US Foods Holding Q3 EPS Drop Tests Bullish Margin Expansion Narrative

Simply Wall St.02-13

US Foods Holding (USFD) just turned in its FY 2025 third quarter scorecard with revenue of about US$10.2b and basic EPS of US$0.68 on net income of US$153m. The company has seen quarterly revenue move...

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The company has seen quarterly revenue move...</p>\n\n<a href=\"https://simplywall.st/stocks/us/consumer-retailing/nyse-usfd/us-foods-holding/news/us-foods-holding-q3-eps-drop-tests-bullish-margin-expansion\">Source Link</a>\n\n</div>\n","source":"simplywall_highlight","html":"<!DOCTYPE html>\n<html>\n<head>\n<meta http-equiv=\"Content-Type\" content=\"text/html; charset=utf-8\" />\n<meta name=\"viewport\" content=\"width=device-width,initial-scale=1.0,minimum-scale=1.0,maximum-scale=1.0,user-scalable=no\"/>\n<meta name=\"format-detection\" content=\"telephone=no,email=no,address=no\" />\n<title>US Foods Holding Q3 EPS Drop Tests Bullish Margin Expansion Narrative</title>\n<style type=\"text/css\">\na,abbr,acronym,address,applet,article,aside,audio,b,big,blockquote,body,canvas,caption,center,cite,code,dd,del,details,dfn,div,dl,dt,\nem,embed,fieldset,figcaption,figure,footer,form,h1,h2,h3,h4,h5,h6,header,hgroup,html,i,iframe,img,ins,kbd,label,legend,li,mark,menu,nav,\nobject,ol,output,p,pre,q,ruby,s,samp,section,small,span,strike,strong,sub,summary,sup,table,tbody,td,tfoot,th,thead,time,tr,tt,u,ul,var,video{ font:inherit;margin:0;padding:0;vertical-align:baseline;border:0 }\nbody{ font-size:16px; line-height:1.5; color:#999; background:transparent; }\n.wrapper{ overflow:hidden;word-break:break-all;padding:10px; }\nh1,h2{ font-weight:normal; line-height:1.35; margin-bottom:.6em; }\nh3,h4,h5,h6{ line-height:1.35; margin-bottom:1em; }\nh1{ font-size:24px; }\nh2{ font-size:20px; }\nh3{ font-size:18px; }\nh4{ font-size:16px; }\nh5{ font-size:14px; }\nh6{ font-size:12px; }\np,ul,ol,blockquote,dl,table{ margin:1.2em 0; }\nul,ol{ margin-left:2em; }\nul{ list-style:disc; }\nol{ list-style:decimal; }\nli,li p{ margin:10px 0;}\nimg{ max-width:100%;display:block;margin:0 auto 1em; }\nblockquote{ color:#B5B2B1; border-left:3px solid #aaa; padding:1em; }\nstrong,b{font-weight:bold;}\nem,i{font-style:italic;}\ntable{ width:100%;border-collapse:collapse;border-spacing:1px;margin:1em 0;font-size:.9em; }\nth,td{ padding:5px;text-align:left;border:1px solid #aaa; }\nth{ font-weight:bold;background:#5d5d5d; }\n.symbol-link{font-weight:bold;}\n/* header{ border-bottom:1px solid #494756; } */\n.title{ margin:0 0 8px;line-height:1.3;color:#ddd; }\n.meta {color:#5e5c6d;font-size:13px;margin:0 0 .5em; }\na{text-decoration:none; color:#2a4b87;}\n.meta .head { display: inline-block; overflow: hidden}\n.head .h-thumb { width: 30px; height: 30px; margin: 0; padding: 0; border-radius: 50%; float: left;}\n.head .h-content { margin: 0; padding: 0 0 0 9px; float: left;}\n.head .h-name {font-size: 13px; color: #eee; margin: 0;}\n.head .h-time {font-size: 11px; color: #7E829C; margin: 0;line-height: 11px;}\n.small {font-size: 12.5px; display: inline-block; transform: scale(0.9); -webkit-transform: scale(0.9); transform-origin: left; -webkit-transform-origin: left;}\n.smaller {font-size: 12.5px; display: inline-block; transform: scale(0.8); -webkit-transform: scale(0.8); transform-origin: left; -webkit-transform-origin: left;}\n.bt-text {font-size: 12px;margin: 1.5em 0 0 0}\n.bt-text p {margin: 0}\n</style>\n</head>\n<body>\n<div class=\"wrapper\">\n<header>\n<h2 class=\"title\">\nUS Foods Holding Q3 EPS Drop Tests Bullish Margin Expansion Narrative\n</h2>\n\n<h4 class=\"meta\">\n\n\n2026-02-13 08:44 GMT+8&nbsp;&nbsp;&nbsp;<a href=https://simplywall.st/stocks/us/consumer-retailing/nyse-usfd/us-foods-holding/news/us-foods-holding-q3-eps-drop-tests-bullish-margin-expansion><strong>Simply Wall St.</strong></a>\n\n\n</h4>\n\n</header>\n<article>\n<div>\n<p>US Foods Holding (USFD) just turned in its FY 2025 third quarter scorecard with revenue of about US$10.2b and basic EPS of US$0.68 on net income of US$153m. The company has seen quarterly revenue move...