US Foods Holding: Gaining Market Share In Key Segments

US Foods Holding Corp. is rated BUY, driven by accelerating market share gains in the high-margin independent restaurant segment and robust forward growth guidance. USFD leverages technology platforms, private label expansion, and operational efficiencies to drive margin growth and customer stickiness, despite recent macro headwinds. Management guides for 3.5% case growth, 5% revenue growth, and 11% adjusted EBITDA growth for FY26, with EPS expected to rise 21% at midpoint. Strong free cash flow, a $1B share repurchase program, and a manageable 2.6x net leverage ratio provide downside protection for USFD shares.

US Foods Holding's (USFD) stock is +40% YTD despite missing 1Q26 earnings due to macro factors such as increased input costs and bad weather. The key metric driving growth is continued market share