What’s Next For United Foods Stock?

United Natural Foods’ stock (NYSE: UNFI), a distributor and retailer of natural and organic products in the United States, has increased 23% in the last twenty-one trading days (one month). In comparison, the broader S&P500 index increased 4% over the same period. Last month, the company reported strong Q4 2021 results on September 28. The company saw its fiscal Q4 revenue grow 7.5% on a two-year basis with its adjusted EPS coming in at $1.18 compared to only 35 cents in Q4 2019. Full-year fiscal 2021 revenue was also up by more than 26% from fiscal 2019’s revenue. This news sent the company’s stock soaring high the following day. However, the UNFI stock price has come down since then on the rising concerns of labor shortages and supply chain issues. 

Now, is UNFI stock poised to grow? Based on our machine learning analysis of trends in the stock price over the last ten years, there is a 56% chance of a rise in UNFI stock over the next month (twenty-one trading days). See our analysis on UNFI Stock Chance Of Rise for more details. And if you are considering UNFI’s stock as an investment option over a longer time frame, you can also explore UNFI’s Revenue Comparison against its peers and history.

While UNFI faces a tough year-over-year comparison to the stock-up buying in 2020, it should be noted that the company deals exclusively in organic foods, as compared to other distributors which deal mostly in non-organic foods. The demand for natural foods is a long-term trend that isn’t going away soon, which gives UNFI a heads up over its peers. That said, UNFI calls for an optimistic guidance outlook of about 4% growth in revenue, adjusted EBITDA, and adjusted earnings per share in fiscal 2022. The company also anticipates cutting its net debt by $100 million to $150 million.

[1] Returns of -4.7% or lower during five-day period in 334 times out of 2516; Stock rose in the next five days in 177 of these 334 instances

[2] Returns of -8.7% or lower during ten-day period in 288 times out of 2516; Stock rose in the next ten days in 180 of these 288 instances

[3]  Returns of 23% or higher during twenty-one-day period in 151 times out of 2516; Stock rose in the next twenty-one days in 84 of these 151 instances

There are also several stocks that look like a Better Bet Than UNFI stock.

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