04:00 PM EDT, 06/10/2025 (MT Newswires) -- CFRA, an independent research provider, has provided MT Newswires with the following research alert. Analysts at CFRA have summarized their opinion as follows:

We cut our 12-month target by $3 to $28 using a 6.0x EV/EBITDA multiple against our FY 26 (Jul.) EBITDA estimate of $587M (cut from $638M). We cut our FY 25 EPS to $0.22 from $0.82 and FY 26's to $0.76 from $1.37. F3Q (Apr-Q) results were strong, but we are concerned about the recent IT security breach, which may have long-term implications. Currently, UNFI is shipping to customers on a limited basis and some customers are relying on other wholesalers to temporarily meet demand. While UNFI is actively working to resolve the breach, it has not provided a timeline for resolution and was unable to quantify the financial impact (e.g., lost sales, consultant fees, and contractual penalties). We also question the company's growth strategy, particularly its appetite for large deals, following June 10's decision to terminate its agreement with Key Foods. Yet, we are pleased with recent free cash flow and debt payments, noting that UNFI's leverage ratio fell to 3.3x vs. 4.6x a year ago, with a goal of 2.5x by FY 26.