Performance Food Stock Fair Value Calculator – Macquarie Group Ltd. Reduces Its Holdings of Performance Food Group by 10.2% in Third Quarter.
March 5, 2023
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Performance Food Stock Fair Value Calculator – Macquarie Group Ltd. recently released a disclosure showing that it had reduced its holdings in Performance Food ($NYSE:PFGC) Group by 10.2% in the third quarter. This marks a significant reduction in their stake from the previous quarter and is indicative of their lack of confidence in the performance of the company. As part of Macquarie’s holdings, Performance Food Group specializes in providing frozen and refrigerated food products, as well as fresh produce, seafood, and meat products. The majority of Performance Food Group’s revenue is generated through its distribution centers, which distribute products to restaurants, schools, healthcare facilities, and government entities. This includes a decrease in sales due to the pandemic, which has put some of the company’s customers out of business or resulted in a decrease in demand for their products.
In addition, the company has also faced rising costs due to the need to increase its food safety protocols, as well as higher freight costs due to the disruption of global supply chains. With Macquarie Group Ltd.’s decision to reduce its stake in Performance Food Group in the third quarter, it is clear that they do not anticipate a significant recovery of their investment any time soon. As such, investors should proceed with caution when considering investing in this company, as the path forward for Performance Food Group is still uncertain.
Price History
Right now media coverage for Performance Food Group is mostly mixed. On Friday, Performance Food Group’s stock opened at $57.7 and closed at $57.8, which was a 0.2% rise from its last closing price of 57.7. This minor increase in its stocks highlights the company’s stable market position despite the current economic volatility. Live Quote…
About the Company
Income Snapshot
Below shows the total revenue, net income and net margin for Performance Food. More…
| Total Revenues | Net Income | Net Margin |
| 56.29k | 266.2 | 0.5% |
Cash Flow Snapshot
Below shows the cash from operations, investing and financing for Performance Food. More…
| Operations | Investing | Financing |
| 547.2 | -303.1 | -247.5 |
Balance Sheet Snapshot
Below shows the total assets, liabilities and book value per share for Performance Food. More…
| Total Assets | Total Liabilities | Book Value Per Share |
| 12.19k | 8.69k | 22.66 |
Key Ratios Snapshot
Some of the financial key ratios for Performance Food are shown below. More…
| 3Y Rev Growth | 3Y Operating Profit Growth | Operating Margin |
| 35.0% | 22.4% | 1.0% |
| FCF Margin | ROE | ROA |
| 0.5% | 10.4% | 3.0% |
Analysis – Performance Food Stock Fair Value Calculator
GoodWhale recently conducted an analysis of the fundamentals of PERFORMANCE FOOD. After extensive calculations from our proprietary Valuation Line, we have determined the fair value of PERFORMANCE FOOD stock to be around $63.2. However, the share is currently trading at only $57.8. This indicates that PERFORMANCE FOOD stock is currently undervalued by 8.5%. We recommend to investors to take advantage of this opportunity, as it is likely that the stock will reach its fair value soon. More…
Peers
The company operates through three segments: Performance Foodservice, PFG Customized, and Vistar. Performance Foodservice segment offers food and non-food products to independent restaurants, quick-service restaurants, caterers, and national restaurant chains. PFG Customized segment provides food and non-food products to customers who desire a customized distribution solution. Vistar segment supplies non-food products, equipment, and solutions to customers in the vending, office coffee service, theatre, and foodservice management industries.
– US Foods Holding Corp ($NYSE:USFD)
With a market capitalization of $6.66 billion as of 2022, US Foods Holding Corp is a publicly traded foodservice distributor. The company operates a network of nearly 300 distribution centers across the United States, serving more than 250,000 customers. US Foods Holding Corp also offers a variety of foodservice solutions, including custom-cut meat, seafood, and poultry; branded and private label products; and kitchen supplies and equipment. The company’s return on equity was 6.98% as of 2022.
– Sysco Corp ($NYSE:SYY)
Sysco is the global leader in selling, marketing and distributing food products to restaurants, healthcare and educational facilities, lodging establishments and other customers who prepare meals away from home. Its family of brands includesSysco, Brakes, FreshPoint and EFS. The company operates approximately 330 distribution facilities worldwide and serves more than 625,000 customer locations.
– Sligro Food Group NV ($LTS:0MKM)
Sligro Food Group is a Dutch food retailer and wholesaler. The company has a market cap of 662.56M as of 2022 and a return on equity of 8.07%. The company operates a chain of supermarkets and hypermarkets under the brand name “Sligro”.
Summary
Performance Food Group has been a leader in the foodservice industry for many years, but with leading investment group Macquarie Group recently reducing their holdings of the company by 10.2% in their third quarter, the market is debating the overall performance of the business. Analysts note that despite continued strong sales across their multiple industries, their stock price has taken a hit due to competitive pressures and the current macroeconomic environment. As such, investors should continue to research Performance Food Group’s position within the market and assess their ability to stay competitive and maintain their leadership position in the future.
