cash flow value is simply looking at what the company is worth today, based on estimates of how much money it is expected to make in the future.
Raw Data

Below are the data sources, inputs and calculation used to determine the intrinsic value for US Foods Holding.

NYSE:USFD Discounted Cash Flow Data Sources
Data Point Source Value
Valuation Model 2 Stage Free Cash Flow to Equity
Levered Free Cash Flow Average of 11 Analyst Estimates (S&P Global) See below
Discount Rate (Cost of Equity) See below 7.5%
Perpetual Growth Rate 10-Year US Government Bond Rate 2.7%

An important part of a discounted cash flow is the discount rate, below we explain how it has been calculated.

Calculation of Discount Rate/ Cost of Equity for NYSE:USFD
Data Point Calculation/ Source Result
Risk-Free Rate 10-Year US Govt Bond Rate 2.7%
Equity Risk Premium S&P Global 6%
Consumer Retailing Unlevered Beta Simply Wall St/ S&P Global 0.47
Re-levered Beta = Unlevered beta (1 + (1- tax rate) (Debt/Equity))
= 0.466 (1 + (1- 21%) (47.65%))
0.76
Levered Beta Levered Beta limited to 0.8 to 2.0
(practical range for a stable firm)
0.8
Discount Rate/ Cost of Equity = Cost of Equity = Risk Free Rate + (Levered Beta * Equity Risk Premium)
= 2.73% + (0.8 * 5.96%)
7.5%

Discounted Cash Flow Calculation for NYSE:USFD using 2 Stage Free Cash Flow to Equity Model

The calculations below outline how an intrinsic value for US Foods Holding is arrived at by discounting future cash flows to their present value using the 2 stage method. We try to start with analysts estimates of free cash flow, however if these are not available we use the most recent financial results. In the 1st stage we continue to grow the free cash flow over a 10 year period, with the growth rate trending towards the perpetual growth rate used in the 2nd stage. The 2nd stage assumes the company grows at a stable rate into perpetuity.

NYSE:USFD DCF 1st Stage: Next 10 year cash flow forecast
Levered FCF (USD, Millions) Source Present Value
Discounted (@ 7.5%)
2019 609.33 Analyst x3 566.83
2020 657.92 Analyst x5 569.34
2021 682.00 Analyst x1 549.01
2022 704.76 Est @ 3.34% 527.76
2023 726.99 Est @ 3.15% 506.44
2024 749.00 Est @ 3.03% 485.37
2025 771.00 Est @ 2.94% 464.79
2026 793.17 Est @ 2.88% 444.80
2027 815.64 Est @ 2.83% 425.49
2028 838.49 Est @ 2.8% 406.90
Present value of next 10 years cash flows $4,946.74
NYSE:USFD DCF 2nd Stage: Terminal Value
Calculation Result
Terminal Value = FCF2028 × (1 + g) ÷ (Discount Rate – g)
= $838.49 × (1 + 2.73%) ÷ (7.5% – 2.73%)
$18,065.77
Present Value of Terminal Value = Terminal Value ÷ (1 + r)10
= $18,065.77 ÷ (1 + 7.5%)10
$8,767.03
NYSE:USFD Total Equity Value
Calculation Result
Total Equity Value = Present value of next 10 years cash flows + Terminal Value
= $4,946.74 + $8,767.03
$13,713.77
Equity Value per Share
(USD)
= Total value / Shares Outstanding
= $13,713.77 / 218.50
$62.76
NYSE:USFD Discount to Share Price
Calculation Result
Value per share (USD) From above. $62.76
Current discount Discount to share price of $35.22
= -1 x ($35.22 - $62.76) / $62.76
43.9%

Learn more about our DCF calculations in Simply Wall St’s analysis model .

Current Discount
Amount off the current price US Foods Holding is available for.
Intrinsic value
44%
Share price is $35.22 vs Future cash flow value of $62.76
Current Discount Checks
For US Foods Holding to be considered undervalued it must be available for at least 20% below the current price. Less than 40% is even better.
  • US Foods Holding's share price is below the future cash flow value, and at a moderate discount (> 20%).
  • US Foods Holding's share price is below the future cash flow value, and at a substantial discount (> 40%).
PRICE RELATIVE TO MARKET
We can also value a company based on what the stock market is willing to pay for it. This is similar to the price of fruit (e.g. Mangoes or Avocados) increasing when they are out of season, or how much your home is worth.

The amount the stock market is willing to pay for US Foods Holding's earnings, growth and assets is considered below, and whether this is a fair price.
Price based on past earnings
Are US Foods Holding's earnings available for a low price, and how does this compare to other companies in the same industry?
Raw Data
NYSE:USFD PE (Price to Earnings) Ratio Data Sources
Data Point Source Value
Earnings Per Share * Company Filings (2019-03-30) in USD $1.90
NYSE:USFD Share Price ** NYSE (2019-06-24) in USD $35.22
United States of America Consumer Retailing Industry PE Ratio Median Figure of 23 Publicly-Listed Consumer Retailing Companies 20.68x
United States of America Market PE Ratio Median Figure of 3,095 Publicly-Listed Companies 17.88x

* Trailing twelve months (TTM) annual GAAP earnings per share excluding extraordinary items.

