12 Best Food Stocks to Buy in 2026

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1. US Foods Holding Corp. (NYSE:USFD)

Number of Hedge Fund Holders: 57      

Analysts’ Upside Potential as of January 8: 20.82% 

US Foods Holding Corp. (NYSE:USFD) is among the Best Food Stocks.

On January 8, 2026, TheFly reported that the Defense Logistics Agency had awarded US Foods Holding Corp. (NYSE:USFD) a maximum $198.26 million firm-fixed-price contract with economic price adjustment. The indefinite-delivery, indefinite-quantity contract covers a full line of food and beverage products and was awarded as a sole-source purchase under 10 U.S. Code 3204 and FAR 6.302-1. The award has no option periods and is set up as a 465-day bridge contract. The ordering period closes on April 17, 2027, and the performance will take place in Virginia. The Army, Navy, Air Force, Marine Corps, and Coast Guard are among the military services that use them. The defense working capital funds for fiscal years 2026 through 2027 will provide funding. Defense Logistics Agency Troop Support is the contracted activity.

Separately, Citi analyst Karen Holthouse reduced US Foods Holding Corp. (NYSE:USFD)’s price objective from $99 to $90 on January 7, 2026, and retained a Buy rating. The modification reflects changes made to Citi’s 2026 prognosis for the food distributors group as a whole. Distributors are in a better position than the restaurant industry as a whole, according to Citi.

US Foods Holding Corp. (NYSE:USFD) is a food service distributor in the United States that supplies food and non-food items to government buildings, supermarkets, restaurants, healthcare facilities, and educational institutions.

While we acknowledge the potential of USFD to grow, our conviction lies in the belief that some AI stocks hold greater promise for delivering higher returns and have limited downside risk. If you are looking for an AI stock that is more promising than USFD and that has 100x upside potential, check out our report about this cheapest AI stock.

READ NEXT: 20 Best AI Stock To Buy Now and 30 Best Stocks to Buy Now According to Billionaires.

Disclosure: None. 12 Best Food Stocks to Buy in 2026 is originally published on Insider Monkey. Insider Monkey focuses on uncovering the best investment ideas of hedge funds and insiders. Please subscribe to our free daily e-newsletter to get the latest investment ideas from hedge funds’ investor letters by entering your email address below.

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