UNITED NATURAL FOODS INC (UNFI) Stock Fundamental Analysis
NYSE:UNFI - New York Stock Exchange, Inc. - US9111631035 - Common Stock - Currency: USD
Taking everything into account, UNFI scores 3 out of 10 in our fundamental rating. UNFI was compared to 41 industry peers in the Consumer Staples Distribution & Retail industry. UNFI has a bad profitability rating. Also its financial health evaluation is rather negative. UNFI has a decent growth rate and is not valued too expensively.
1. Profitability
1.1 Basic Checks
In the past year UNFI was profitable.
UNFI had a positive operating cash flow in the past year.
The reported net income has been mixed in the past 5 years: UNFI reported negative net income in multiple years.
UNFI had a positive operating cash flow in each of the past 5 years.
1.2 Ratios
With a Return On Assets value of -1.06%, UNFI is not doing good in the industry: 65.85% of the companies in the same industry are doing better.
Looking at the Return On Equity, with a value of -5.05%, UNFI is doing worse than 65.85% of the companies in the same industry.
UNFI has a worse Return On Invested Capital (2.69%) than 63.41% of its industry peers.
The Average Return On Invested Capital over the past 3 years for UNFI is below the industry average of 8.08%.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | -1.06% | ||
| ROE | -5.05% | ||
| ROIC | 2.69% |
ROA(3y)0.7%
ROA(5y)0.09%
ROE(3y)2.8%
ROE(5y)-1.14%
ROIC(3y)3.42%
ROIC(5y)4.16%
1.3 Margins
UNFI's Operating Margin of 0.57% is on the low side compared to the rest of the industry. UNFI is outperformed by 70.73% of its industry peers.
In the last couple of years the Operating Margin of UNFI has declined.
UNFI has a worse Gross Margin (13.40%) than 82.93% of its industry peers.
UNFI's Gross Margin has been stable in the last couple of years.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| OM | 0.57% | ||
| PM (TTM) | N/A | ||
| GM | 13.4% |
OM growth 3Y-27.27%
OM growth 5Y-14.68%
PM growth 3YN/A
PM growth 5YN/A
GM growth 3Y-2.47%
GM growth 5Y-1.21%
2. Health
2.1 Basic Checks
With a Return on Invested Capital (ROIC) below the Cost of Capital (WACC), UNFI is destroying value.
Compared to 1 year ago, UNFI has more shares outstanding
Compared to 5 years ago, UNFI has more shares outstanding
The debt/assets ratio for UNFI is higher compared to a year ago.
2.2 Solvency
UNFI has an Altman-Z score of 4.73. This indicates that UNFI is financially healthy and has little risk of bankruptcy at the moment.
UNFI has a better Altman-Z score (4.73) than 70.73% of its industry peers.
The Debt to FCF ratio of UNFI is 13.57, which is on the high side as it means it would take UNFI, 13.57 years of fcf income to pay off all of its debts.
Looking at the Debt to FCF ratio, with a value of 13.57, UNFI is in line with its industry, outperforming 41.46% of the companies in the same industry.
A Debt/Equity ratio of 1.28 is on the high side and indicates that UNFI has dependencies on debt financing.
Looking at the Debt to Equity ratio, with a value of 1.28, UNFI is doing worse than 75.61% of the companies in the same industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 1.28 | ||
| Debt/FCF | 13.57 | ||
| Altman-Z | 4.73 |
ROIC/WACC0.25
WACC10.83%
2.3 Liquidity
A Current Ratio of 1.45 indicates that UNFI should not have too much problems paying its short term obligations.
The Current ratio of UNFI (1.45) is better than 75.61% of its industry peers.
UNFI has a Quick Ratio of 1.45. This is a bad value and indicates that UNFI is not financially healthy enough and could expect problems in meeting its short term obligations.
UNFI has a Quick ratio (0.52) which is in line with its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Current Ratio | 1.45 | ||
| Quick Ratio | 0.52 |
3. Growth
3.1 Past
UNFI shows a strong growth in Earnings Per Share. In the last year, the EPS has been growing by 53.12%, which is quite impressive.
UNFI shows a very negative growth in Earnings Per Share. Measured over the last years, the EPS has been decreasing by -41.71% yearly.
The Revenue has been growing slightly by 4.73% in the past year.
