USFD

Impact of Tariffs on Food Imports: The Trump Administration's tariffs, particularly targeting Mexico, are affecting imports of essential food items like avocados and tomatoes, leading to potential price increases for companies reliant on these products.

Struggles of Food Stocks: Major food companies such as Chipotle, Calavo Growers, US Foods, and Fresh Del Monte Produce are facing challenges due to rising costs from tariffs and declining sales, with analysts advising caution regarding their stocks.

Stock Performance Overview: IJJ's share price is currently at $118.34, with a 52-week low of $109.12 and a high of $136.42, indicating fluctuations in its market performance.

ETFs Trading Dynamics: Exchange traded funds (ETFs) operate like stocks but involve trading "units" that can be created or destroyed based on investor demand, affecting the underlying assets held within the ETFs.

US Foods Holding Corp. Overview: US Foods Holding Corp. (NYSE:USFD) has demonstrated strong financial performance with a 6.4% growth in net sales and a 20% increase in adjusted EPS, supported by operational efficiencies, digital advancements, and strategic acquisitions, positioning it as a top contender among high-growth food stocks.

Market Trends and Challenges: The food industry is facing challenges such as inflation and changing consumer preferences, while also experiencing growth driven by technological advancements and the demand for health-conscious and sustainable products, indicating a complex but promising future for food companies.

Put Contract Analysis: Selling a put contract at a $60.00 strike price allows an investor to potentially buy USFD shares at a discount while collecting a premium, with an 87% chance the contract may expire worthless, yielding a 0.92% return on cash commitment.

Call Contract Strategy: Purchasing USFD shares and selling a call contract at an $85.00 strike price could result in a total return of 21.03% if exercised, with a 74% chance of the contract expiring worthless, providing a 1.96% additional return.

Medifast's Financial Performance: Medifast, Inc. reported a decline in both earnings and net revenues for the fourth quarter of 2024 compared to the previous year, although results exceeded Zacks Consensus Estimates. Adjusted earnings were 10 cents per share, while net revenues fell by 37.7% to $119 million.

Future Outlook and Strategy: The company aims to restore growth by enhancing coach productivity and increasing customer acquisition, with projected first-quarter 2025 revenues between $100 million and $120 million and an expected EPS loss ranging from 50 cents to break-even.

Analyst Rating on US Foods: J.P. Morgan analyst John Ivankoe has maintained a Hold rating on US Foods Holding with a price target of $70.00, while the current consensus among analysts is a Strong Buy with an average price target of $81.25.

Analyst Performance: Ivankoe, a 5-star analyst with a 62.58% success rate and an average return of 13.7%, covers the Consumer Cyclical sector, including notable companies like Restaurant Brands International and Chipotle.

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Analyst Ratings Overview: In the last three months, five analysts have provided ratings for US Foods Holding Corp, with a total of 3 bullish and 2 somewhat bullish ratings, reflecting an overall positive sentiment and an average 12-month price target increase to $81.4.

Financial Performance Insights: US Foods has demonstrated strong revenue growth of 6.83% and exceptional net margin of 1.52%, although its return on equity (ROE) of 3.08% indicates challenges in efficiently using equity capital compared to industry averages.

Real-time Intelligence for Traders: Benzinga Pro offers the fastest news alerts and exclusive stories to help traders make informed decisions in the stock market.

Community of Serious Traders: Over 10,000 traders are part of the Benzinga Pro community, benefiting from accurate market intelligence and timely updates.

Earnings Report: US Foods Holding Corp. reported fourth-quarter adjusted earnings per share of 84 cents, exceeding expectations, with sales of $9.49 billion reflecting a 6.2% year-over-year increase. Adjusted EBITDA grew by 11.7% to a record $1.74 billion for 2024.

Future Outlook: The company anticipates FY25 net sales growth of 4% to 6%, with adjusted EPS growth projected between 17% and 23%, indicating confidence in sustained profitable growth through 2027 despite a 4.5% drop in share price to $66.77.

Fiscal Year 2024 Financial Performance: US Foods Holding Corp. reported a record net sales of $37.9 billion, a 6.4% increase from the previous year, with net income of $494 million and adjusted EBITDA growth of 11.7% to $1.74 billion.

