Performance Food Group (NYSE:PFGC) Announces Quarterly Earnings Results

Performance Food Group (NYSE:PFGC) issued its quarterly earnings results on Wednesday. The food distribution company reported $0.98 earnings per share for the quarter, missing analysts’ consensus estimates of $1.07 by ($0.09), FiscalAI reports. Performance Food Group had a return on equity of 15.64% and a net margin of 0.52%.The business had revenue of $16.44 billion for the quarter, compared to analysts’ expectations of $16.54 billion. During the same period in the prior year, the company earned $0.98 EPS. The company’s revenue for the quarter was up 5.2% compared to the same quarter last year.

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

• Scott McPherson is the new CEO with George Holm moving to Executive Chair, and management stresses continuity, continued M&A focus, and confidence in executing the three‑year plan.
• PFG reported solid Q2 results with total net sales up ~5.2%, adjusted EBITDA up 6.7% to $451M and net income increasing 45.5%, which management says were within prior guidance despite a tough macro backdrop.
• Integration of Cheney Brothers added higher near‑term operating and integration costs, and management warns the majority of synergies won’t flow to the income statement until late year two through year three, pressuring near‑term margins.
• The convenience segment strengthened after onboarding >500 Love’s and ~600 RaceTrac locations, with Core‑Mark adjusted EBITDA up 13.4% and favorable margin mix from growth in non‑combustible nicotine and food service sales.
• Guidance was updated downward for FY26 adjusted EBITDA to $1.875B–$1.975B (Q3 EBITDA $390M–$410M), as management factors in cheese/poultry deflation, Cheney investments, specialty theater weakness and recent weather impacts.

Performance Food Group Stock Up 0.3%

Shares of NYSE:PFGC opened at $90.13 on Friday. Performance Food Group has a 12-month low of $68.39 and a 12-month high of $109.05. The company has a current ratio of 1.60, a quick ratio of 0.70 and a debt-to-equity ratio of 1.45. The firm has a market cap of $14.13 billion, a PE ratio of 40.97, a price-to-earnings-growth ratio of 1.08 and a beta of 0.93. The company has a fifty day simple moving average of $92.99 and a 200 day simple moving average of $97.83.

Wall Street Analysts Forecast Growth

A number of research analysts recently weighed in on the company. Citigroup reduced their target price on Performance Food Group from $134.00 to $127.00 and set a “buy” rating on the stock in a report on Wednesday, January 7th. Sanford C. Bernstein reiterated an “outperform” rating on shares of Performance Food Group in a research note on Thursday. Morgan Stanley reduced their price objective on Performance Food Group from $123.00 to $120.00 and set an “overweight” rating on the stock in a research note on Thursday. Barclays decreased their target price on Performance Food Group from $120.00 to $105.00 and set an “overweight” rating for the company in a research report on Wednesday, January 7th. Finally, UBS Group lowered their target price on Performance Food Group from $120.00 to $108.00 and set a “buy” rating for the company in a research note on Thursday. Nine investment analysts have rated the stock with a Buy rating and one has issued a Hold rating to the company’s stock. According to data from MarketBeat.com, Performance Food Group has an average rating of “Moderate Buy” and an average price target of $116.56.

Hedge Funds Weigh In On Performance Food Group

Several large investors have recently modified their holdings of the stock. Voleon Capital Management LP bought a new position in Performance Food Group during the third quarter worth $235,000. Brooklyn Investment Group raised its holdings in shares of Performance Food Group by 61.6% during the third quarter. Brooklyn Investment Group now owns 4,288 shares of the food distribution company’s stock worth $446,000 after purchasing an additional 1,635 shares during the period. Osaic Holdings Inc. lifted its position in shares of Performance Food Group by 153.2% in the 2nd quarter. Osaic Holdings Inc. now owns 4,730 shares of the food distribution company’s stock worth $394,000 after buying an additional 2,862 shares during the last quarter. Headlands Technologies LLC bought a new stake in shares of Performance Food Group during the 2nd quarter valued at about $545,000. Finally, Tower Research Capital LLC TRC lifted its holdings in Performance Food Group by 22.0% in the second quarter. Tower Research Capital LLC TRC now owns 4,198 shares of the food distribution company’s stock worth $367,000 after acquiring an additional 758 shares during the last quarter. Institutional investors own 96.87% of the company’s stock.

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.