The Revenue has been growing slightly by 6.76% on average over the past years.
EPS 1Y (TTM)53.12%
EPS 3Y-66.96%
EPS 5Y-41.71%
EPS Q2Q%214.29%
Revenue 1Y (TTM)4.73%
Revenue growth 3Y4.75%
Revenue growth 5Y6.76%
Sales Q2Q%4.93%
3.2 Future
The Earnings Per Share is expected to grow by 54.80% on average over the next years. This is a very strong growth
UNFI is expected to show a small growth in Revenue. In the coming years, the Revenue will grow by 1.43% yearly.
EPS Next Y498.09%
EPS Next 2Y215.3%
EPS Next 3Y135.71%
EPS Next 5Y54.8%
Revenue Next Year2.68%
Revenue Next 2Y2.24%
Revenue Next 3Y1.93%
Revenue Next 5Y1.43%
3.3 Evolution
The EPS growth rate is accelerating: in the next years the growth will be better than in the last years.
When comparing the Revenue growth rate of the last years to the growth rate of the upcoming years, we see that the growth is decreasing.
4. Valuation
4.1 Price/Earnings Ratio
The Price/Earnings ratio is 62.39, which means the current valuation is very expensive for UNFI.
Based on the Price/Earnings ratio, UNFI is valued a bit more expensive than 70.73% of the companies in the same industry.
The average S&P500 Price/Earnings ratio is at 26.25. UNFI is valued rather expensively when compared to this.
UNFI is valuated rather expensively with a Price/Forward Earnings ratio of 21.96.
UNFI's Price/Forward Earnings ratio is in line with the industry average.
When comparing the Price/Forward Earnings ratio of UNFI to the average of the S&P500 Index (22.15), we can say UNFI is valued inline with the index average.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 62.39 | ||
| Fwd PE | 21.96 |
4.2 Price Multiples
Compared to the rest of the industry, the Enterprise Value to EBITDA ratio of UNFI indicates a somewhat cheap valuation: UNFI is cheaper than 70.73% of the companies listed in the same industry.
Compared to the rest of the industry, the Price/Free Cash Flow ratio of UNFI indicates a rather cheap valuation: UNFI is cheaper than 87.80% of the companies listed in the same industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | 12.01 | ||
| EV/EBITDA | 7.64 |
4.3 Compensation for Growth
UNFI's low PEG Ratio(NY), which compensates the Price/Earnings for growth, indicates a rather cheap valuation of the company.
UNFI's earnings are expected to grow with 135.71% in the coming years. This may justify a more expensive valuation.
PEG (NY)0.13
PEG (5Y)N/A
EPS Next 2Y215.3%
EPS Next 3Y135.71%
5. Dividend
5.1 Amount
No dividends for UNFI!.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | N/A |
30.57
-0.33 (-1.07%)
Chartmill FA Rating
GICS SectorConsumer Staples
GICS IndustryGroupConsumer Staples Distribution & Retail
GICS IndustryConsumer Staples Distribution & Retail
Earnings (Last)
Earnings (Next)
Inst Owners92.94%
Inst Owner Change4.01%
Ins Owners1.83%
Ins Owner Change9.56%
Market Cap1.85B
Analysts70
Price Target30.6 (0.1%)
Short Float %7.73%
Short Ratio6.06
Dividend
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | N/A |
