In this article, we will discuss the 10 High Growth Food Stocks to Buy.
The global food industry has always stimulated economic growth, innovation, and a shift in consumer trends. It is projected to reach $2.2 trillion by 2032 from its market size of $1.64 trillion in 2022, at a compound annual growth rate (CAGR) of 2.99%, according to Market Research Future. Despite food being a necessity, the business dynamics within the food industry are very complex and companies must be adaptable as they navigate the complexities of rising production costs, changing consumer preferences, and global supply chain disruptions.
Within the industry, inflation remains a key topic. While it was soaring in 2022, food prices have since declined. However, they are on the rise again, causing financial strain on both consumers and businesses. As reported by the U.S. Department of Agriculture (USDA) in December 2024, grocery prices went up by 1.8% compared to the previous year, and food-away-from-home costs increased to 3.6%. Especially staple food items, including eggs and beef, had a sharp rise due to the avian flu wave and the supply limitations. These price fluctuations create a challenge for food companies, which must adjust their pricing strategies without sacrificing demand or alienating customers.
On the other hand, consumer behavior is also changing, putting forth factors like health, sustainability, and convenience. Thus, specialty stores have seen an increase in the demand for fresh and raw food. At the same time, budget-conscious shoppers are gravitating toward discount retailers, highlighting the growing importance of affordability. Thus, food companies must meet diverse consumer needs driven by the dual trend of seeking premium and value-oriented products.
Furthermore, technological breakthroughs are also contributing to the industry’s transformation. Supply chain optimization, waste reduction, and increased production efficiency are being greatly aided by automation and artificial intelligence (AI). Moreover, robotics is deployed in food processing to increase production and efficiency, while AI-driven demand forecasting helps avoid inventory problems. Consumers’ growing need for convenience is being met by the usage of digital ordering and delivery platforms, which opens new avenues for revenue growth. By adopting these technologies, companies are keen to improve operations and take advantage of growth opportunities in a market that is constantly evolving.
Even with economic instability, the future of the food industry is promising, driven by global population growth, urbanization, and the expanding middle class in emerging markets. In addition, new investment opportunities are being created by the popularity of plant-based meals and alternative proteins. Thus, big industry players are prioritizing the integration of technology, sustainability, and innovation in their business model to capitalize on future growth potential.
Many stocks stand out for their capacity to capitalize on this growth potential. Therefore, with many investors searching for such stocks, we will now explore the 10 High Growth Food Stocks to Buy.
Large stacks of food containers in a warehouse with workers in the foreground.
Methodology
To curate our list of the 10 High Growth Food Stocks to Buy, we used Finviz stock screener to gather stocks within the food sector with a strong market capitalization. We then narrowed the list based on each company’s five-year compound annual growth rate (CAGR) to identify those demonstrating consistent revenue expansion.
Furthermore, we also considered the number of hedge funds holding stakes in each stock, using data from Insider Monkey’s hedge fund database, which tracks the activity of 1,009 hedge funds. Having discussed our methodology, let’s now look at the 10 High Growth Food Stocks to Buy.
Why are we interested in the stocks that hedge funds pile into? The reason is simple: our research has shown that we can outperform the market by imitating the top stock picks of the best hedge funds. Our quarterly newsletter’s strategy selects 14 small-cap and large-cap stocks every quarter and has returned 373.4% since May 2014, beating its benchmark by 218 percentage points (see more details here).
10. McDonald’s Corporation (NYSE:MCD)
Number of Hedge Funds Holders: 67
5-year Revenue CAGR: 7.78%
McDonald’s Corporation (NYSE:MCD) remains an influential force in the global fast-food industry, with over 40,000 restaurants spread across the globe. To drive long-term growth, the company continues to leverage its brand strength, extensive operational scale, and technological innovations.
However, McDonald’s Corporation (NYSE:MCD) faced a downfall in 2024, with full-year comparable sales declining by 0.1%. Despite this, Q4 ended December 31, 2024, showed signs of recovery with a 0.4% increase in sales. However, the U.S. segment faced an issue related to food safety, causing a YoY decline of 1.4%. Regardless of these challenges, the company’s management is optimistic that the business will fully recover by Q2 2025, as consumer trust and foot traffic gradually return.
