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US Foods Holding Corp. (USFD): Jim Cramer Discusses Performance Foods Deal

We recently published 10 Stocks Jim Cramer Discussed As He Commented On Latest Tariffs. US Foods Holding Corp. (NYSE:USFD) is one of the stocks Jim Cramer recently discussed.

US Foods Holding Corp. (NYSE:USFD) is one of the largest food distribution companies in America. It is one of the few companies in its group whose shares have gained year-to-date. US Foods Holding Corp. (NYSE:USFD)’s stock is up by 19.5% so far as the firm has benefited from strong earnings performance and optimistic analyst sentiment. US Foods Holding Corp. (NYSE:USFD)’s shares also gained in July after a Bloomberg report claimed that the firm was going to acquire Performance Foods. The combined entity could have $100 billion in revenue, and here’s what Cramer said:

“15 billion dollar company. 15 billion. . .This could be US Foods. This could be US Foods. The same company.”

A loading dock filled with dry goods and frozen food being loaded onto a truck.

Artisan Partners mentioned US Foods Holding Corp. (NYSE:USFD) in its Q1 2025 investor letter. Here is what they said:

“Notable adds in the quarter included CCC Intelligent Solutions and US Foods Holding Corp. (NYSE:USFD). US Foods stands as the second-largest food distribution company in the US, catering to independent restaurants, national chains, health care providers and hospitality venues. Historically fragmented, the food distribution industry has consolidated into three dominant players, driven by strategic M&A, procurement efficiencies, private label expansion and technological advancements. US Foods leads the industry with best-in-class asset and inventory turnover metrics, reflecting exceptional productivity. We believe the company is well positioned to achieve continued margin growth through several self improvement initiatives, including a new warehousing operating and management system, advanced routing, flexible scheduling, small truck service expansion, warehouse automation and enhanced vendor rebate programs. By following through on these operational enhancements, we believe US Foods is poised to strengthen its competitive edge, drive higher profitability and reinforce its standing as an industry leader. During Q1, the company reported thesis affirming earnings results, including 14% earnings growth, and we added to the position.”

While we acknowledge the risk and potential of USFD as an investment, our conviction lies in the belief that some 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 USFD and that has 10,000% upside potential, check out our report about this cheapest AI stock.

READ NEXT: 30 Stocks That Should Double in 3 Years and 11 Hidden AI Stocks to Buy Right Now.

Disclosure: None. This article is originally published at Insider Monkey.

The $250 Trillion AI Hype is Real. A few years from now, you’ll probably wish you’d bought this stock.

When Jeff Bezos said that one breakthrough technology would shape Amazon’s destiny, even Wall Street’s biggest analysts were caught off guard.

Fast forward a year and Amazon’s new CEO Andy Jassy described generative AI as a “once-in-a-lifetime” technology that is already being used across Amazon to reinvent customer experiences.

At the 8th Future Investment Initiative conference, Elon Musk predicted that by 2040 there would be at least 10 billion humanoid robots, with each priced between $20,000 and $25,000.

Do the math. According to Musk, this technology could be worth $250 trillion by 2040.

Put another way, that’s roughly equal to:

  • 175 Teslas
  • 107 Amazons
  • 140 Metas
  • 84 Googles
  • 65 Microsofts
  • And 55 Nvidias

And here’s the wild part — this $250 trillion wave isn’t tied to one company, but to an entire ecosystem of AI innovators set to reshape the global economy.

It’s a leap so massive, it could reshape how businesses, governments, and consumers operate worldwide.

Even if that $250 trillion figure sounds ambitious, major firms like PwC and McKinsey still see AI unlocking multi-trillion-dollar potential.

How could anything be worth that much?

The answer lies in a breakthrough so powerful it’s redefining how humanity works, learns, and creates.

And this breakthrough has already set off a frenzy among hedge funds and Wall Street’s top investors.

What most investors don’t realize is that one under-owned company holds the key to this $250 trillion revolution.

In fact, Verge argues this company’s supercheap AI technology should concern rivals.

Before I reveal the details, let’s talk about how some of the richest people on the planet are positioning themselves.

  • Bill Gates sees artificial intelligence as the “biggest technological advance in my lifetime,” more transformative than the internet or personal computer, capable of improving healthcare, education, and addressing climate change.
  • Larry Ellison — through Oracle, is spending billions on Nvidia chips and partnering with Cohere to embed generative AI across Oracle’s cloud and apps.
  • Warren Buffett — not known for tech hype — says this breakthrough could have a ‘hugely beneficial social impact.

When billionaires from Silicon Valley to Wall Street line up behind the same idea — you know it’s worth paying attention to.

Even as we admire what Tesla, Nvidia, Alphabet, and Microsoft have built, we believe an even greater opportunity lies elsewhere…

But the real story isn’t Nvidia — it’s a much smaller company quietly improving the critical technology that makes this entire revolution possible.

And judging by what I’m hearing from both Silicon Valley insiders and Wall Street veterans…

This prediction might not be bold at all:

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