Yearly DividendN/A
Dividend Growth(5Y)N/A
DPN/A
Div Incr Years0
Div Non Decr Years0
Ex-DateN/A
Surprises & Revisions
EPS beat(2)2
Avg EPS beat(2)493.85%
Min EPS beat(2)16.24%
Max EPS beat(2)971.46%
EPS beat(4)4
Avg EPS beat(4)326.05%
Min EPS beat(4)16.24%
Max EPS beat(4)971.46%
EPS beat(8)7
Avg EPS beat(8)244.88%
EPS beat(12)8
Avg EPS beat(12)159.76%
EPS beat(16)11
Avg EPS beat(16)126.99%
Revenue beat(2)2
Avg Revenue beat(2)0.95%
Min Revenue beat(2)0.53%
Max Revenue beat(2)1.38%
Revenue beat(4)3
Avg Revenue beat(4)0.09%
Min Revenue beat(4)-2.18%
Max Revenue beat(4)1.38%
Revenue beat(8)3
Avg Revenue beat(8)-1.27%
Revenue beat(12)4
Avg Revenue beat(12)-1.3%
Revenue beat(16)6
Avg Revenue beat(16)-1.29%
PT rev (1m)0%
PT rev (3m)1.69%
EPS NQ rev (1m)0%
EPS NQ rev (3m)-11.35%
EPS NY rev (1m)0%
EPS NY rev (3m)11.77%
Revenue NQ rev (1m)0%
Revenue NQ rev (3m)2.33%
Revenue NY rev (1m)0%
Revenue NY rev (3m)1.46%
Valuation
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 62.39 | ||
| Fwd PE | 21.96 | ||
| P/S | 0.06 | ||
| P/FCF | 12.01 | ||
| P/OCF | 4.01 | ||
| P/B | 1.14 | ||
| P/tB | 1.86 | ||
| EV/EBITDA | 7.64 |
EPS(TTM)0.49
EY1.6%
EPS(NY)1.39
Fwd EY4.55%
FCF(TTM)2.54
FCFY8.32%
OCF(TTM)7.62
OCFY24.92%
SpS523.5
BVpS26.85
TBVpS16.44
PEG (NY)0.13
PEG (5Y)N/A
Profitability
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | -1.06% | ||
| ROE | -5.05% | ||
| ROCE | 3.41% | ||
| ROIC | 2.69% | ||
| ROICexc | 2.72% | ||
| ROICexgc | 3.08% | ||
| OM | 0.57% | ||
| PM (TTM) | N/A | ||
| GM | 13.4% | ||
| FCFM | 0.49% |
ROA(3y)0.7%
ROA(5y)0.09%
ROE(3y)2.8%
ROE(5y)-1.14%
ROIC(3y)3.42%
ROIC(5y)4.16%
ROICexc(3y)3.45%
ROICexc(5y)4.19%
ROICexgc(3y)4.06%
ROICexgc(5y)5.05%
ROCE(3y)4.33%
ROCE(5y)5.27%
ROICexcg growth 3Y-25.98%
ROICexcg growth 5Y-13.26%
ROICexc growth 3Y-24.44%
ROICexc growth 5Y-9.28%
OM growth 3Y-27.27%
OM growth 5Y-14.68%
PM growth 3YN/A
PM growth 5YN/A
GM growth 3Y-2.47%
GM growth 5Y-1.21%
F-Score6
Asset Turnover4.1
Health
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 1.28 | ||
| Debt/FCF | 13.57 | ||
| Debt/EBITDA | 4.08 | ||
| Cap/Depr | 93.6% | ||
| Cap/Sales | 0.97% | ||
| Interest Coverage | 1.12 | ||
| Cash Conversion | 90.39% | ||
| Profit Quality | N/A | ||
| Current Ratio | 1.45 | ||
| Quick Ratio | 0.52 | ||
| Altman-Z | 4.73 |
F-Score6
WACC10.83%
ROIC/WACC0.25
Cap/Depr(3y)100.82%
Cap/Depr(5y)94.51%
Cap/Sales(3y)1.02%
Cap/Sales(5y)0.97%
Profit Quality(3y)N/A
Profit Quality(5y)N/A
High Growth Momentum
Growth
EPS 1Y (TTM)53.12%
EPS 3Y-66.96%
EPS 5Y-41.71%
EPS Q2Q%214.29%
EPS Next Y498.09%
EPS Next 2Y215.3%
EPS Next 3Y135.71%
EPS Next 5Y54.8%
Revenue 1Y (TTM)4.73%
Revenue growth 3Y4.75%
Revenue growth 5Y6.76%
Sales Q2Q%4.93%
Revenue Next Year2.68%
Revenue Next 2Y2.24%
Revenue Next 3Y1.93%
Revenue Next 5Y1.43%
EBIT growth 1Y225%
EBIT growth 3Y-23.81%
EBIT growth 5Y-8.91%
EBIT Next Year282.94%
EBIT Next 3Y64.66%
EBIT Next 5Y35.58%
FCF growth 1Y-41.22%
FCF growth 3YN/A
FCF growth 5YN/A
OCF growth 1Y-17.38%
OCF growth 3Y-25.59%
OCF growth 5Y-2.32%