</p>\n\n<a href=\"https://simplywall.st/stocks/us/consumer-retailing/nyse-usfd/us-foods-holding/news/us-foods-holding-q3-eps-drop-tests-bullish-margin-expansion\">Source Link</a>\n\n</div>\n\n\n</article>\n</div>\n</body>\n</html>\n","isBrief":false,"type":0,"news_type":1,"symbol":"IE00B3S45H60.SGD","symbol_name":"Neuberger Berman US Multicap Opportunities A Acc SGD-H","start_time":0,"source_url":"https://simplywall.st/stocks/us/consumer-retailing/nyse-usfd/us-foods-holding/news/us-foods-holding-q3-eps-drop-tests-bullish-margin-expansion","article_id":"2611902158","we_media_id":null,"thumbnails":["https://images.simplywall.st/asset/industry/5022000-choice1-main-header/1585186733105"],"rights":{"source":"simplywall_highlight","url":"https://simplywall.st/stocks/us/consumer-retailing/nyse-usfd/us-foods-holding/news/us-foods-holding-q3-eps-drop-tests-bullish-margin-expansion","rn_cache_url":null,"directOrigin":true},"url":"https://stock-news.laohu8.com/highlight/detail?id=2611902158","pubTimestamp":1770943477,"columns":[],"sourceInfo":{"source_id":"simplywall_highlight","name":"Simply Wall St."},"weMediaInfo":null,"summary":"US Foods Holding (USFD) just turned in its FY 2025 third quarter scorecard with revenue of about US$10.2b and basic EPS of US$0.68 on net income of US$153m. The company has seen quarterly revenue move from US$9.5b in Q4 2024 to US$9.4b in Q1 2025, US$10.1b in Q2 2025 and US$10.2b in Q3 2025, while EPS shifted from US$0.28 to US$0.50, US$0.97 and then US$0.68 over the same stretch. This gives a clear picture of how sales scale is relating to earnings. With trailing net margin sitting at 1.4%,...","collect":0,"end_time":0,"defaultTopTitle":"simplywall.st","property":["earning"],"viewcount":null,"language":"en","relate_stocks":{"IE00B3S45H60.SGD":"Neuberger Berman US Multicap Opportunities A Acc SGD-H","BK4102":"食品分销商","LU0154245756.USD":"BNP PARIBAS US MID CAP \"C\" (USD) ACC","SG9999014039.USD":"UNITED GLOBAL DURABLE EQUITIES (USDHDG) INC","BLSX":"Tradr 2X Long BLSH Daily ETF","BLSG":"2倍做多BLSH ETF-Leverage Shares","BK4112":"金融交易所和数据","SG9999014021.USD":"UNITED GLOBAL DURABLE EQUITIES (USDHDG) ACC","USFD":"美国食品控股","LU0154245673.USD":"BNP PARIBAS US MID CAP \"C\" (USD) INC","SG9999014005.SGD":"United Global Durable Equities Fund Acc SGD","IE00B775SV38.USD":"NEUBERGER BERMAN US MULTICAP OPPORTUNITIES \"A\" (USD) ACC","SG9999014013.SGD":"United Global Durable Equities Fund Dis SGD"},"translate_title":"美国食品控股公司第三季度每股收益下降考验看涨利润率扩张叙事","themeId":null,"isJumpTheme":false,"ttsUrl":null,"symbols_score_info":{"USFD":1.97,"BLSX":0.6,"BLSG":0.6},"content_text":"US Foods Holding (USFD) just turned in its FY 2025 third quarter scorecard with revenue of about US$10.2b and basic EPS of US$0.68 on net income of US$153m. The company has seen quarterly revenue move from US$9.5b in Q4 2024 to US$9.4b in Q1 2025, US$10.1b in Q2 2025 and US$10.2b in Q3 2025, while EPS shifted from US$0.28 to US$0.50, US$0.97 and then US$0.68 over the same stretch. This gives a clear picture of how sales scale is relating to earnings. With trailing net margin sitting at 1.4%, these results put the spotlight firmly on how efficiently the business is converting its top line into profit. See our full analysis for US Foods Holding. With the latest numbers on the table, the next step is to see how this earnings profile lines up with the widely followed narratives around US Foods’ growth potential, profitability and risks. See what the community is saying about US Foods Holding NYSE:USFD Earnings & Revenue History as at Feb 2026 AdvertisementTrailing EPS Points To Mixed Profit Trend  On a trailing twelve month basis, EPS sits at US$2.43 on net income of US$558 million from about US$39.1b of revenue, compared with US$2.35 EPS and US$575 million of net income a year earlier on US$37.3b of revenue. Analysts' consensus view talks about technological investments and private label focus supporting long term profit growth. However, trailing net margin at 1.4% versus 1.5% a year ago shows that, while revenue and EPS over the last twelve months are higher than in the earlier period, margin expansion is not coming through in the latest year as clearly as that optimistic view suggests.\n     That small shift in margin, alongside higher trailing revenue of US$39.1b compared with US$37.3b, highlights how much of the bullish case depends on future efficiency gains rather than on current margin levels. The consensus narrative also leans on strong multiyear profit growth, while the data flags negative earnings growth in the most recent year, which sits awkwardly against the idea of steadily improving profitability.    