** Primary Listing of US Foods Holding.

NYSE:USFD PE (Price to Earnings) Ratio Calculation
Calculation Outcome
PE Ratio

= NYSE:USFD Share Price ÷ EPS (both in USD)

= 35.22 ÷ 1.90

18.56x

Learn more about our ratios and growth rates in Simply Wall St’s analysis model >

  • US Foods Holding is good value based on earnings compared to the US Consumer Retailing industry average.
  • US Foods Holding is overvalued based on earnings compared to the United States of America market.
Price based on expected Growth
Does US Foods Holding's expected growth come at a high price?
Raw Data
NYSE:USFD PEG (Price to Earnings to Growth) Ratio Data Sources
Data Point Source Value
PE Ratio See PE Ratio Section 18.56x
Net Income Annual Growth Rate See Future Growth Section.
Line of Best Fit* through Consensus Estimate Earnings of 11 Analysts
9%per year
United States of America Consumer Retailing Industry PEG Ratio Median Figure of 14 Publicly-Listed Consumer Retailing Companies 2.69x
United States of America Market PEG Ratio Median Figure of 2,134 Publicly-Listed Companies 1.54x

*Line of best fit is calculated by linear regression .

NYSE:USFD PEG (Price to Earnings to Growth) Ratio Calculation
Calculation Outcome
PEG Ratio

= PE Ratio ÷ Net Income Annual Growth Rate

= 18.56x ÷ 9%

2.07x

Learn more about our ratios and growth rates in Simply Wall St’s analysis model >

  • US Foods Holding is poor value based on expected growth next year.
Price based on value of assets
What value do investors place on US Foods Holding's assets?
Raw Data
NYSE:USFD PB (Price to Book) Ratio Data Sources
Data Point Source Value
Book Value per Share Company Filings (2019-03-30) in USD $15.18
NYSE:USFD Share Price * NYSE (2019-06-24) in USD $35.22
United States of America Consumer Retailing Industry PB Ratio Median Figure of 31 Publicly-Listed Consumer Retailing Companies 2.29x
United States of America Market PB Ratio Median Figure of 5,255 Publicly-Listed Companies 1.8x
NYSE:USFD PB (Price to Book) Ratio Calculation
Calculation Outcome
PB Ratio

= NYSE:USFD Share Price ÷ Book Value per Share (both in USD)

= 35.22 ÷ 15.18

2.32x

* Primary Listing of US Foods Holding.

Learn more about our ratios and growth rates in Simply Wall St’s analysis model >

  • US Foods Holding is overvalued based on assets compared to the US Consumer Retailing industry average.
X
Value checks
We assess US Foods Holding's value by looking at:
  1. Is the discounted cash flow value less than 20%, or 40% of the share price? (2 checks) ( Click here or on bar chart for details of DCF calculation. )
  2. Is the PE ratio less than the market average, and/ or less than the Consumer Retailing industry average (and greater than 0)? (2 checks)
  3. Is the PEG ratio within a reasonable range (0 to 1)? (1 check)
  4. Is the PB ratio less than the Consumer Retailing industry average (and greater than 0)? (1 check)
  5. US Foods Holding has a total score of 3/6, see the detailed checks below.

    Note: We use GAAP Earnings per Share in all our calculations including PE and PEG Ratio.

    Full details on the Value part of the Simply Wall St company analysis model.

Future Performance

 How is US Foods Holding expected to perform in the next 1 to 3 years based on estimates from 11 analysts?

The future performance of a company is measured in the same way as past performance, by looking at estimated growth and how much profit it is expected to make.

Future estimates come from professional analysts. Just like forecasting the weather, they don’t always get it right!
Annual Growth Rate
9%
Expected annual growth in earnings.
Earnings growth vs Low Risk Savings
Is US Foods Holding expected to grow at an attractive rate?
  • US Foods Holding's earnings growth is expected to exceed the low risk savings rate of 2.7%.
Growth vs Market Checks
  • US Foods Holding's earnings growth is positive but not above the United States of America market average.
  • US Foods Holding's revenue growth is positive but not above the United States of America market average.
Annual Growth Rates Comparison
Raw Data
NYSE:USFD Future Growth Rates Data Sources
Data Point Source Value (per year)
NYSE:USFD Future Earnings Growth Rate Line of Best Fit* through Consensus Estimate Earnings of 11 Analysts 9%
NYSE:USFD Future Revenue Growth Rate Line of Best Fit* through Consensus Estimate Revenue of 11 Analysts 4%
United States of America Consumer Retailing Industry Earnings Growth Rate Market Cap Weighted Average 5.8%
United States of America Consumer Retailing Industry Revenue Growth Rate Market Cap Weighted Average 3.9%
United States of America Market Earnings Growth Rate Market Cap Weighted Average 14%
United States of America Market Revenue Growth Rate Market Cap Weighted Average 7.4%

*Line of best fit is calculated by linear regression .

