Is US Foods Holding Corp. overvalued or undervalued?

As of 7 August 2025, the valuation grade for US Foods Holding Corp. moved from expensive to fair. The company appears fairly valued based on its current metrics. Key ratios include a P/E ratio of 24, an EV to EBITDA of 13.14, and a PEG ratio of 0.81, which indicates potential for growth relative to its valuation. In comparison, a peer like US Foods Holding Corp. has a P/E of 23.02 and an EV to EBITDA of 12.72, suggesting that it is competitively positioned within its industry.
In terms of stock performance, US Foods has outperformed the S&P 500 over the one-year and three-year periods, returning 28.67% and 164.58%, respectively, compared to the S&P 500's 17.14% and 70.41%. This strong performance reinforces the narrative that the company is fairly valued given its growth potential and competitive standing.