Globally, the company showed varying trends. Spain and Germany exceeded performance through value-driven promotions and creative menu innovations, such as the Friends-themed Happy Meal and Hot Ones collaboration. Meanwhile, the U.K. and France faced a decline due to unstable economies. Considering these challenges, McDonald’s experienced rebounds in the Middle East and saw early signs of stability in China, boosting future growth prospects. Furthermore, McDonald’s Corporation (NYSE:MCD)’s focus on affordability and digital engagement has helped it thrive, with 175 million active loyalty users contributing $30 billion in system-wide sales over the 90-day period.
In line with its growth strategy, McDonald’s Corporation (NYSE:MCD) continues to prioritize expansion with plans to reach 50,000 locations globally by 2027. In 2024 alone, the company added 2,200 new units, including significant growth in China, a key market for its future. For 2025, McDonald’s has projected capital expenditures of between $3 billion and $3.2 billion, primarily dedicated to new restaurant openings. At the same time, the company remains committed to innovation, with the reintroduction of snack wraps and expanded chicken options expected to drive future expansion.
Therefore, McDonald’s Corporation (NYSE:MCD)’s ability to overcome current challenges and continue to grow allowed it to stand among the 10 High Growth Food Stocks to Buy.
9. US Foods Holding Corp. (NYSE:USFD)
Number of Hedge Funds Holders: 52
5-year Revenue CAGR: 8.25%
US Foods Holding Corp. (NYSE:USFD) is a world-renowned company, serving independent restaurants, healthcare facilities, and the hospitality sector in the U.S. The company has established a strong market position by combining operational efficiencies, digital advancements, and strategic acquisitions.
US Foods Holding Corp. (NYSE:USFD) reported strong financial results for the fiscal year ended December 28, 2024, with adjusted EBITDA of $1.74 billion and a 4.6% margin. Adjusted EPS, on the other hand, increased by 20% to $3.15, while net sales grew 6.4% to $37.9 billion, driven by strong case volume growth. Furthermore, healthcare volumes increased by 4.7%, while the hospitality and independent restaurant cases increased by 2.4%, and 3.2%, respectively.
On top of that, US Foods Holding Corp. (NYSE:USFD) is concentrated on maintaining its momentum through operational improvements and digital transformation. Its MOXe (all-in-one e-commerce portal) platform has driven e-commerce penetration to 77% among independent customers, whereas the Pronto delivery service expanded to 40 markets for more frequent deliveries. The implementation of Descartes routing technology optimized routes, reducing costs, and increasing efficiency. In addition, private-label penetration among independent restaurants grew to 53%, boosting profits.
Furthermore, strategic purchases have also been crucial in US Foods’ expansion plan. The company completed the $220 million acquisition of IWC in 2024 and recently acquired Jake’s Finer Foods in Houston, which significantly expanded its distribution network. These acquisitions not only increased US Foods Holding Corp. (NYSE:USFD)’s reach but also added a high-quality meat-cutting facility to its Stock Yards network, bolstering its market position. Moreover, the company showed well-balanced capital allocation by repurchasing nearly $1 billion in shares over the year, demonstrating its commitment to long-term value creation.
On the other hand, US Foods Holding Corp. (NYSE:USFD)’s share price has risen 24.65% in the last six months, demonstrating the market’s confidence in the company’s future potential. With a firm foundation in place, the company is poised for long-term profitability and growth, allowing it to make it to our list of the 10 High Growth Food Stocks to Buy.
8. Darden Restaurants, Inc. (NYSE:DRI)
Number of Hedge Funds Holders: 27
5-year Revenue CAGR: 9.90%
Darden Restaurants, Inc. (NYSE:DRI) is a key player in the North American full-service restaurant industry. It manages iconic brands, such as Olive Garden, LongHorn Steakhouse, and Yard House.
Darden Restaurants, Inc. (NYSE:DRI) reported strong results in Q2 2025 ended November 24, 2024. The company reported sales of $2.9 billion, marking a 6% year-over-year increase. Same-restaurant sales increased by 2.4%, driven by strong performances from its flagship brands, including Olive Garden, LongHorn Steakhouse, and Yard House.
Furthermore, the company’s success is reflected in a 10% increase in adjusted diluted net earnings per share, which reached $2.03 per share, backed by an adjusted EBITDA of $445 million. Olive Garden maintained strong margins of 21.4%, whereas LongHorn Steakhouse outperformed with a 7.5% same-restaurant sales growth rate, surpassing industry averages.