Industry and Market average data is calculated daily.

Learn more about our growth rate calculations in Simply Wall St’s analysis model.

Analysts growth expectations
Raw Data
NYSE:USFD Analysts Growth Expectations Data Sources
Data Point Source Value
Past Financials Company Filings (2 months ago) See Below
Future Estimates Average of up to 11 Analyst Estimates (S&P Global) See Below
All numbers in USD Millions and using Trailing twelve months (TTM) annual period rather than quarterly.
NYSE:USFD Future Estimates Data
Date (Data in USD Millions) Revenue Cash Flow Net Income * Avg. No. Analysts
2023-12-31 29,486 1,096 614 1
2022-12-31 28,029 1,024 594 2
2021-12-31 28,086 1,008 552 4
2020-12-31 26,490 881 508 11
2019-12-31 25,334 820 447 11
NYSE:USFD Past Financials Data
Date (Data in USD Millions) Revenue Cash Flow Net Income *
2019-03-30 24,383 571 411
2018-12-29 24,175 609 407
2018-09-29 24,130 687 563
2018-06-30 24,181 692 544
2018-03-31 24,182 819 484
2017-12-30 24,147 749 444
2017-09-30 23,829 622 265
2017-07-01 23,466 623 302
2017-04-01 23,114 540 223
2016-12-31 22,919 549 210
2016-10-01 23,176 410 123
2016-07-02 23,131 592 -5
2016-04-02 23,167 592 174

*GAAP earnings excluding extraordinary items.

Super high growth metrics
High Growth Checks
  • US Foods Holding's earnings are expected to grow by 9% yearly, however this is not considered high growth (20% yearly).
  • US Foods Holding's revenue is expected to grow by 4% yearly, however this is not considered high growth (20% yearly).
Past and Future Earnings per Share
The accuracy of the analysts who estimate the future performance data can be gauged below. We look back 3 years and see if they were any good at predicting what actually occurred. We also show the highest and lowest estimates looking forward to see if there is a wide range.
Raw Data
NYSE:USFD Past and Future Earnings per Share
Data Point Source Value
Past Financials Company Filings (2 months ago) See Below
Future Estimates Average of up to 11 Analyst Estimates (S&P Global) See Below

All data from US Foods Holding Company Filings, last reported 2 months ago, and in Trailing twelve months (TTM) annual period rather than quarterly.

NYSE:USFD Future Estimates Data
Date (Data in USD Millions) EPS * EPS High Estimate EPS Low Estimate Avg. No. Analysts
2023-12-31 2.98 2.98 2.98 1.00
2022-12-31 2.79 2.91 2.67 2.00
2021-12-31 2.59 2.71 2.39 4.00
2020-12-31 2.34 2.50 2.06 11.00
2019-12-31 2.07 2.21 1.87 11.00
NYSE:USFD Past Financials Data
Date (Data in USD Millions) EPS *
2019-03-30 1.90
2018-12-29 1.88
2018-09-29 2.59
2018-06-30 2.48
2018-03-31 2.19
2017-12-30 2.00
2017-09-30 1.19
2017-07-01 1.36
2017-04-01 1.05
2016-12-31 1.05
2016-10-01 0.66
2016-07-02 -0.03
2016-04-02 1.03

*GAAP earnings excluding extraordinary items.

Performance in 3 years
In the same way as past performance we look at the future estimated return (profit) compared to the available funds. We do this looking forward 3 years.
  • US Foods Holding is not expected to efficiently use shareholders’ funds in the future (Return on Equity less than 20%).
X
Future performance checks
We assess US Foods Holding's future performance by looking at:
  1. Is the annual earnings growth rate expected to beat the low risk savings rate, plus a premium to keep pace with inflation?
  2. Is the annual earnings growth rate expected to beat the average growth rate in earnings of the United States of America market? (1 check)
  3. Is the annual revenue growth rate expected to beat the average growth rate in revenue of the United States of America market? (1 check)
  4. Is the annual earnings growth rate expected to be above 20%? (1 check)
  5. Is the annual revenue growth rate expected to be above 20%? (1 check)
  6. Is the Return on Equity in 3 years expected to be over 20%? (1 check)
Some of the above checks will fail if the company is expected to be loss making in the relevant year.
US Foods Holding has a total score of 1/6, see the detailed checks below.

Note 1: We use GAAP Net Income Excluding Exceptional Items for our Earnings in all our calculations.

Full details on the Future part of the Simply Wall St company analysis model.

Past Performance

  How has US Foods Holding performed over the past 5 years?