Future Outlook: The company anticipates continued growth in Fiscal Year 2025, projecting net sales growth of 4% to 6%, adjusted EBITDA growth of 8% to 12%, and adjusted diluted EPS growth of 17% to 23%.

Q4 Financial Performance: US Foods reported Q4 revenue of $9.5 billion, achieving an Adjusted EBITDA growth of 11.7% to a record $1.74 billion for 2024, fulfilling the goals of their three-year plan.

Future Growth Outlook: CEO Dave Flitman expressed confidence in the company's ability to achieve a 5% sales CAGR and a 10% Adjusted EBITDA CAGR through 2027, while emphasizing the importance of their dedicated workforce in driving long-term value creation.

FY25 Financial Projections: The consensus for FY25 EPS is $3.83, with expected net sales growth of 4%-6% and adjusted EBITDA growth of 8%-12%.

Investment Insights: TipRanks offers a Smart Score tool to help investors identify top-performing stocks and compare their picks with Wall Street Analysts' recommendations.

Analyst Rating: Barclays analyst Jeff Bernstein has maintained a Buy rating on US Foods Holding (USFD) with a price target of $82.00, reflecting confidence in the company's performance as it closed at $69.91 recently.

Financial Performance: US Foods reported a quarterly revenue of $9.73 billion and a net profit of $148 million for the quarter ending September 28, showing growth compared to last year's revenue of $9.11 billion and net profit of $95 million.

Upcoming Earnings Reports: Notable companies set to report earnings before tomorrow's market open include Deere, Zoetis, Datadog, and others, with varying consensus estimates for their earnings per share.

Investment Insights Tool: TipRanks offers a Smart Score tool designed to help investors identify top-performing stocks and compare their picks against Wall Street analysts' recommendations.

Analyst Rating and Growth Potential: BofA Securities analyst Jason Kupferberg maintains a Buy rating on Block, Inc. with a price target of $115, highlighting its potential for growth in the Payments sector due to favorable macro conditions and innovations under CEO Jack Dorsey.

Financial Projections and Market Performance: The analyst expects Block to achieve its Rule of 40 target early, maintain over 15% GP growth for 2025, and notes that recent stock performance may limit positive impacts from fourth-quarter results.

Analyst Rating and Growth Potential: BofA Securities analyst Jason Kupferberg maintains a Buy rating on Block, Inc. with a price target of $115, highlighting its potential for growth in the Payments sector due to favorable macro conditions and innovations under CEO Jack Dorsey.

Financial Projections and Market Performance: The analyst expects Block to achieve its Rule of 40 target early, maintain over 15% GP growth for 2025, and notes that recent stock performance may limit positive impacts from fourth-quarter results.

Upcoming Presentation: US Foods Holding Corp. will have CEO Dave Flitman and CFO Dirk Locascio present at the CAGNY 2025 Conference on February 20, 2025, at 11 a.m. EST, with a live webcast available for viewing.

Company Overview: US Foods is a leading foodservice distributor in America, serving around 250,000 restaurants and foodservice operators, offering a wide range of food products and business solutions from its headquarters in Rosemont, Illinois.

Conference Call Announcement: US Foods Holding Corp. will hold a live conference call and webcast on February 13, 2025, at 8 a.m. CST to discuss its fourth quarter and fiscal year 2024 results, accessible via phone or their Investor Relations website.

Company Overview: US Foods is a leading foodservice distributor in America, serving around 250,000 restaurants and foodservice operators with a wide range of food offerings and business solutions, headquartered in Rosemont, Illinois.

Market Performance: U.S. stock markets are showing mixed pre-market activity with LandBridge Co. and Leonardo DRS both up 4.6%, while Trump Media & Technology Group and Cytokinetics saw declines of 8.1% and 5.6%, respectively. S&P 500 futures rose by 0.25%.

Commodities and Global Indices: Brent crude oil futures decreased by 0.31%, gold futures increased by 0.18%, and Bitcoin climbed 2.72%. Asian stocks were mixed, with Japan's NIKKEI down 1.83% and China's Shanghai Composite up 2.54%, while European stocks showed a mixed trend as well.