TacticScaleWhat US Foods Holding Does & How It Makes Money (USFD)
Updated October 2026 · reflects US Foods Holding's latest reported financials
US foodservice distributor supplying restaurants, hospitals, hotels and institutions. It buys food and non-food products in bulk and resells and delivers them to foodservice customers, earning a margin on the products it distributes.
How US Foods Holding makes money
It buys food and non-food products in bulk and resells and delivers them to foodservice customers, earning a margin on the products it distributes. The MOXe business application supports customer ordering and ties customers more closely to its distribution service.
What US Foods Holding does
US Foods Holding Corp. is a major U.S. foodservice distributor that markets, sells and delivers fresh, frozen and dry food along with non-food products. Its customers range from independent single- and multi-unit restaurants, regional concepts and national chains to hospitals, nursing homes, hotels and motels, country clubs, government and military organizations, colleges and universities, and retail locations. It also offers MOXe, an all-in-one foodservice business application. The company was incorporated in 2007, is headquartered in Rosemont, Illinois, and changed its name from USF Holding Corp. in February 2016. Because it supplies food to restaurants and institutions, it sits in the consumer defensive sector, with results tied to how often people eat away from home.
Products & services
- Fresh food distribution
- Frozen food distribution
- Dry food distribution
- Non-food foodservice supplies
- MOXe foodservice business application
What is US Foods Holding worth?
On an owner-earnings DCF, US Foods Holding's most-likely value is about $94 versus a recent price near $97 (3% above fair value). But TacticScale only calls a stock undervalued when the price sits below its conservative no-growth floor (~$44) with a margin of safety — so the honest verdict here is “Fairly priced — no edge.” Fair value earns its keep only at the extremes, not in the wide middle.
Price sits in the normal range — fair value isn't actionable here; it earns its keep only when price drops below the no-growth floor, or runs to roughly double the optimistic case.
⚠ High leverage — net debt is 5.7× annual cash flow. Net debt is subtracted from this fair value, but refinancing at higher rates, principal timing, and share dilution aren’t modeled — the equity can be worth far less if cash flow weakens.
Analysis, not advice. Fair value is a margin-of-safety estimate from a deterministic owner-earnings DCF, not a price target or recommendation. See the full breakdown →
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