1. Performance Food Group Company (NYSE:PFGC)
Number of Hedge Funds Holders: 42
5-year Revenue CAGR: 23.94%
Performance Food Group Company (NYSE:PFGC) is one of the leading food distributors in North America, providing fresh and frozen foods, snacks, and beverages to restaurants, retailers, and institutional customers. The company’s three key segments—Foodservice, Vistar, and Convenience—have allowed it to establish a strong presence in the industry by expanding its distribution network and improving its service offerings.
Performance Food Group Company (NYSE:PFGC) performed well in Q2 2025 ended December 28, 2024, with the food service sector showing significant growth. Independent restaurant case volume rose by 5%, following a 4.3% increase in the previous quarter. This expansion was fueled by the company’s ongoing efforts to broaden its sales force, ensuring continued market penetration. Meanwhile, the Vistar sector, which provides vending and office coffee services, showed signs of recovery, with significant growth across multiple channels. The Convenience segment also benefited from its expanding food service offerings, which helped it improve its market position in the face of larger industry challenges.
Performance Food Group Company (NYSE:PFGC)’s recent success can be attributed in large part to strategic acquisitions. The acquisition of Chaney Brothers and Jose Santiago has set the company up for long-term growth. While Chaney Brothers’ operations have faced some weather-related challenges in the Southeast, the segment continues to grow rapidly. At the same time, Jose Santiago’s long-standing presence in Puerto Rico has provided PFG a crucial gateway to a promising market.
Furthermore, PFG’s share price has increased by 18.13% in the past six months, reflecting the positive momentum, with institutional investors showing increased interest in the company’s strong performance, who raised the company’s full-year revenue forecast. According to Insider Monkey’s hedge fund database, 42 hedge funds have a stake in the company, boosting investor confidence. Thus, the company’s ability to drive growth through acquisitions and organic expansion has allowed it to be among the 10 High Growth Food Stocks to Buy.
Overall, Performance Food Group Company (NYSE:PFGC) ranks first on our list of the high growth food stocks to buy. While we acknowledge the potential of PFGC, our conviction lies in the belief that certain AI stocks hold greater promise for delivering higher returns, and doing so within a shorter time frame. If you are looking for an AI stock that is more promising than PFGC but that trades at less than 5 times its earnings, check out our report about the cheapest AI stock.
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