The past performance of a company can be measured by how much growth it has experienced and how much profit it makes relative to the funds and assets it has available.
Past earnings growth
Below we compare US Foods Holding's growth in the last year to its industry (Consumer Retailing).
Past Earnings growth analysis
We also check if the company has grown in the past 5 years, and whether it has maintained that growth in the year.
  • US Foods Holding has delivered over 20% year on year earnings growth in the past 5 years.
  • US Foods Holding's 1-year earnings growth is negative, it can't be compared to the 5-year average.
  • US Foods Holding's 1-year earnings growth is negative, it can't be compared to the US Consumer Retailing industry average.
Earnings and Revenue History
US Foods Holding's revenue and profit over the past 5 years is shown below, any years where they have experienced a loss will show up in red.
Raw Data

All data from US Foods Holding Company Filings, last reported 2 months ago, and in Trailing twelve months (TTM) annual period rather than quarterly.

NYSE:USFD Past Revenue, Cash Flow and Net Income Data
Date (Data in USD Millions) Revenue Net Income * G+A Expenses R&D Expenses
2019-03-30 24,383.00 411.00 3,656.00
2018-12-29 24,175.00 407.00 3,634.00
2018-09-29 24,130.00 562.99 3,601.68
2018-06-30 24,181.41 544.26 3,583.84
2018-03-31 24,181.58 484.18 3,601.41
2017-12-30 24,147.00 444.00 3,631.00
2017-09-30 23,829.21 264.69 3,655.15
2017-07-01 23,465.98 302.15 3,642.47
2017-04-01 23,114.08 223.30 3,645.26
2016-12-31 22,919.00 210.00 3,586.00
2016-10-01 23,176.15 122.99 3,548.45
2016-07-02 23,131.25 -4.64 3,614.38
2016-04-02 23,167.04 173.71 3,563.57
2016-01-02 23,127.53 167.52 3,670.70
2015-09-26 22,945.98 225.31 3,563.97
2014-12-27 23,019.80 -72.91 3,513.45
2013-12-28 22,297.18 -57.21 3,494.25
2012-12-29 21,664.92 -51.17 3,274.64

*GAAP earnings excluding extraordinary items.

Performance last year
We want to ensure a company is making the most of what it has available. This is done by comparing the return (profit) to a company's available funds, assets and capital.
  • US Foods Holding has not efficiently used shareholders’ funds last year (Return on Equity less than 20%).
  • US Foods Holding used its assets more efficiently than the US Consumer Retailing industry average last year based on Return on Assets.
  • US Foods Holding has significantly improved its use of capital last year versus 3 years ago (Return on Capital Employed).
X
Past performance checks
We assess US Foods Holding's performance over the past 5 years by checking for:
  1. Has earnings increased in past 5 years? (1 check)
  2. Has the earnings growth in the last year exceeded that of the Consumer Retailing industry? (1 check)
  3. Is the recent earnings growth over the last year higher than the average annual growth over the past 5 years? (1 check)
  4. Is the Return on Equity (ROE) higher than 20%? (1 check)
  5. Is the Return on Assets (ROA) above industry average? (1 check)
  6. Has the Return on Capital Employed (ROCE) increased from 3 years ago? (1 check)
The above checks will fail if the company has reported a loss in the most recent earnings report. Some checks require at least 3 or 5 years worth of data.
US Foods Holding has a total score of 3/6, see the detailed checks below.

Note: We use GAAP Net Income excluding extraordinary items in all our calculations.

Full details on the Past part of the Simply Wall St company analysis model.

Health

 How is US Foods Holding's financial health and their level of debt?

A company's financial position is much like your own financial position, it includes everything you own (assets) and owe (liabilities).

The boxes below represent the relative size of what makes up US Foods Holding's finances.

The net worth of a company is the difference between its assets and liabilities.
Net Worth
  • US Foods Holding is able to meet its short term (1 year) commitments with its holdings of cash and other short term assets.
  • US Foods Holding's long term commitments exceed its cash and other short term assets.
Balance sheet
This treemap shows a more detailed breakdown of US Foods Holding's finances. If any of them are yellow this indicates they may be out of proportion and red means they relate to one of the checks below.
Assets
Liabilities and shares
The 'shares' portion represents any funds contributed by the owners (shareholders) and any profits.
  • High level of physical assets or inventory.
  • Debt is not covered by short term assets, assets are 0.9x debt.
Historical Debt
Nearly all companies have debt. Debt in itself isn’t bad, however if the debt is too high, or the company can’t afford to pay the interest on its debts this may have impacts in the future.

The graphic below shows equity (available funds) and debt, we ideally want to see the red area (debt) decreasing.

If there is any debt we look at the companies capability to repay it, and whether the level has increased over the past 5 years.
Raw Data

All data from US Foods Holding Company Filings, last reported 2 months ago.

