-- CFRA, an independent research provider, has providedwith the following research alert. Analysts at CFRA have summarized their opinion as follows:
We lower our 12-month target to by $11 to $109, based on 21x our 2027 EPS (unchanged), a premium to shares' 19x ten-year average forward multiple, justified by an improved operating margin profile. We lower our 2026 EPS to $4.55 from $4.78 and 2027's to $5.17 from $5.71, reflecting pressure on distribution costs (+3.9% in Q1) from fuel expenses and ongoing softness in chain restaurant case volumes (-2.3% in Q1). Following Q1 results, we reiterate our Buy opinion. Softer case volumes (+1.4%), below the 1.8% consensus estimate, were primarily fueled by 1.1% organic case growth, a sign that demand remains intact. The company highlighted momentum accelerated heading into Q2. Additionally, independent restaurant volumes (+4.6%) accelerated for the fourth consecutive quarter, highlighting traction with higher-margin customers. Technologies like Menu IQ, along with the expansion of small-truck deliveries, represent inroads to the independent restaurant industry and support our view of expanding EBITDA margins in 2026 and 2027.