US Foods Holding (USFD): Evaluating Valuation After Fall 2025 Scoop Launch and Growth Guidance Reaffirmation

US Foods Holding has caught investor attention after unveiling its Fall 2025 Scoop lineup, a collection of menu-ready products built for operators looking to streamline operations and grow margins. With operators across the industry facing pressure to manage food costs and drive profitability, these new, versatile offerings land at just the right time. The Scoop release, combined with the company’s recent reaffirmation of its 2025 growth guidance, underscores a strategic push toward innovation and stability. Both of these factors could sway perceptions about the company’s longer-term prospects. Zooming out, US Foods Holding’s stock is on the move this year. Shares have delivered solid gains, climbing 25% over the past year and showing strong momentum year-to-date. The past three months have seen moderate acceleration, supported by management’s steady tone and targeted product launches like Scoop. Together, these developments suggest the market is starting to acknowledge the company’s improvements in execution and commitment to profitable expansion. After such a run, the big question is whether US Foods Holding is now a buy, or if many investors are already factoring in its growth story. Is there still upside, or has the market caught on?

Most Popular Narrative: 15% Undervalued

According to the most widely followed narrative, US Foods Holding is currently trading at a meaningful discount to its estimated fair value. This suggests undervaluation relative to its future prospects.

US Foods' accelerated investment in digital platforms and supply chain automation, such as the MOXe platform and Descartes routing, has driven record operational efficiency, reduced costs, and enabled best-in-class customer experiences. These efforts are setting the stage for sustained net margin expansion and higher long-term profitability.

Want a look behind the curtain on this impressive valuation? The driving force of this call lies in bold projections about future profit margins, transformative digital initiatives, and a pathway to stronger earnings. Wondering what aggressive financial assumptions make these numbers possible? Dive into the full narrative to see what is fueling such high conviction in the company's upside.

Result: Fair Value of $91.33 (UNDERVALUED)

Have a read of the narrative in full and understand what's behind the forecasts.

However, ongoing industry softness and potential execution risks in future acquisitions could challenge US Foods Holding's path to sustained margin expansion and growth.

Find out about the key risks to this US Foods Holding narrative.

Another View: The Market Ratio Perspective

While analyst forecasts point to US Foods Holding being undervalued versus its growth potential, a look at the standard price-to-earnings ratio tells a different story. This suggests the company might look pricey compared to the industry. Which approach will the market listen to?

See what the numbers say about this price — find out in our valuation breakdown.

Stay updated when valuation signals shift by adding US Foods Holding to your watchlist or portfolio. Alternatively, explore our screener to discover other companies that fit your criteria.

Build Your Own US Foods Holding Narrative

If the story here doesn’t match your outlook or you’d rather dig into the numbers yourself, building your own narrative takes just a few minutes. Do it your way

A great starting point for your US Foods Holding research is our analysis highlighting 3 key rewards and 1 important warning sign that could impact your investment decision.

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This article by Simply Wall St is general in nature. We provide commentary based on historical data and analyst forecasts only using an unbiased methodology and our articles are not intended to be financial advice. It does not constitute a recommendation to buy or sell any stock, and does not take account of your objectives, or your financial situation. We aim to bring you long-term focused analysis driven by fundamental data. Note that our analysis may not factor in the latest price-sensitive company announcements or qualitative material. Simply Wall St has no position in any stocks mentioned.

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