United Natural Foods, Inc. UNFI is likely to register growth in its top and bottom lines when it reports second-quarter fiscal 2025 earnings on March 11. The Zacks Consensus Estimate for revenues is pegged at $7.96 billion, implying a 2.3% increase from the prior-year quarter’s reported figure. The consensus mark for earnings has remained unchanged in the past 30 days at 18 cents per share, indicating a substantial increase from 7 cents reported in the year-ago quarter. UNFI has a trailing four-quarter earnings surprise of 553.1%, on average.

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Things to Know About UNFI’s Q2 Earnings

United Natural has been witnessing growth and operational resilience, driven by strong demand in its wholesale segment and a focus on consumer trends favoring natural and organic products. The company’s strategic initiatives, such as expanding its customer base, optimizing its distribution network, and investing in automation, have enhanced efficiency and market penetration. Lean management practices have played a key role in improving operational effectiveness, aligning supply with customer needs and driving cost savings.

That being said, United Natural is bearing the brunt of weakness in the Retail business, highlighting challenges in retaining market share amid an increasingly competitive retail environment. Sustained margin pressure, thanks to unfavorable customer and product mix, along with higher operational costs, has been putting growing pressures on profitability. The continuation of such trends remains a threat to United Natural’s fiscal second-quarter performance.

Earnings Whispers for UNFI Stock

Our proven model doesn’t conclusively predict an earnings beat for United Natural this time. The combination of a positive Earnings ESP and a Zacks Rank #1 (Strong Buy), 2 (Buy) or 3 (Hold) increases the odds of an earnings beat, which is not the case here. You can uncover the best stocks to buy or sell before they’re reported with our Earnings ESP Filter.

United Natural carries a Zacks Rank #3 and has an Earnings ESP of 0.00%.

Some Stocks With the Favorable Combination

Here are some companies worth considering, as our model shows that these have the right combination of elements to beat on earnings this reporting cycle.

RH RH currently has an Earnings ESP of +2.15% and a Zacks Rank of 2. The company is likely to register an increase in the top and bottom lines when it reports fourth-quarter fiscal 2024 numbers. The Zacks Consensus Estimate for RH’s quarterly earnings per share is pegged at $1.90, up 163.9% from the year-ago period. RH has a trailing four-quarter negative earnings surprise of 113.6%, on average. You can see the complete list of today’s Zacks #1 Rank stocks here.

The consensus estimate for RH’s quarterly revenues is pegged at $826.6 million, which implies an increase of almost 12% from the prior-year quarter.

Sysco SYY currently has an Earnings ESP of +0.65% and a Zacks Rank of 3. The company is likely to register an increase in the top and bottom lines when it reports first-quarter 2025 numbers. The Zacks Consensus Estimate for quarterly earnings per share is pegged at $1.04, up 8.3% from the year-ago period. SYY has a trailing four-quarter negative earnings surprise of 0.4%, on average.

The consensus estimate for Sysco’s quarterly revenues is pegged at $20.09 billion, which implies an increase of 3.7% from the prior-year quarter.

Five Below, Inc. FIVE has an Earnings ESP of +1.45% and a Zacks Rank of 3 at present. FIVE is likely to register top-line growth when it reports fourth-quarter fiscal 2024 results. The Zacks Consensus Estimate for its quarterly revenues is pegged at $1.4 billion, indicating 3.1% growth from the figure reported in the year-ago quarter.

The consensus estimate for Five Below’s fiscal fourth-quarter earnings is pegged at $3.35 per share, implying an 8.2% decline from the figure reported in the year-ago quarter. FIVE delivered an average earnings surprise of almost 39% in the trailing four quarters.

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