US Foods Holding Corp. [NYSE:USFD]’s prices rallied on Friday.
Other data for the company is as follows:
- Stochastic %K of 84.49
- Weighted Alpha of -14
Day traders should note that the company’s next earning date is 11/10/2020. The company has price per sales of 0.22 and price per cash flow of 6.12.
Wait and see
Holding a Market Cap of $5.24 billion, US Foods Holding Corp. has seen a trading range over the last year of $8.32-$42.43.
For the last five days, USFD is up from its last closing price. The average shares trading hands each day is 2.60M, with average 10-day volume coming in at 2.36 million.
Using a Force Index Indicator is a good way to look at how strong actual buying and selling pressure is for USFD. When we apply the Elder Force Index to US Foods Holding Corp., we are seeing an Elder Force Indicator number of 644181.72.
The recent performance of the stock is another area that can tell traders how to proceed. USFD is presenting an interesting case. This can be seen in the Forward P/E ratio, which currently stands at 16.85. Moreover, the company’s enterprise value has gone from $9.34B to $8.94B quarter-over-quarter. Obviously, the company is heading in the wrong direction, but there are still opportunities for growth in the sector.
In the last quarter, USFD made a profit of 671.0 million. US Foods Holding Corp. also saw quarter revenue growth year over year of 7.30%. In addition, the company has operating cash flow of $1.14 billion.
Looking at popular technical indicators, the company’s 5-day moving average is 23.92 compared to the 50-day moving average of 23.66. So, we are clearly seeing an upward trajectory here.
The Relative Strength Index or RSI is an indicator ranging between 0 and 100 that traders use to determine if a stock is “overbought” or “oversold.” A strong uptrend tending to reach into the “overbought” status is above 70, while a downward trend will stay around the 30 mark. USFD currently holds a 9-day RSI of 68.90%, while 100-day RSI stands at 49.73%.
Another indicator we believe is worth keeping tabs on is the Moving Average Convergence Divergence or MACD. Similar to the concept of the Force Index — on the basis of price momentum — the MACD gives traders a tool to measure the turning point of a stock even during rapid fluctuations in price. Buy and sell signals are determined by a stock’s relation to the zero line, so if a stock is above a zero line for many weeks it might be a “buy.” On the other hand, if a stock is below the zero line consistently, it might be one to stay away from. Also, if the MACD line reaches a peak and dips, its momentum may be waning. USFD’s 9-day MACD is 1.05 and the company’s 100-day MACD stands at 2.38.
Another area that is important to analyze is insider moves and majority shareholders. While this is not always an error-free way to tell what the future holds for a stock, you can maybe gather important information from reading the tea leaves about who is buying and selling.
The major holders for this stock are 0.93% by insiders and 95.82% by institutions. Regarding institutional holdings, FMR, LLC owns 12.57%, while the second top holder, Vanguard Group, Inc. (The), currently owns 9.17%.
Over the last six months, insiders have bought 5,000 with the most recent transaction from Pforzheimer Carl Andrew, Director, with a purchase at price 21.09 per share.
Overall, the recommended rating for USFD is Moderate Buy. Currently, the company has 10 analysts watching the stock, and the average quarterly earnings estimate is 0.17. Quarterly revenue estimates are averaging 5.87B with the high estimate reaching 6.05B and the low at 5.5B.
To review, the current 1-year target estimate is sitting at 27.90, while the current price 25.09. Based on this, we expect the stock to rise considering the aforementioned fundamentals.