Sectors & IndustriesConsumer DefensiveFood Distribution

Best Food Distribution Stocks to Buy Now (2023)

Top food distribution stocks in 2023 ranked by overall Zen Score. See the best food distribution stocks to buy now, according to analyst forecasts for the food distribution industry.

According to Zen Score, the 3 best food distribution stocks to buy right now are:

Sysco (NYSE:SYY) is the top food distribution stock with a Zen Score of 55, which is 15 points higher than the food distribution industry average of 40. It passed 21 out of 38 due diligence checks and has strong fundamentals. Sysco has seen its stock lose -11.31% over the past year, underperforming other food distribution stocks by -8 percentage points.

Sysco has an average 1 year price target of $86.00, an upside of 25.31% from Sysco's current stock price of $68.63.

Sysco stock has a consensus Strong Buy recommendation according to Wall Street analysts. Of the 5 analysts covering Sysco, 60% have issued a Strong Buy rating, 20% have issued a Buy, 20% have issued a hold, while 0% have issued a Sell rating, and 0% have issued a Strong Sell.

Performance Food Group Co (NYSE:PFGC) is the second best food distribution stock with a Zen Score of 53, which is 13 points higher than the food distribution industry average of 40. It passed 18 out of 33 due diligence checks and has strong fundamentals. Performance Food Group Co has seen its stock return 30.68% over the past year, overperforming other food distribution stocks by 34 percentage points.

Performance Food Group Co has an average 1 year price target of $76.57, an upside of 27.66% from Performance Food Group Co's current stock price of $59.98.

Performance Food Group Co stock has a consensus Strong Buy recommendation according to Wall Street analysts. Of the 7 analysts covering Performance Food Group Co, 71.43% have issued a Strong Buy rating, 14.29% have issued a Buy, 14.29% have issued a hold, while 0% have issued a Sell rating, and 0% have issued a Strong Sell.

Spartannash Co (NASDAQ:SPTN) is the third best food distribution stock with a Zen Score of 50, which is 10 points higher than the food distribution industry average of 40. It passed 18 out of 38 due diligence checks and has strong fundamentals. Spartannash Co has seen its stock lose -26.41% over the past year, underperforming other food distribution stocks by -24 percentage points.

Spartannash Co has an average 1 year price target of $23.00, an upside of 3.93% from Spartannash Co's current stock price of $22.13.

Spartannash Co stock has a consensus Hold recommendation according to Wall Street analysts. Of the 1 analyst covering Spartannash Co, 0% have issued a Strong Buy rating, 0% have issued a Buy, 100% have issued a hold, while 0% have issued a Sell rating, and 0% have issued a Strong Sell.

Out of 6 food distribution stocks that have issued dividends in the past year, the 3 food distribution stocks with the highest dividend yields are:

G Willi Food International (NASDAQ:WILC) has an annual dividend yield of 10.73%, which is 7 percentage points higher than the food distribution industry average of 3.52%. G Willi Food International's dividend payout is not stable, having dropped more than 10% three times in the last 10 years. G Willi Food International's dividend has not shown consistent growth over the last 10 years.

G Willi Food International's dividend payout ratio of 189% indicates that its high dividend yield might not be sustainable for the long-term.

Spartannash Co (NASDAQ:SPTN) has an annual dividend yield of 3.86%, which is the same as the food distribution industry average of 3.52%. Spartannash Co's dividend payout is stable, having never dropped by more than 10% in the last 10 years. Spartannash Co's dividend has shown consistent growth over the last 10 years.

Spartannash Co's dividend payout ratio of 71.4% indicates that its dividend yield is sustainable for the long-term.

Sysco (NYSE:SYY) has an annual dividend yield of 2.87%, which is -1 percentage points lower than the food distribution industry average of 3.52%. Sysco's dividend payout is stable, having never dropped by more than 10% in the last 10 years. Sysco's dividend has shown consistent growth over the last 10 years.

Sysco's dividend payout ratio of 56.4% indicates that its dividend yield is sustainable for the long-term.

Food distribution stocks were down -0.37% in the last day, and down -0.11% over the last week.

We couldn't find a catalyst for why food distribution stocks are down.

Based on WallStreetZen's Valuation Score, the 3 most undervalued food distribution stocks right now are:

Amcon Distributing Co (NYSEMKT:DIT) is the most undervalued food distribution stock based on WallStreetZen's Valuation Score. Amcon Distributing Co has a valuation score of 71, which is 32 points higher than the food distribution industry average of 39. It passed 5 out of 7 valuation due diligence checks.

Amcon Distributing Co's stock has gained 2.12% in the past year. It has overperformed other stocks in the food distribution industry by 5 percentage points.

United Natural Foods (NYSE:UNFI) is the second most undervalued food distribution stock based on WallStreetZen's Valuation Score. United Natural Foods has a valuation score of 71, which is 32 points higher than the food distribution industry average of 39. It passed 5 out of 7 valuation due diligence checks.

United Natural Foods's stock has dropped -53.65% in the past year. It has underperformed other stocks in the food distribution industry by -51 percentage points.

Spartannash Co (NASDAQ:SPTN) is the third most undervalued food distribution stock based on WallStreetZen's Valuation Score. Spartannash Co has a valuation score of 57, which is 18 points higher than the food distribution industry average of 39. It passed 4 out of 7 valuation due diligence checks.

Spartannash Co's stock has dropped -26.41% in the past year. It has underperformed other stocks in the food distribution industry by -24 percentage points.