Moreover, a considerable step for Darden Restaurants, Inc. (NYSE:DRI) was the acquisition of Chuy’s in October 2024, adding 103 restaurants to its holdings. Looking ahead, this acquisition is expected to generate $17 million in synergies, with $2 million projected to be realized in fiscal 2025 and the remainder in 2026. The company also announced an updated proprietary point-of-sale system, designed to streamline operations and improve data analytics, demonstrating its commitment to operational efficiency.
Despite difficulties, such as the hurricanes that affected particular regions, Darden’s back-to-basics approach, emphasizing food quality, service, and atmosphere, has proven effective in maintaining customer loyalty. Sales were boosted by promotions such as Olive Garden’s extended Never-Ending Pasta Bowl and LongHorn’s emphasis on steak quality. Yard House and Cheddar’s Scratch Kitchen also used unique menu offerings and strategic pricing to maintain a steady flow of customers.
Thus, Darden Restaurants, Inc. (NYSE:DRI)’s financial position remains strong with a disciplined approach to capital allocation. The company plans $650 million in capital expenditures, demonstrating its commitment to growth and expansion. Moreover, investor sentiment has been particularly strong, as shown by the stock price’s 25.12% increase over the last six months. Accordingly, 27 hedge funds held a stake in the company as of Q4 2024, indicating confidence in its long-term prospects.
7. Pilgrim’s Pride Corporation (NASDAQ:PPC)
Number of Hedge Funds Holders: 25
5-year Revenue CAGR: 10.22%
Pilgrim’s Pride Corporation (NASDAQ:PPC) is known globally in the protein industry. It provides a diverse range of fresh, frozen, and value-added chicken and pork products across the U.S., Europe, and Mexico. The company serves retailers, food service operators, and international markets through its portfolio of well-known brands, such as Pilgrim’s, Just BARE, and Moy Park, establishing a broad and reliable presence in the food industry.
In Q4 2024, Pilgrim’s Pride Corporation (NASDAQ:PPC) reported strong financial results with net revenues of $4.4 billion and adjusted EBITDA of $526 million, reflecting a 12% margin. Furthermore, revenues for the full year totaled $17.9 billion, while adjusted EBITDA stood at $2.2 billion with a slightly higher margin of 12.4%.
Key sectors experienced significant growth, including the U.S. Fresh portfolio, which was driven by consistent pricing and operational efficiencies in Big Bird and continued expansion in Case Ready and Small Bird. Prepared foods were also in higher demand in retail and food service, while European operations improved through manufacturing optimization. Moreover, fresh and prepared foods were in higher demand in Mexico.
Thus, Pilgrim’s Pride Corporation (NASDAQ:PPC) is showing positive industry trends. Looking ahead, the USDA reports a 2.5% increase in the U.S. ready-to-cook chicken production in Q4, driven by higher sector headcounts.
Despite hatchability issues, poultry demand continues to rise, particularly as beef availability decreases, making chicken the preferred protein. The food service industry experienced consistent growth, with increased sales in both commercial and non-commercial channels.
With no immediate debt maturities, Pilgrim’s Pride Corporation (NASDAQ:PPC) has demonstrated disciplined capital allocation and is well-positioned for further growth. For 2025, the company plans to allocate between $450 million and $500 million for capital expenditures, demonstrating its commitment to long-term expansion. Accordingly, Pilgrim’s Pride Corporation (NASDAQ:PPC)’s investor confidence remains high, with 25 hedge funds holding stakes in the company, as of Q4 2024. This points toward the company’s commitment to efficiency, sustainability, and product innovation, which has allowed it to maintain its position as a global protein market leader.
6. Starbucks Corporation (NASDAQ:SBUX)
Number of Hedge Fund Holders: 70
5-year Revenue CAGR: 11.37%
Starbucks Corporation (NASDAQ:SBUX) continues to expand its presence worldwide and drive long-term growth through its strategic initiatives. The company is a leading specialty coffee roaster, marketer, and retailer, with a diverse brand portfolio that includes Starbucks Coffee, Teavana, Seattle’s Best Coffee, Ethos, and Starbucks Reserve.
Starbucks Corporation (NASDAQ:SBUX) announced its “Back to Starbucks” initiative during its most recent earnings call, with the goal of revitalizing its reputation as a premier coffeehouse. For the quarter ended December 29, 2024, the company reported $9.4 billion in total revenue, while global comparable store sales went down by 4%. This decline in same-store sales was primarily due to lower foot traffic, particularly in China, where an uncertain macroeconomic climate and increased competition hampered performance.