NYSE:USFD Past Debt and Equity Data
Date (Data in USD Millions) Total Equity Total Debt Cash & Short Term Investments
2019-03-30 3,310.00 3,163.00 99.00
2018-12-29 3,229.00 3,614.00 112.00
2018-09-29 3,146.73 3,510.64 96.92
2018-06-30 3,019.97 3,599.31 107.68
2018-03-31 2,845.89 3,630.49 89.98
2017-12-30 2,751.00 3,911.00 120.00
2017-09-30 2,745.18 3,705.47 147.36
2017-07-01 2,633.46 3,727.30 149.97
2017-04-01 2,574.38 3,854.50 151.82
2016-12-31 2,537.65 3,781.71 131.09
2016-10-01 2,493.38 3,831.35 149.98
2016-07-02 2,347.86 3,871.27 115.41
2016-04-02 1,222.10 5,030.00 142.11
2016-01-02 1,873.18 4,744.79 517.80
2015-09-26 1,904.30 4,736.95 698.51
2014-12-27 1,622.03 4,713.57 343.66
2013-12-28 1,843.76 4,770.47 179.74
2012-12-29
  • US Foods Holding's level of debt (106.8%) compared to net worth is high (greater than 40%).
  • The level of debt compared to net worth has been reduced over the past 5 years (266.1% vs 106.8% today).
  • Debt is not well covered by operating cash flow (16.1%, less than 20% of total debt).
  • Interest payments on debt are well covered by earnings (EBIT is 4.1x coverage).
X
Financial health checks
We assess US Foods Holding's financial health by checking for:
  1. Are short term assets greater than short term liabilities? (1 check)
  2. Are short term assets greater than long term liabilities? (1 check)
  3. Has the debt to equity ratio increased in the past 5 years? (1 check)
  4. Is the debt to equity ratio over 40%? (1 check)
  5. Is the debt covered by operating cash flow? (1 check)
  6. Are earnings greater than 5x the interest on debt (if company pays interest at all)? (1 check)
  7. US Foods Holding has a total score of 3/6, see the detailed checks below.
For companies that are loss making and have been so on average in the past we replace the last 2 checks with:
  1. Does cash and short term investments cover stable operating expenses (recurring G&A and R&D) for more than 3 years? (1 check)
  2. Does cash and short term investments cover growing operating expenses (recurring G&A and R&D) for more than 3 years? (1 check)


Full details on the Health part of the Simply Wall St company analysis model.

Dividends

 What is US Foods Holding's current dividend yield, its reliability and sustainability?

Dividends are regular cash payments to you from the company, similar to a bank paying you interest on a savings account.
Annual Dividend Income
Dividend payments
0%
Current annual income from US Foods Holding dividends. Estimated to be 0% next year.
If you bought $2,000 of US Foods Holding shares you are expected to receive $0 in your first year as a dividend.
Dividend Amount
Here we look how much dividend is being paid, if any. Is it above what you can get in a savings account? It is up there with the best dividend paying companies?
  • Unable to evaluate US Foods Holding's dividend yield against the bottom 25% of dividend payers as the company has not reported any payouts.
  • Unable to evaluate US Foods Holding's dividend against the top 25% market benchmark as the company has not reported any payouts.
Annualized Historical and Future Dividends
It is important to see if the dividend for a company is stable, and not wildly increasing/decreasing each year. This graph shows you the historical rate to count toward your assessment of the stock.

We also check to see if the dividend has increased in the past 10 years.
Raw Data
NYSE:USFD Annualized Past and Future Dividends
Data Point Source Value
Past Annualized Dividend Yield S&P Global Market Data See Below
Past Dividends per Share Company Filings/ Annualized Dividend Payments See Below
Future Dividends per Share Estimates Average of up to 11 Analyst Estimates (S&P Global) See Below
United States of America Consumer Retailing Industry Average Dividend Yield Market Cap Weighted Average of 12 Stocks 1.9%
United States of America Market Average Dividend Yield Market Cap Weighted Average of 2012 Stocks 2.4%
United States of America Minimum Threshold Dividend Yield 10th Percentile 0.8%
United States of America Bottom 25% Dividend Yield 25th Percentile 1.4%
United States of America Top 25% Dividend Yield 75th Percentile 3.7%

Industry and Market average data is calculated daily.

Note all dividend per share amounts are annualized and not quarterly or other period.

NYSE:USFD Future Dividends Estimate Data
Date (Data in $) Dividend per Share (annual) Avg. No. Analysts
2023-12-31
2022-12-31
2021-12-31 0.00 2.00
2020-12-31 0.00 3.00
2019-12-31 0.00 3.00

Learn more about our ratios and growth rates in Simply Wall St’s analysis model >