High P/E Versus 1.4% Margin  The shares trade on a trailing P/E of 40.7x against a trailing net margin of 1.4%, compared with a 1.5% margin a year earlier and industry and peer P/Es of 22.6x and 34.5x respectively. Bears argue that paying a premium multiple for a business with low single digit margins adds risk, and the numbers support parts of that caution because:\n     The gap between the 40.7x P/E and both the 22.6x industry and 34.5x peer averages means investors are paying more for each dollar of trailing earnings even though margin has edged down from 1.5% to 1.4%. The recent year of negative earnings growth, combined with low margins and high leverage flagged as a financial risk, gives skeptics concrete data points when they question whether the current valuation properly reflects these pressures.    Overpaying when net margin sits at 1.4% is exactly the kind of concern skeptics raise about US Foods, and this earnings snapshot gives plenty of context for that view. 🐻 US Foods Holding Bear Case DCF Fair Value Versus US$101.98 Price  Against a current share price of US$101.98, the provided DCF fair value of US$178.97 implies the stock trades about 43% below that modelled value, while analysts also reference forecast earnings growth of around 14.9% a year and revenue growth of about 4.5%. Supporters of the bullish case point to that 43% gap and the multiyear earnings growth history as backing for upside potential. Yet the same dataset shows:\n     Recent negative one year earnings growth and a 1.4% trailing net margin, which means the DCF output and growth forecasts are leaning on improvement from today’s profitability rather than current margins alone justifying that higher fair value. Forecast revenue growth of roughly 4.5% a year that is slower than the 10.4% figure for the wider US market, so the argument for upside rests less on top line pace and more on the earnings growth and cash flow profile captured in the DCF assumptions.    If you are trying to judge whether that 43% DCF gap really matters, it helps to see how bullish investors connect these earnings and margin trends to their longer term case. 🐂 US Foods Holding Bull Case  Next Steps To see how these results tie into long-term growth, risks, and valuation, check out the full range of community narratives for US Foods Holding on Simply Wall St. Add the company to your watchlist or portfolio so you'll be alerted when the story evolves. See the numbers differently? If this data pushes you toward a different conclusion, shape your own view in just a few minutes and Do it your way A great starting point for your US Foods Holding research is our analysis highlighting 2 key rewards and 1 important warning sign that could impact your investment decision. See What Else Is Out There US Foods Holding carries a high 40.7x P/E on a 1.4% net margin, alongside recent negative earnings growth and flagged leverage concerns. If that mix of thin profitability, premium pricing and balance sheet risk makes you cautious, take a few minutes to scan 85 resilient stocks with low risk scores that focus on more resilient profiles.  This article by Simply Wall St is general in nature. We provide commentary based on historical data\n    and analyst forecasts only using an unbiased methodology and our articles are not intended to be financial advice. It does not constitute a recommendation to buy or sell any stock, and does not take account of your objectives, or your\n    financial situation. We aim to bring you long-term focused analysis driven by fundamental data.\n    Note that our analysis may not factor in the latest price-sensitive company announcements or qualitative material.\n    Simply Wall St has no position in any stocks mentioned.New: AI Stock Screener & AlertsOur new AI Stock Screener scans the market every day to uncover opportunities.• Dividend Powerhouses (3%+ Yield)• Undervalued Small Caps with Insider Buying• High growth Tech and AI CompaniesOr build your own from over 50 metrics.Explore Now for FreeHave feedback on this article? Concerned about the content? Get in touch with us directly. 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