US Foods reported higher third-quarter earnings and more market share gains, despite weaker consumer demand and rising fuel costs. Net sales rose 2.1% to $10.4 billion, and adjusted EBITDA climbed 9.9% to $555 million. Adjusted diluted earnings per share rose 17.8% to $1.26. Total case volume grew 1.3%, below expectations, as customers became more value-conscious. Independent restaurant volume rose 5%. The company tightened its fiscal 2026 outlook, expecting net sales growth of 4% to 5% and adjusted EBITDA growth of 9% to 11%. It bought back $191 million of shares in the quarter and, in October, acquired Prime Line, a specialty Italian distributor with more than $110 million in annual sales.

US Foods (NYSE:USFD) issues quarterly earnings results, beats expectations by $0.01 EPS. US Foods (NYSE:USFD - Get Free Report) released its quarterly earnings results on Thursday. The company reported $1.26 earnings per share for the quarter, beating the consensus estimate of $1.25 by $0.01, FiscalAI reports. The business had revenue of $10.40 billion for the quarter, compared to analysts' expectations of $10.58 billion. US Foods had a net margin of 1.81% and a return on equity of 20.53%. The firm's revenue for the quarter was up 2.1% compared to the same quarter last year. During the same quarter in the previous year, the business posted $1.07 earnings per share. Here are the key takeaways from US Foods' conference call: * US Foods reported 10% adjusted EBITDA growth, 38 basis points of margin expansion and 18% adjusted EPS growth. Independent restaurant cases rose 5%, with the company extending its market-share gains to 22 consecutive quarters in independents and 24 in healthcare. * Management said weaker consumer confidence and labor conditions pressured demand, leaving total volume growth below expectations. It cited higher fuel costs and temporary seller-compensation transition expenses as additional Q4 headwinds, while forecasting full-year case growth of 2.5%-3.5%, adjusted EBITDA growth of 9%-11% and adjusted EPS growth of 18%-20%. * AI initiatives are generating more than $75 million in adjusted EBITDA, and the company expects that figure to exceed $110 million next year. Accounts using sales insights are growing cases nearly 10% faster, supporting a lower expected seller-headcount growth rate of low single digits. * The October acquisition of Prime Line adds more than $110 million in annual sales and specialty Italian products that US Foods plans to expand through its broadline network and Pronto. Pronto generated more than $1 billion in sales year to date, and the company expects $1.3 billion this year and more than $1.7 billion in 2027. * US Foods generated nearly $1.2 billion in operating cash flow through the first nine months and repurchased $690 million of shares year to date. Net leverage was 2.4 times, within its target range, leaving capacity for investment and acquisitions. US Foods stock down 0.4%. USFD stock traded down $0.43 during midday trading on Friday, hitting $106.42. The stock had a trading volume of 2,255,270 shares, compared to its average volume of 1,930,697. The firm has a market cap of $23.02 billion, a price-to-earnings ratio of 29.73, a price-to-earnings-growth ratio of 1.34 and a beta of 0.87. The business has a 50-day moving average of $99.23 and a two-hundred day moving average of $94.98. US Foods has a 52-week low of $69.88 and a 52-week high of $112.57. The company has a debt-to-equity ratio of 1.19, a current ratio of 1.14 and a quick ratio of 0.70. Analyst upgrades and downgrades. Several equities research analysts have recently commented on USFD shares. TD Cowen raised their target price on shares of US Foods from $119.00 to $125.00 and gave the stock a "buy" rating in a research report on Thursday. Guggenheim boosted their price target on shares of US Foods from $115.00 to $120.00 and gave the company a "buy" rating in a research report on Friday, August 7th. Wall Street Zen downgraded shares of US Foods from a "buy" rating to a "hold" rating in a research note on Saturday. Piper Sandler increased their price target on shares of US Foods from $88.00 to $108.00 and gave the stock a "neutral" rating in a research note on Wednesday, August 12th. Finally, BTIG Research restated a "buy" rating and issued a $120.00 price objective on shares of US Foods in a report on Friday. One equities research analyst has rated the stock with a Strong Buy rating, ten have issued a Buy rating and four have given a Hold rating to the stock. Based on data from MarketBeat.com, the company has an average rating of "Moderate Buy" and a consensus price target of $115.31. More US Foods news. Here are the key news stories impacting US Foods this week: * US Foods earned $1.26 per share, slightly above the $1.25 consensus and up from $1.07 a year earlier. Stronger margins and case volumes contributed to the earnings beat; adjusted EBITDA rose 10% year over year. * TD Cowen raised its price target to $125 from $119 and reaffirmed a Buy rating. BTIG also reiterated Buy and set a $120 target, signaling analyst confidence in further upside. * Quarterly revenue of $10.40 billion was below analysts' $10.58 billion estimate, despite increasing 2.1% year over year. The company also narrowed its fiscal 2026 growth outlook, which could temper investor expectations. Insider transactions at US Foods. In other US Foods news, insider Randy J. Taylor sold 11,630 shares of the firm's stock in a transaction on Thursday, August 13th. The stock was sold at an average price of $110.37, for a total transaction of $1,283,603.10. Following the completion of the transaction, the insider owned 73,618 shares of the company's stock, valued at approximately $8,125,218.66. This trade represents a 13.64% decrease in their ownership of the stock. The sale was disclosed in a filing with the SEC, which can be accessed through this link. Company insiders own 0.74% of the company's stock. US Foods company profile. US Foods Holding Corp. is a foodservice distributor that supplies restaurants and other foodservice businesses across the United States. Its customers include independent restaurants, healthcare and senior-care facilities, hotels, educational institutions, and government organizations. The company distributes a broad range of products, including fresh and frozen foods, meat, seafood, produce, dairy, beverages, and nonfood supplies. It also offers services and digital tools intended to help customers manage menus, purchasing, and kitchen operations. US Foods is headquartered in Rosemont, Illinois, and traces its history to predecessor businesses dating back to the 19th century. Receive News & Ratings for US Foods Daily - Enter your email address below to receive a concise daily summary of the latest news and analysts' ratings for US Foods and related companies with MarketBeat.com's FREE daily email newsletter.