  • Unable to perform a dividend volatility check as US Foods Holding has not reported any payouts.
  • Unable to verify if US Foods Holding's dividend has been increasing as the company has not reported any payouts.
Current Payout to shareholders
What portion of US Foods Holding's earnings are paid to the shareholders as a dividend.
  • Unable to calculate sustainability of dividends as US Foods Holding has not reported any payouts.
Future Payout to shareholders
  • No need to calculate the sustainability of US Foods Holding's dividends in 3 years as they are not expected to pay a notable one for United States of America.
X
Income/ dividend checks
We assess US Foods Holding's dividend by checking for:
  1. Firstly is the company paying a notable dividend (greater than 0.8%) - if not then the rest of the checks are ignored.
  2. Is current dividend yield above the bottom 25% of dividend payers? (1 check)
  3. Is current dividend yield above the top 25% of dividend payers? (1 check)
  4. Have they paid a dividend for 10 years, and during this period has the dividend been volatile (drop of more than 25%)? (1 check)
  5. If they have paid a dividend for 10 years has it increased in this time? (1 check)
  6. How sustainable is the dividend, can US Foods Holding afford to pay it from its earnings today and in 3 years (Payout ratio less than 90%)? (2 checks)
  7. US Foods Holding has a total score of 0/6, see the detailed checks below.


Full details on the Dividends part of the Simply Wall St company analysis model.

Management

 What is the CEO of US Foods Holding's salary, the management and board of directors tenure and is there insider trading?

Management is one of the most important areas of a company. We look at unreasonable CEO compensation, how long the team and board of directors have been around for and insider trading.
CEO
Pietro Satriano
COMPENSATION $8,607,146
AGE 56
TENURE AS CEO 3.9 years
CEO Bio

Mr. Pietro Satriano served as President at US Foods Holding Corp. Mr. Satriano has been an Independent Director at CarMax, Inc. since October 01, 2018. He has been the Chief Executive Officer and President at US Foods Holding Corp. since July 2015. Mr. Satriano has been the Chief Executive Officer of US Foods, Inc. since July 13, 2015 and has been its Chairman since December 5, 2017. Mr. Satriano served as the Chief Merchandising Officer of US Foods, Inc. since February 2011 and also served as its President since July 13, 2015 until December 5, 2017. He served as President of LoyaltyOne Canada at LoyaltyOne, Inc. from 2009 to 2011. He was responsible for all client services and new business development and leads teams that serve LoyaltyOne's array of high-profile Canadian clients as well as exploring sponsorship opportunities and other strategic partnerships for the AIR MILES Reward Program, North America's premier coalition loyalty program. Mr. Satriano rejoined LoyaltyOne in 2009. He served as an Executive Vice President of Food at Loblaw Companies Limited until April 2008, where he headed up the national food procurement and merchandising group. He also served as the Head of Control Label Development at Loblaw Companies - segment of George Weston Limited until April 2008. Previously, he led one of the world's most extensive and successful private label programs and one of the largest brands in Canada. Mr. Satriano has a broad range of leadership experience in consumer marketing and loyalty strategy. He served at Loblaw Brands as President's Choice. He served at LoyaltyOne from 1995 to 2002. He has been Chairman of the Board at US Foods Holding Corp. since December 4, 2017. Mr. Satriano has been a Director of US Foods Holding Corp. since July 2015. Mr. Satriano has been a Director of US Foods, Inc. since July 2015. He managed rewards development and direct sales and played a key role at Loyalty Management Group. He served positions in retail grocery management and with strategy consulting firms in Canada and Europe. He began his career in strategy consulting, first with The Boston Consulting Group in Toronto and then with the Monitor Company in Milan, Italy. Mr. Satriano holds Master of Business Administration from Harvard University.

CEO Compensation
  • Pietro's compensation has been consistent with company performance over the past year, both up more than 20%.
  • Pietro's remuneration is about average for companies of similar size in United States of America.
Management Team Tenure

Average tenure and age of the US Foods Holding management team in years:

3.6
Average Tenure
50
Average Age
  • The tenure for the US Foods Holding management team is about average.
Management Team

Pietro Satriano

TITLE
Chairman & CEO
COMPENSATION
$9M
AGE
56
TENURE
3.9 yrs

Dirk Locascio

TITLE
Chief Financial Officer
COMPENSATION
$2M
AGE
45
TENURE
2.3 yrs

Keith Rohland

TITLE
Chief Information Officer
COMPENSATION
$2M
AGE
50
TENURE
8.2 yrs

Steve Guberman

TITLE
Executive Vice President of Nationally Managed Business
COMPENSATION
$2M
AGE
53
TENURE
3.9 yrs

Jay Kvasnicka

TITLE
Executive Vice President of Locally Managed Sales & Field Operations
COMPENSATION
$2M
AGE
50
TENURE
3.8 yrs

Melissa Napier

TITLE
Senior VP of Investor Relations & Treasurer
TENURE
3.3 yrs

Kristin Coleman

TITLE
Executive VP
COMPENSATION
$3M
AGE
50
TENURE
2.3 yrs

Sara Matheu

TITLE
Director of Media Relations

David Works

TITLE
Executive VP & Chief Human Resources Officer
AGE
50
TENURE
1.3 yrs

Dave Rickard

TITLE
Executive Vice President of Strategy
AGE
47
TENURE
3.6 yrs
Board of Directors Tenure

