Overall Score

Revenue Model

UNFI remains a low-margin wholesale distributor with TTM revenue per share of 513.3 and EV/Sales of 0.19, indicating a scale-driven model.

Gross margin is 13.4% and operating margin is 0.6%, showing the business still depends on tight cost control and volume.

Profitability

TTM net margin is slightly negative at -0.1%, while EBIT margin is only 0.4%, so the company is still operating near breakeven.

ROIC is 2.6% and ROE is -2.4%, reflecting weak but not collapsing capital efficiency.

Cash Generation

UNFI is generating positive cash flow, with TTM free cash flow yield at 11.3% and free cash flow to operating cash flow ratio at 65.4%.

Operating cash flow remains thin relative to sales at 1.6%, but capex intensity is modest at 0.6% of revenue.

Balance Sheet

Liquidity is adequate but not strong, with a current ratio of 1.33 and quick ratio of 0.51.

Leverage remains elevated with net debt to EBITDA at 7.4x and debt to equity at 2.0x, limiting financial flexibility.

Competitive Position

UNFI's scale and asset turnover of 4.34x support its role as a high-throughput distributor, but pricing power appears limited by the low margin structure.

Interest coverage of 1.43x suggests the business can service debt, though with limited cushion if operating performance weakens.