US Foods Holding
Market Cap
US$8.7b
Last Updated
2020/02/24 00:59 UTC
Data Sources
Company Financials +
Executive Summary
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.
Rewards
Risk Analysis
Snowflake Analysis
Mediocre balance sheet and slightly overvalued.
Similar Companies
Share Price & News
How has US Foods Holding's share price performed over time and what events caused price changes?
Latest Share Price and Events
Stable Share Price: USFD has not had significant price volatility in the past 3 months.
Market Performance
7 Day Return
-2.0%
USFD
0.6%
US Consumer Retailing
-1.1%
US Market
1 Year Return
13.1%
USFD
17.6%
US Consumer Retailing
17.8%
US Market
Return vs Industry: USFD underperformed the US Consumer Retailing industry which returned 17.6% over the past year.
Return vs Market: USFD underperformed the US Market which returned 17.8% over the past year.
Shareholder returns
| USFD | Industry | Market | |
|---|---|---|---|
| 7 Day | -2.0% | 0.6% | -1.1% |
| 30 Day | -4.0% | 2.5% | 1.5% |
| 90 Day | 0.2% | 0.3% | 6.6% |
| 1 Year | 13.1%13.1% | 19.8%17.6% | 20.2%17.8% |
| 3 Year | 42.5%42.5% | 48.6%39.0% | 47.5%38.1% |
| 5 Year | n/a | 48.3%32.9% | 71.2%52.4% |
Price Volatility Vs. Market
How volatile is US Foods Holding's share price compared to the market and industry in the last 5 years?
Simply Wall St News
3 weeks ago | Simply Wall St
Is US Foods Holding (NYSE:USFD) A Risky Investment?1 month ago | Simply Wall St
Is US Foods Holding Corp. (NYSE:USFD) Excessively Paying Its CEO?2 months ago | Simply Wall St
Who Has Been Selling US Foods Holding Corp. (NYSE:USFD) Shares?Valuation
Is US Foods Holding undervalued compared to its fair value and its price relative to the market?
46.6%
Undervalued compared to fair value
Share Price vs. Fair Value
Below Fair Value: USFD ($39.7) is trading below our estimate of fair value ($74.39)
Significantly Below Fair Value: USFD is trading below fair value by more than 20%.
Price To Earnings Ratio
PE vs Industry: USFD is poor value based on its PE Ratio (22.5x) compared to the Consumer Retailing industry average (22.1x).
PE vs Market: USFD is poor value based on its PE Ratio (22.5x) compared to the US market (18.2x).
Price to Earnings Growth Ratio
PEG Ratio: USFD is poor value based on its PEG Ratio (1.5x)
Price to Book Ratio
PB vs Industry: USFD is overvalued based on its PB Ratio (2.4x) compared to the US Consumer Retailing industry average (2.1x).
Next Steps
Future Growth
How is US Foods Holding forecast to perform in the next 1 to 3 years based on estimates from 6 analysts?
15.3%
Forecasted annual earnings growth
Earnings and Revenue Growth Forecasts
Analyst Future Growth Forecasts
Earnings vs Savings Rate: USFD's forecast earnings growth (15.3% per year) is above the savings rate (1.7%).
Earnings vs Market: USFD's earnings (15.3% per year) are forecast to grow faster than the US market (14.1% per year).
High Growth Earnings: USFD's earnings are forecast to grow, but not significantly.
Revenue vs Market: USFD's revenue (5.6% per year) is forecast to grow slower than the US market (7.6% per year).
High Growth Revenue: USFD's revenue (5.6% per year) is forecast to grow slower than 20% per year.
Earnings per Share Growth Forecasts
Future Return on Equity
Future ROE: USFD's Return on Equity is forecast to be low in 3 years time (14.2%).
Next Steps
Past Performance
How has US Foods Holding performed over the past 5 years?
31.7%
Historical annual earnings growth
Earnings and Revenue History
Quality Earnings: USFD has high quality earnings.
Growing Profit Margin: USFD's current net profit margins (1.5%) are lower than last year (1.7%).
Past Earnings Growth Analysis
Earnings Trend: USFD has become profitable over the past 5 years, growing earnings by 31.7% per year.
Accelerating Growth: USFD's has had negative earnings growth over the past year, so it can't be compared to its 5-year average.
Earnings vs Industry: USFD had negative earnings growth (-5.8%) over the past year, making it difficult to compare to the Consumer Retailing industry average (-6%).
Return on Equity
High ROE: USFD's Return on Equity (10.4%) is considered low.
Return on Assets
Return on Capital Employed
Next Steps
Financial Health
How is US Foods Holding's financial position?
Financial Position Analysis
Short Term Liabilities: USFD's short term assets ($3.3B) exceed its short term liabilities ($2.4B).
Long Term Liabilities: USFD's short term assets ($3.3B) do not cover its long term liabilities ($5.2B).
Debt to Equity History and Analysis
Debt Level: USFD's debt to equity ratio (124.2%) is considered high.
Reducing Debt: USFD's debt to equity ratio has reduced from 290.2% to 124.2% over the past 5 years.
Debt Coverage: USFD's debt is not well covered by operating cash flow (16.5%).
Interest Coverage: USFD's interest payments on its debt are well covered by EBIT (4.1x coverage).
Balance Sheet
Inventory Level: USFD has a high level of physical assets or inventory.
Debt Coverage by Assets: USFD's debt is not covered by short term assets (assets are 0.7x debt).
Next Steps
Dividend
What is US Foods Holding's current dividend yield, its reliability and sustainability?