To address these issues, Starbucks Corporation (NASDAQ:SBUX) is aggressively optimizing its store portfolio and streamlining operations. Additionally, the company is simplifying its menu and refining its pricing strategies. Starbucks has eliminated the extra charge for non-dairy milk customizations in an effort to increase customer satisfaction. Furthermore, the brand is attempting to reintroduce itself through broader marketing campaigns rather than relying solely on discount-based promotions.
Furthermore, Starbucks Corporation (NASDAQ:SBUX) is expanding significantly in the Middle East, with plans to open 500 new locations over the next five years. However, geopolitical tensions in the region, particularly the war in Gaza, have had an impact on sales, with boycotts resulting in revenue decline. In China, the company is looking into strategic partnerships to help it sustain long-term growth in an increasingly competitive consumer market.
Despite these short-term challenges, Starbucks Corporation (NASDAQ:SBUX) remains resilient, with 70 hedge funds holding stakes in the company, as of Q4 2024, indicating high investor confidence. Moreover, Starbucks’ stock price has risen 21.38% in the last six months, partially supported by investors’ confidence in the company’s turnaround strategy. Thus, it gets a place in our list of the 10 High Growth Food Stocks to Buy.
5. Restaurant Brands International Inc. (NYSE:QSR)
Number of Hedge Funds Holders: 22
5-year Revenue CAGR: 14.05%
Restaurant Brands International Inc. (NYSE:QSR) is strengthening its position as a global leader in the quick-service restaurant market, with a diverse portfolio that includes Tim Hortons, Burger King, Popeyes, and Firehouse Subs. The company has been actively refining its operations and expanding internationally, earning its spot in the list of the high growth food stocks to buy.
In 2024, Restaurant Brands International Inc. (NYSE:QSR) achieved impressive growth, with system-wide sales increasing by 5.4%, while net expansion of restaurants grew by 3.4%. This growth was driven by a strong focus on operational efficiency and menu innovation. Burger King leveraged successful limited-time offerings, and Popeyes continued to expand its value meal options to cater to budget-conscious consumers. Furthermore, Tim Hortons continues to gain momentum in Canada, marking its 15th consecutive quarter of traffic growth, thanks to digital enhancements and faster drive-through services.
However, softening consumer demand in China has posed challenges for Restaurant Brands International Inc. (NYSE:QSR). In response, the company acquired a majority stake in Burger King China for $158 million, aiming to stabilize operations and refine its long-term strategy in the region. Despite the challenges, disciplined cost management has fueled a 9% organic growth in adjusted operating income, resulting in high investor confidence. Moreover, 22 hedge funds held positions in the stock, as per Insider Monkey’s hedge fund database as of Q4 2024, reflecting strong market support.
With a focus on innovation, strategic expansion, and improving franchise profitability, Restaurant Brands International Inc. (NYSE:QSR) is well-positioned for sustained growth and remains a key player in the fast-food industry’s evolving landscape.
4. Chipotle Mexican Grill, Inc. (NYSE:CMG)
Number of Hedge Funds Holders: 68
5-year Revenue CAGR: 17.20%
Chipotle Mexican Grill, Inc. (NYSE:CMG) is redefining fast-casual dining through its commitment to high-quality ingredients, rapid expansion, and digital transformation. With record-breaking growth and strong financial performance, the company has solidified its place in our list of the high growth food stocks to buy.
The company’s momentum is showing no signs of slowing. Chipotle opened 304 new restaurants in 2024, up from 271 in 2023. The expansion will continue as Chipotle Mexican Grill, Inc. (NYSE:CMG) plans to open between 315 and 345 new locations by 2025 end. This aggressive growth strategy has helped drive total revenue to $11.3 billion, up by 14.6% YoY. Digital sales were significant, accounting for 35% of total revenue, demonstrating the company’s ability to meet the changing preferences of today’s customers.
To support its rapid growth, Chipotle Mexican Grill, Inc. (NYSE:CMG) has prioritized operational efficiency by investing in digital kitchen technology and automation. Investment in automated cooking equipment has increased restaurant throughput while maintaining the brand’s high-quality standards. These technological advancements not only improve service quality, but also allow Chipotle to scale more effectively while remaining profitable.
On the other hand, exhibiting supply chain resilience is a critical feature of Chipotle’s strategy. Accordingly, by sourcing 50% of its avocado supply from outside Mexico, the company has reduced the risk of trade tariffs and supply disruptions. This diversification not only keeps ingredient costs stable, but it also protects the company’s long-term margins.