Average tenure and age of the US Foods Holding board of directors in years:

2
Average Tenure
60
Average Age
  • The average tenure for the US Foods Holding board of directors is less than 3 years, this suggests a new board.
Board of Directors

David Tehle

TITLE
Director
COMPENSATION
$225K
AGE
61
TENURE
2.9 yrs

Pietro Satriano

TITLE
Chairman & CEO
COMPENSATION
$9M
AGE
56
TENURE
1.5 yrs

Court Carruthers

TITLE
Director
COMPENSATION
$220K
AGE
46
TENURE
2.9 yrs

Bob Dutkowsky

TITLE
Lead Independent Director
COMPENSATION
$245K
AGE
63

John Lederer

TITLE
Director
COMPENSATION
$200K
AGE
62
TENURE
8.8 yrs

Andy Pforzheimer

TITLE
Director
COMPENSATION
$200K
AGE
56
TENURE
2.4 yrs

Ann Ziegler

TITLE
Director
COMPENSATION
$200K
AGE
60
TENURE
1.4 yrs

Sunil Gupta

TITLE
Director
COMPENSATION
$183K
AGE
59
TENURE
1.3 yrs

Cheryl Bachelder

TITLE
Director
COMPENSATION
$25K
AGE
62
TENURE
0.7 yrs
Who owns this company?
Recent Insider Trading
  • US Foods Holding individual insiders have only sold shares in the past 3 months.
Recent Insider Transactions
Announced Type Name Entity Role Start End Shares Max Price ($) Value ($)
07. Jun 19 Sell Steven Guberman Individual 06. Jun 19 06. Jun 19 -4,434 $36.42 $-161,486
15. Mar 19 Sell Keith Rohland Individual 14. Mar 19 14. Mar 19 -4,951 $34.82 $-172,394
14. Feb 19 Sell Steven Guberman Individual 13. Feb 19 13. Feb 19 -10,834 $35.49 $-384,464
13. Nov 18 Buy Cheryl Bachelder Individual 12. Nov 18 12. Nov 18 3,200 $31.30 $100,160
X
Management checks
We assess US Foods Holding's management by checking for:
  1. Is the CEO's compensation unreasonable compared to market cap? (1 check)
  2. Has the CEO's compensation increased more than 20% whilst the EPS is down more then 20%? (1 check)
  3. Is the average tenure of the management team less than 2 years? (1 check)
  4. Is the average tenure of the board of directors team less than 3 years? (1 check)
  5. US Foods Holding has a total score of 0/6, this is not included on the snowflake, see the detailed checks below.


Note: We use the top 6 management executives and board members in our calculations.

Note 2: Insider trading include any internal stakeholders and these transactions .

Full details on the Management part of the Simply Wall St company analysis model.

News

Simply Wall St News

Is There An Opportunity With US Foods Holding Corp.'s (NYSE:USFD) 44% Undervaluation?

A DCF is all about the idea that a dollar in the future is less valuable than a dollar today, so we need to discount the sum of these future cash flows to arrive at a present value estimate: 10-year free cash flow (FCF) estimate 2019 2020 2021 2022 2023 2024 2025 2026 2027 2028 Levered FCF ($, Millions) $609.33 $657.92 $682.00 $704.76 $726.99 $749.00 $771.00 $793.17 $815.64 $838.49 Growth Rate Estimate Source Analyst x3 Analyst x5 Analyst x1 Est @ 3.34% Est @ 3.15% Est @ 3.03% Est @ 2.94% Est @ 2.88% Est @ 2.83% Est @ 2.8% Present Value ($, Millions) Discounted @ 7.5% $566.83 $569.34 $549.01 $527.76 $506.44 $485.37 $464.79 $444.80 $425.49 $406.90 Present Value of 10-year Cash Flow (PVCF)= $4.95b "Est" = FCF growth rate estimated by Simply Wall St The second stage is also known as Terminal Value, this is the business's cash flow after the first stage. … Terminal Value (TV) = FCF2029 × (1 + g) ÷ (r – g) = US$838m × (1 + 2.7%) ÷ (7.5% – 2.7%) = US$18b Present Value of Terminal Value (PVTV) = TV / (1 + r)10 = $US$18b ÷ ( 1 + 7.5%)10 = $8.77b The total value, or equity value, is then the sum of the present value of the future cash flows, which in this case is $13.71b. … NYSE:USFD Intrinsic value, June 24th 2019 Important assumptions We would point out that the most important inputs to a discounted cash flow are the discount rate and of course the actual cash flows.

Simply Wall St -

If You Had Bought US Foods Holding (NYSE:USFD) Stock Three Years Ago, You Could Pocket A 45% Gain Today

(NYSE:USFD) share price is up 45% in the last three years, clearly besting than the market return of around 35% (not including dividends). … Check out our latest analysis for US Foods Holding To paraphrase Benjamin Graham: Over the short term the market is a voting machine, but over the long term it's a weighing machine. … US Foods Holding was able to grow its EPS at 23% per year over three years, sending the share price higher.

