Performance Food Group (NYSE:PFGC) Issues Earnings Results

Performance Food Group (NYSE:PFGC) issued its quarterly earnings results on Wednesday. The food distribution company reported $1.59 EPS for the quarter, missing analysts’ consensus estimates of $1.60 by ($0.01), FiscalAI reports. The business had revenue of $18.03 billion for the quarter, compared to analysts’ expectations of $18.11 billion. Performance Food Group had a net margin of 0.49% and a return on equity of 15.33%. The business’s revenue was up 6.7% compared to the same quarter last year. During the same period in the previous year, the business posted $0.84 earnings per share.

Here are the key takeaways from Performance Food Group’s conference call:

• Strong fourth-quarter performance: Net sales increased 6.4%, net income rose 23.4% to $162.3 million, and adjusted EBITDA grew 7.4% to $587.5 million, near the top end of guidance.
• All three segments are expected to grow in fiscal 2027. Foodservice reported 5.8% independent case growth, Convenience benefited from Love’s and RaceTrac wins, and Specialty’s sales growth accelerated to 6.6% in the fourth quarter.
• Management guided to fiscal 2027 sales of $72.5 billion-$73.0 billion and adjusted EBITDA of $2.125 billion-$2.225 billion, representing midpoint growth of 7.2% and 12.7%, respectively, including the benefit of a 53rd week.
• Procurement initiatives, private-brand expansion, operational efficiency efforts, and M&A synergies are expected to support margin improvement; management remains confident it can meet or exceed the high end of its $120 million-$125 million procurement-synergy target by fiscal 2028.
• Elevated diesel costs contributed approximately $16 million of expense in the fourth quarter, while inflation is expected to remain in the low- to mid-single digits in fiscal 2027. Fuel pressure and residual costs related to the Cheney Brothers integration are expected to weigh on early-year results before easing in the second half.

Performance Food Group Stock Performance

Shares of NYSE PFGC traded down $2.42 during midday trading on Thursday, hitting $104.99. 901,848 shares of the company’s stock were exchanged, compared to its average volume of 1,969,984. The stock’s 50 day moving average price is $109.38 and its 200-day moving average price is $97.82. The firm has a market cap of $16.49 billion, a P/E ratio of 49.92, a PEG ratio of 1.43 and a beta of 0.91. Performance Food Group has a twelve month low of $80.82 and a twelve month high of $117.47. The company has a debt-to-equity ratio of 1.40, a current ratio of 1.52 and a quick ratio of 0.68.

Trending Headlines about Performance Food Group

Here are the key news stories impacting Performance Food Group this week:

• Positive Sentiment: Fiscal fourth-quarter sales rose approximately 6.4%–6.7% year over year to about $18.0 billion, while net income increased 23.4% to $162.3 million. Diluted EPS rose 22.6% year over year to $1.03 on a GAAP basis, and gross profit increased 8.3% to $2.2 billion. PFGC reports fiscal Q4 net sales of $18.0 billion
• Positive Sentiment: Operating trends were solid, with total case volume up 3.5% and independent foodservice case volume up 8.0%. Foodservice and Convenience benefited from acquisitions and organic growth, helping offset margin pressure in the Specialty segment.
• Positive Sentiment: Management forecast fiscal 2027 revenue of $72.5 billion to $73.0 billion, broadly in line with the $72.6 billion consensus estimate, and projected adjusted EBITDA of approximately $2.125 billion to $2.225 billion. The outlook implies continued growth and potential upside through fiscal 2028. Performance Food Group’s Underperformance Gives Investors A Tasty Snack

Analyst Ratings Changes

A number of equities analysts recently issued reports on the stock. Deutsche Bank Aktiengesellschaft reissued a “buy” rating and issued a $133.00 price target on shares of Performance Food Group in a research note on Thursday. Citigroup restated a “buy” rating on shares of Performance Food Group in a research note on Thursday. TD Cowen started coverage on Performance Food Group in a research report on Tuesday, July 7th. They set a “buy” rating and a $128.00 target price for the company. Guggenheim boosted their target price on Performance Food Group from $115.00 to $125.00 and gave the company a “buy” rating in a research report on Monday, June 29th. Finally, Barclays upped their price target on shares of Performance Food Group from $105.00 to $115.00 and gave the stock an “overweight” rating in a research report on Thursday, May 7th. Twelve equities research analysts have rated the stock with a Buy rating and two have issued a Hold rating to the company. According to data from MarketBeat.com, Performance Food Group has a consensus rating of “Moderate Buy” and a consensus price target of $124.73.

Insider Buying and Selling at Performance Food Group

In other Performance Food Group news, Director Kimberly Grant sold 2,500 shares of the stock in a transaction on Wednesday, May 20th. The shares were sold at an average price of $95.00, for a total value of $237,500.00. Following the completion of the sale, the director owned 11,935 shares in the company, valued at $1,133,825. This trade represents a 17.32% decrease in their ownership of the stock. The sale was disclosed in a legal filing with the SEC, which is available through this link. Also, insider A Brent King sold 6,111 shares of the company’s stock in a transaction dated Friday, June 12th. The shares were sold at an average price of $105.00, for a total transaction of $641,655.00. Following the completion of the transaction, the insider owned 44,260 shares in the company, valued at $4,647,300. This trade represents a 12.13% decrease in their ownership of the stock. Additional details regarding this sale are available in the official SEC disclosure. Over the last ninety days, insiders have sold 27,187 shares of company stock valued at $2,743,695. 4.50% of the stock is currently owned by corporate insiders.

Institutional Inflows and Outflows

A number of large investors have recently made changes to their positions in PFGC. Arax Advisory Partners lifted its position in Performance Food Group by 7.4% in the 4th quarter. Arax Advisory Partners now owns 2,043 shares of the food distribution company’s stock worth $184,000 after buying an additional 140 shares in the last quarter. Smartleaf Asset Management LLC increased its position in shares of Performance Food Group by 16.5% during the fourth quarter. Smartleaf Asset Management LLC now owns 1,012 shares of the food distribution company’s stock valued at $91,000 after purchasing an additional 143 shares during the period. UMB Bank n.a. raised its stake in shares of Performance Food Group by 10.3% in the fourth quarter. UMB Bank n.a. now owns 1,941 shares of the food distribution company’s stock worth $175,000 after acquiring an additional 181 shares during the last quarter. Orion Porfolio Solutions LLC lifted its stake in shares of Performance Food Group by 0.8% during the second quarter. Orion Porfolio Solutions LLC now owns 24,960 shares of the food distribution company’s stock valued at $2,183,000 after acquiring an additional 189 shares during the period. Finally, Vise Technologies Inc. raised its position in shares of Performance Food Group by 9.2% in the 4th quarter. Vise Technologies Inc. now owns 2,757 shares of the food distribution company’s stock valued at $248,000 after acquiring an additional 233 shares during the period. 96.87% of the stock is owned by institutional investors.

About Performance Food Group

Performance Food Group Company (NYSE: PFGC) is a leading foodservice distribution company headquartered in Richmond, Virginia. The company operates through multiple segments, offering a broad range of products including fresh, frozen and dry foods, as well as non-food items such as supplies, paper goods and equipment. Performance Food Group serves a diverse customer base that encompasses independent and multi-unit restaurants, healthcare facilities, hospitality venues, schools, and other institutional customers.

Through its national broadline division, Performance Food Group provides next-day delivery of products sourced from both company-owned processing facilities and third-party suppliers.