According to Insider Monkey hedge fund database, investor confidence in Chipotle remains high, with 68 hedge funds holding stakes in the company, as of Q4 2024. Furthermore, the company’s stock has increased by 3.58% in the last six months. Thus, Chipotle Mexican Grill, Inc. (NYSE:CMG) remains one of the top high-growth companies in the food industry, thanks to its clear expansion strategy, ongoing technological investments, and proactive supply chain approach.
3. Bellring Brands, Inc. (NYSE:BRBR)
Number of Hedge Funds Holders: 42
5-year Revenue CAGR: 18.05%
Bellring Brands, Inc. (NYSE:BRBR) is making significant progress in the nutrition industry, especially with its flagship brands, Premier Protein and Dymatize. As protein-based diets become more popular, BellRing has successfully positioned itself to capture a larger share of the market. With strong consumer demand and an effective expansion strategy, the company is recognized as one of the high growth food stocks to buy.
Bellring Brands, Inc. (NYSE:BRBR) is off to a strong start in fiscal year 2025. Premier Protein contributed significantly to the 25% increase in net sales and adjusted EBITDA. The brand saw a 23% increase in shake consumption, cementing its position as a leader in the ready-to-drink (RTD) protein market with a 26% market share. Furthermore, the introduction of a new indulgent line of shakes and powders has contributed to increased market penetration, enhancing Premier Protein’s appeal.
Furthermore, Bellring Brands, Inc. (NYSE:BRBR) has also benefited from the broader expansion of the Convenient Nutrition segment, which has grown to $19 billion, with RTD protein beverages leading the way with an 18% growth rate. The company’s efforts to expand distribution channels and launch targeted marketing campaigns have resulted in sustained demand for its products, putting it in a good position to capitalize on this shift in consumer preference.
However, investors should be aware of recent insider trading. Director Robert V. Vitale sold more than $6.1 million in shares, primarily to meet tax obligations. While insider sales are not uncommon, they should always be monitored in conjunction with broader market sentiments.
Regardless, investor confidence remains high. According to Insider Monkey’s database, 42 hedge funds have invested in Bellring Brands, Inc. (NYSE:BRBR), and the company’s stock has increased 37.2% in the last six months. This growth reflects a strong belief in the company’s future prospects. Thus, the company remains a compelling player in the nutrition space, with expanding product offerings, increasing consumer adoption, and a dominant presence in the fast-growing protein segment.
2. Texas Roadhouse, Inc. (NASDAQ:TXRH)
Number of Hedge Funds Holders: 42
5-year Revenue CAGR: 20.91%
Texas Roadhouse, Inc. (NASDAQ:TXRH) has established itself as a casual dining industry leader with a growing domestic and international presence. The company, which operates under well-known brands such as Texas Roadhouse, Bubba’s 33, and Jaggers, continues to grow and is among the ten high growth food stocks to buy.
Texas Roadhouse, Inc. (NASDAQ:TXRH) reported an 8.5% increase in same-store sales in Q3 2024 ended September 24, 2024, bringing total revenue to $1.3 billion. This expansion was driven by high customer traffic across all of its brands, demonstrating the company’s resilience in a competitive dining environment. During the quarter, Texas Roadhouse opened seven new company-owned locations and is on track to open approximately 30 new locations across all brands in 2025. Furthermore, franchise expansion contributed to growth, with the first international Jaggers location opening on a U.S. military base in South Korea.
In addition to growth, Texas Roadhouse, Inc. (NASDAQ:TXRH) has prioritized operational improvements. Over 200 digital kitchen conversions have been completed, and Texas Roadhouse anticipates transitioning nearly all locations by the end of 2025. These upgrades are intended to improve both operational efficiency and service quality.
Moreover, Texas Roadhouse continues to prioritize shareholder returns, as indicated by the Board’s approval of a $0.61 per share dividend that was payable on December 31, 2024. According to Insider Monkey’s database, 42 hedge funds have invested in the company, indicating continued investor confidence. Furthermore, TXRH has increased by 18.22% in the last year, owing to the company’s consistent growth and strategic expansion. With new store openings, operational improvements, and a strong brand presence, Texas Roadhouse, Inc. (NASDAQ:TXRH) remains a key player in the ever-changing casual dining sector.
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.
READ NEXT: 20 Best AI Stocks To Buy Now and Complete List of 59 AI Companies Under $2 Billion in Market Cap.
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