Should I Buy UNFI? UNFI 2026 Analysis

Should You Buy United Natural Foods Inc (UNFI) Today? Analysis, Price Targets, and 2026 Outlook.

Conclusion

Hold

Latest Price

37.280

1 Day change

-0.35%

52 Week Range

43.290

Analysis Updated At

2026/01/26

United Natural Foods Inc (UNFI) is not a strong buy at this moment for a beginner, long-term investor with $50,000-$100,000 to invest. The company's financial performance is weak, with declining net income and EPS, and it faces significant legal and operational risks. While the technical indicators show some bullish signals, the lack of strong positive catalysts, mixed analyst ratings, and negative news sentiment make it prudent to hold off on buying this stock right now.

Technical Analysis

The technical indicators suggest a moderately bullish trend. The MACD is positive and expanding, and the stock's moving averages (SMA_5 > SMA_20 > SMA_200) are bullish. The RSI is neutral at 66.117, and the stock is trading near its resistance level of R1: 35.098. However, given the broader market's slightly negative sentiment (S&P 500 down -0.15%), the technicals alone do not strongly justify a buy.

Options Data

Bullish

Open Interest Put-Call Ratio

Bullish

Option Volume Put-Call Ratio

Technical Summary

Sell

Buy

Positive Catalysts

Bullish technical indicators, including positive MACD and moving averages.
Analysts highlight potential tailwinds in 2026, including a sizable stimulus in the first half of the year.

Neutral/Negative Catalysts

Significant decline in net income (-80.95% YoY) and EPS (-80.00% YoY) in the latest quarter.
Legal risks, including a securities class action lawsuit and investigation into fiduciary breaches.
Reduced adjusted EBITDA guidance by $115 million.
Negative news sentiment surrounding financial and legal challenges.

Financial Performance

In Q1 2026, revenue dropped slightly by -0.39% YoY to $7.84 billion. Net income plummeted by -80.95% YoY to -$4 million, and EPS dropped by -80.00% YoY to -0.07. However, gross margin improved by 2.88% YoY to 13.57%. Overall, the financial performance shows significant weakness, with declining profitability and earnings.

Growth

Profitability

Efficiency

Analyst Ratings and Price Target Trends

Analysts have mixed views on UNFI. Deutsche Bank resumed coverage with a Hold rating and a $40 price target, citing a challenging food retail outlook but potential tailwinds in 2026. Wells Fargo has an Equal Weight rating with a reduced price target of $35, reflecting a mixed outlook for the sector. Analyst sentiment is cautious, with no strong buy recommendations.

8 Analyst Rating

Wall Street analysts forecast UNFI stock price to rise over the next 12 months. According to Wall Street analysts, the average 1-year price target for UNFI is 39.5 USD with a low forecast of 35 USD and a high forecast of 48 USD. However, analyst price targets are subjective and often lag stock prices, so investors should focus on the objective reasons behind analyst rating changes, which better reflect the company's fundamentals.

1 Buy

7 Hold

0 Sell

Hold

Current: 37.410

Low

Averages

39.5

High

Current: 37.410

Low

Averages

39.5

High

Deutsche Bank

resume

$40

AI Analysis

2026-01-08

Reason

Deutsche Bank

Price Target

$40

AI Analysis

2026-01-08

resume

Reason

Deutsche Bank resumed coverage of United Natural Foods with a Hold rating and $40 price target. The firm resumed coverage of the broadlines and food retailers. Deutsche expects 2026 to be another "mixed year," characterized by food disinflation, reduced government benefits, and consumers' value focus extending into the new year. The analyst says that while defensive sectors such as food retail could face a challenging setup, "there are tailwinds on the horizon," including a sizable stimulus in the first half of 2026.

Wells Fargo

Edward Kelly

Equal Weight

downgrade

$37 -> $35

2025-12-19

Reason

Wells Fargo

Edward Kelly

Price Target

$37 -> $35

2025-12-19

downgrade

Equal Weight

Reason

Wells Fargo analyst Edward Kelly lowered the firm's price target on United Natural Foods to $35 from $37 and keeps an Equal Weight rating on the shares. The firm sees a mixed overall 2026 outlook for the group, but with opportunity. Wells is bullish broadlines/food service, notes fiscal/tariff trade is underway, and believes momentum is sustainable through the first half of EPS revisions. With that said, the firm sees a tougher food retail outlook; idiosyncratic drivers are key.

Unlock Full Analyst Thesis， Get the complete breakdown of rating reason for UNFI

Unlock Now

UNFI Should I Buy

UNFI Should I Buy

Should You Buy United Natural Foods Inc (UNFI) Today? Analysis, Price Targets, and 2026 Outlook.

Technical Analysis

Options Data

Technical Summary

Positive Catalysts

Neutral/Negative Catalysts

Financial Performance

Growth

Profitability

Efficiency

Analyst Ratings and Price Target Trends

People Also Watch