Long Term Returns of Scott Ferguson’s 5 Activist Targets

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

Activist Investment: 2021
Long Term Returns Since Ferguson’s Investment: 17.6%
S&P 500 Gain Since Ferguson’s Investment: 19.85%

US Foods Holding Corp. (NYSE: USFD) is involved in the marketing, sales, and distribution of fresh and frozen food products, as well as non-food items, to food service customers across the United States. Sachem confirmed it owned 5.1% stakes in the food company in 2021 and announced plans to push for changes after holding stakes since 2018.

The activist investor insisted that a shakeup of the 10-member board was necessary to boost the stock price by 100%. A fierce battle would ensue between the activist investor and the company, leading to the resignation of CEO Pietro Satriano in 2022. The CEO stepping down resulted in the activist investor reaching an agreement to end the high-profile corporate fight and giving three new independent directors slots.

The hedge fund had been pushing for changes at the company, disgruntled by its performance. US Foods Holding Corp. (NYSE:USFD) had struggled to keep up with competitors, including Sysco, due to inflation and supply chain constraints at the height of the pandemic.

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