Dividend Yield vs Market
Current dividend yield vs market & industry
Notable Dividend: Unable to evaluate USFD's dividend yield against the bottom 25% of dividend payers, as the company has not reported any payouts.
High Dividend: Unable to evaluate USFD's dividend yield against the top 25% of dividend payers, as the company has not reported any payouts.
Stability and Growth of Payments
Stable Dividend: Insufficient data to determine if USFD's dividends per share have been stable in the past.
Growing Dividend: Insufficient data to determine if USFD's dividend payments have been increasing.
Current Payout to Shareholders
Dividend Coverage: Insufficient data to calculate payout ratio to determine if its dividend payments are covered by earnings.
Future Payout to Shareholders
Future Dividend Coverage: No need to calculate the sustainability of USFD's dividend in 3 years as they are not forecast to pay a notable one for the US market.
Next Steps
Management
How experienced are the management team and are they aligned to shareholders interests?
4.3yrs
Average management tenure
CEO
Pietro Satriano (57yo)
4.6yrs
Tenure
US$8,607,146
Compensation
Mr. Pietro Satriano served as President at US Foods Holding Corp. Mr. Satriano has been an Independent Director at CarMax, Inc. since October 01, 2018. He has been the Chief Executive Officer and President ...
CEO Compensation Analysis
Compensation vs Market: Pietro's total compensation ($USD8.61M) is above average for companies of similar size in the US market ($USD6.37M).
Compensation vs Earnings: Pietro's compensation has been consistent with company performance over the past year.
Leadership Team
| Name | Position | Tenure | Compensation | Ownership |
|---|---|---|---|---|
| Chairman & CEO | 4.6yrs | US$8.61m | 0.12% $10.6m | |
| Chief Financial Officer | 3yrs | US$1.76m | 0.018% $1.6m | |
| Chief Information Officer | 8.8yrs | US$2.28m | 0.033% $2.9m | |
| Executive Vice President of Nationally Managed Business | 4.6yrs | US$2.26m | 0.017% $1.5m | |
| Executive Vice President of Locally Managed Sales & Field Operations | 4.5yrs | US$2.19m | 0.012% $1.1m | |
| Senior VP of Investor Relations & Treasurer | 4yrs | no data | no data | |
| Executive VP | 3yrs | US$2.56m | 0.0098% $853.6k | |
| Director of Media Relations | 0yrs | no data | no data | |
| Executive VP & Chief Human Resources Officer | 2yrs | no data | no data | |
| Executive Vice President of Strategy | 4.3yrs | no data | 0.019% $1.6m |
4.3yrs
Average Tenure
51yo
Average Age
Experienced Management: USFD's management team is considered experienced (4.3 years average tenure).
Board Members
| Name | Position | Tenure | Compensation | Ownership |
|---|---|---|---|---|
| Chairman & CEO | 4.6yrs | US$8.61m | 0.12% $10.6m | |
| Lead Independent Director | 0yrs | US$245.02k | 0.0014% $126.6k | |
| Independent Director | 3.6yrs | US$225.02k | 0.0018% $152.7k | |
| Independent Director | 2.1yrs | US$200.02k | 0.0017% $149.3k | |
| Independent Director | 1.3yrs | US$25.00k | 0.0015% $127.4k | |
| Independent Director | 3.6yrs | US$220.02k | 0.0018% $152.7k | |
| Director | 9.4yrs | US$200.02k | 0.059% $5.1m | |
| Independent Director | 3.1yrs | US$200.02k | 0.0014% $126.6k | |
| Independent Director | 1.9yrs | US$183.35k | 0.0017% $149.3k |
2.6yrs
Average Tenure
61yo
Average Age
Experienced Board: USFD's board of directors are not considered experienced ( 2.6 years average tenure), which suggests a new board.
Ownership
Who are the major shareholders and have insiders been buying or selling?
Insider Trading Volume
Insider Buying: Insufficient data to determine if insiders have bought more shares than they have sold in the past 3 months.
Recent Insider Transactions
Ownership Breakdown
Dilution of Shares: Shareholders have not been meaningfully diluted in the past year.
Top Shareholders
Company Information
US Foods Holding Corp.'s company bio, employee growth, exchange listings and data sources
Key Information
- Name: US Foods Holding Corp.
- Ticker: USFD
- Exchange: NYSE
- Founded: 2007
- Industry: Food Distributors
- Sector: Consumer Retailing
- Market Cap: US$8.728b
- Shares outstanding: 219.86m
- Website: https://www.usfoods.com
Number of Employees
Location
- US Foods Holding Corp.
- 9399 West Higgins Road
- Suite 100
- Rosemont
- Illinois
- 60018
- United States
Listings
| Ticker | Exchange | Primary Security | Security Type | Country | Currency | Listed on |
|---|---|---|---|---|---|---|
| USFD | NYSE (New York Stock Exchange) | Yes | Common Shares | US | USD | May 2016 |
| UFH | DB (Deutsche Boerse AG) | Yes | Common Shares | DE | EUR | May 2016 |
| USFD * | BMV (Bolsa Mexicana de Valores) | Yes | Common Shares | MX | MXN | May 2016 |
Biography
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 company’s 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. As of February 13, 2020, it maintained 92 operating facilities. 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.
Company Analysis and Financial Data Status
| Data | Last Updated (UTC time) |
|---|---|
| Company Analysis | 2020/02/24 00:59 |
| End of Day Share Price | 2020/02/21 00:00 |
| Earnings | 2019/12/28 |
| Annual Earnings | 2019/12/28 |
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.