Simply Wall St -

US Foods Holding Corp. (NYSE:USFD): Will The Growth Last?

Overall, it seems that analyst expectations are fairly bearish, with earnings expected to grow by 12% in the upcoming year against the higher past 5-year average growth rate of 44%. … To reduce the year-on-year volatility of analyst earnings forecast, I've inserted a line of best fit through the expected earnings figures to determine the annual growth rate from the slope of the line. … NYSE:USFD Past and Future Earnings, May 28th 2019 From the current net income level of US$407m and the final forecast of US$557m by 2022, the annual rate of growth for USFD’s earnings is 9.0%.

Simply Wall St -

Did US Foods Holding Corp. (NYSE:USFD) Insiders Sell Shares?

So we'll take a look at whether insiders have been buying or selling shares in US Foods Holding Corp. … Over the last year we saw more insider selling of US Foods Holding shares, than buying. … Insiders at US Foods Holding Have Sold Stock Recently Over the last three months, we've seen significant insider selling at US Foods Holding.

Simply Wall St -

US Foods Holding Corp. (NYSE:USFD) Has A ROE Of 13%

This article is for those who would like to learn about Return On Equity (ROE). … Our data shows US Foods Holding has a return on equity of 13% for the last year. … Return on Equity = Net Profit ÷ Shareholders' Equity

Simply Wall St -

Is US Foods Holding Corp.'s (NYSE:USFD) P/E Ratio Really That Good?

We'll look at US Foods Holding Corp.'s (NYSE:USFD) P/E ratio and reflect on what it tells us about the company's share price. … How Do I Calculate A Price To Earnings Ratio … Price to Earnings Ratio = Price per Share ÷ Earnings per Share (EPS)

Simply Wall St -

Why US Foods Holding Corp.’s (NYSE:USFD) Cash Is A Factor You Need To Consider

Today we will examine US Foods Holding’s ability to generate cash flows, as well as the level of capital expenditure it is expected to incur over the next couple of years, which will result in how much money goes to you. … US Foods Holding’s free cash flow (FCF) is the level of cash flow the business generates from its operational activities, after it reinvests in the company as capital expenditure. … There are two methods I will use to evaluate the quality of US Foods Holding’s FCF: firstly, I will measure its FCF yield relative to the market index yield; secondly, I will examine whether its operating cash flow will continue to grow into the future, which will give us a sense of sustainability

Simply Wall St -

What Should We Expect From US Foods Holding Corp.'s (NYSE:USFD) Earnings Over The Next Few Years?

US Foods Holding Corp.'s (NYSE:USFD) latest earnings update in December 2018a … revealed

Simply Wall St -

What does US Foods Holding Corp.'s (NYSE:USFD) Balance Sheet Tell Us About Its Future?

Mid-caps stocks, like US Foods Holding Corp. … Don’t forget that this is a general and concentrated examination of US Foods Holding’s financial health, so you should conduct further analysis. … See our latest analysis for US Foods Holding

Simply Wall St -

What Do Analysts Think About US Foods Holding Corp.'s (NYSE:USFD) Growth?

Help shape the future of investing tools and you could win a $250 gift card! … (NYSE:USFD) announced its earnings update. … with earnings expected to grow by 8.4% in the upcoming year

Simply Wall St -

Company Info

Description

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. The company was formerly known as USF Holding Corp. and changed its name to US Foods Holding Corp. in February 2016. US Foods Holding Corp. was incorporated in 2007 and is headquartered in Rosemont, Illinois.

Details
Name: US Foods Holding Corp.
USFD
Exchange: NYSE
Founded: 2007
$7,695,422,991
218,495,826
Website: http://www.usfoods.com
Address: US Foods Holding Corp.
9399 West Higgins Road,
Suite 100,
Rosemont,
Illinois, 60018,
United States
Listings
Exchange Symbol Ticker Symbol Security Exchange Country Currency Listed on
NYSE USFD Common Shares New York Stock Exchange US USD 26. May 2016
DB UFH Common Shares Deutsche Boerse AG DE EUR 26. May 2016
BMV USFD * Common Shares Bolsa Mexicana de Valores MX MXN 26. May 2016
Number of employees
Current staff
Staff numbers
24,900
US Foods Holding employees.
Industry
Food Distributors
Consumer Retailing
Company Analysis and Financial Data Status
Area Date (UTC time)
Company Analysis updated: 2019/06/25 00:45
End of day share price update: 2019/06/24 00:00
Last estimates confirmation: 2019/06/07
Last earnings filing: 2019/05/07
Last earnings reported: 2019/03/30
Last annual earnings reported: 2018/12/29


All dates and times in UTC. All financial data provided by Standard & Poor’s Capital IQ.

Unless specified all financial data is based on a yearly period but updated quarterly. This is known as Trailing Twelve Month (TTM) or Last Twelve Month (LTM) Data. Learn more here.