United Natural Foods Stock Is Up 85%. One Investor Just Sold Out Completely
Key Points
Quantedge Capital sold out of United Natural Foods, a decrease of 88,000 shares, in the first quarter; the estimated transaction value was $3.37 million based on quarterly average pricing
The quarter-end position value decreased by $2.96 million, reflecting both share sales and price movements.
The transaction equated to a 1.84% change in Quantedge Capital’s 13F assets under management.
The stake represented 1.4% of AUM in the previous quarter.
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On May 12, 2026, Quantedge Capital disclosed in a Securities and Exchange Commission filing that it sold out of United Natural Foods (NYSE:UNFI), liquidating about 88,000 shares in a trade estimated at $3.37 million based on quarterly average pricing.
What happened
According to a Securities and Exchange Commission (SEC) filing dated May 12, 2026, Quantedge Capital sold its entire United Natural Foods stake in the first quarter. The fund reduced its holdings by approximately 88,000 shares, with an estimated transaction value of $3.37 million based on the quarter’s average price. The position’s quarter-end value dropped by $2.96 million, a figure reflecting both trading and price changes.
What else to know
- Top holdings after the filing:
- NYSE:PVH: $32.40 million (17.7% of AUM)
- NYSE:HLF: $28.29 million (15.5% of AUM)
- NYSE:BWA: $19.09 million (10.4% of AUM)
- NASDAQ:TXG: $8.84 million (4.8% of AUM)
- NYSE:ADNT: $7.91 million (4.3% of AUM)
- As of May 11, 2026, United Natural Foods shares were priced at $52.27, up 85% over the past year and outperforming the S&P 500 by nearly 60 percentage points.
Company overview
| Metric | Value |
|---|---|
| Revenue (TTM) | $31.54 billion |
| Net income (TTM) | ($78.00 million) |
| Market capitalization | $3.18 billion |
| Price (as of market close May 11, 2026) | $52.27 |
Company snapshot
- United Natural Foods offers a broad portfolio of natural, organic, specialty, produce, conventional grocery, and non-food products, including private label brands and professional retail services.
- The company operates through wholesale and retail segments, generating revenue by distributing products to independent and chain retailers, as well as through its owned grocery stores and value-added services.
- It serves a diverse customer base consisting of supermarket chains, independent retailers, supernatural chains, foodservice operators, e-commerce businesses, and military channels across the United States and Canada.
United Natural Foods is a leading distributor in the North American food distribution sector, with a focus on natural and organic products as well as conventional grocery offerings. The company leverages its extensive product assortment, private label brands, and integrated retail services to support a wide range of retail and foodservice customers. Scale, supply chain capabilities, and a diversified customer base position United Natural Foods as a key supplier in the evolving consumer defensive landscape.
What this transaction means for investors
United Natural Foods shares have nearly doubled over the past year as investors warmed back up to the company’s improving margins, debt reduction, and cash flow story. And after that type of surge, it is not surprising to see a fund heading for the exit.
Still, the company’s underlying business trends have actually improved materially in recent months. In its latest quarterly report, UNFI posted adjusted EBITDA growth of 23% to $179 million while adjusted EPS jumped to $0.62 from $0.22 a year ago. The company also generated $243 million in free cash flow during the quarter and reduced net leverage to 2.7x, its lowest level since fiscal 2023.
Perhaps most importantly, management raised full-year profitability guidance even while trimming sales expectations, suggesting the firm is looking to become more disciplined operationally rather than simply chasing revenue growth at any cost. For long-term investors, the key question is whether UNFI can continue turning operational improvements into durable earnings growth.
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Jonathan Ponciano has no position in any of the stocks mentioned. The Motley Fool has positions in and recommends 10x Genomics. The Motley Fool recommends BorgWarner and United Natural Foods. The Motley Fool has a disclosure policy.
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