Chefs’ Warehouse (NASDAQ:CHEF) Releases Quarterly Earnings Results, Beats Estimates By $0.19 EPS

Chefs’ Warehouse (NASDAQ:CHEF) announced its earnings results on Wednesday. The company reported $0.78 earnings per share (EPS) for the quarter, topping analysts’ consensus estimates of $0.59 by $0.19, Zacks reports. The firm had revenue of $1.17 billion for the quarter, compared to analyst estimates of $1.12 billion. Chefs’ Warehouse had a net margin of 1.87% and a return on equity of 15.54%. Chefs’ Warehouse’s revenue was up 12.9% compared to the same quarter last year. During the same quarter last year, the business earned $0.52 earnings per share.

Here are the key takeaways from Chefs’ Warehouse’s conference call:

• Strong second-quarter performance: Net sales rose 12.9% to $1.169 billion, while adjusted EBITDA increased 35% to $88.1 million. Gross margin expanded 49 basis points to 25.1%, and adjusted EPS rose to $0.78 from $0.52.
• The company raised its 2026 outlook to $4.5 billion-$4.6 billion in sales, $1.102 billion-$1.125 billion in gross profit, and $305 million-$315 million in adjusted EBITDA. Management said momentum continued into July, with double-digit top-line growth expected to begin the third quarter.
• Chefs’ Warehouse introduced longer-term 2030 targets calling for $6 billion-$6.5 billion in revenue and $450 million-$520 million in adjusted EBITDA, supported by 7%-10% annual growth, market-share gains, facility investments, and operating leverage.
• Management highlighted continued investments in sales talent, distribution capacity, AI and other technology, pricing, procurement, and inventory management. Executives expect these tools to improve efficiency and customer service, though they cautioned that benefits should accrue incrementally rather than create an immediate step-change in margins.
• The Middle East business improved to roughly 94% of the prior-year level during May and June, but tourism uncertainty and higher logistics costs remain risks. The company also cited elevated fuel costs and a “frothier” M&A environment, while maintaining a disciplined approach to acquisitions and planning greater share repurchases within its leverage target.

Chefs’ Warehouse Trading Up 4.5%

Shares of Chefs’ Warehouse stock traded up $4.78 during trading hours on Thursday, reaching $110.41. The stock had a trading volume of 332,941 shares, compared to its average volume of 497,894. The firm has a market capitalization of $4.50 billion, a price-to-earnings ratio of 61.34 and a beta of 1.39. Chefs’ Warehouse has a 1 year low of $53.20 and a 1 year high of $112.16. The company has a current ratio of 2.18, a quick ratio of 1.33 and a debt-to-equity ratio of 1.18. The firm has a 50 day simple moving average of $90.65 and a two-hundred day simple moving average of $74.94.

Analysts Set New Price Targets

CHEF has been the subject of a number of recent analyst reports. Zacks Research downgraded Chefs’ Warehouse from a “strong-buy” rating to a “hold” rating in a research report on Monday, June 29th. TD Cowen raised their price target on Chefs’ Warehouse from $110.00 to $123.00 and gave the stock a “buy” rating in a research note on Wednesday. Wall Street Zen raised shares of Chefs’ Warehouse from a “hold” rating to a “buy” rating in a research note on Saturday, July 18th. Morgan Stanley lowered shares of Chefs’ Warehouse from an “overweight” rating to an “equal weight” rating and increased their price objective for the stock from $83.00 to $97.00 in a report on Wednesday, July 15th. Finally, UBS Group reissued a “buy” rating on shares of Chefs’ Warehouse in a research report on Thursday. Four research analysts have rated the stock with a Buy rating and four have given a Hold rating to the stock. Based on data from MarketBeat.com, the company presently has an average rating of “Moderate Buy” and an average price target of $97.29.

Key Headlines Impacting Chefs’ Warehouse

Here are the key news stories impacting Chefs’ Warehouse this week:

• Positive Sentiment: Second-quarter results exceeded expectations. CHEF reported adjusted earnings of $0.78 per share versus the $0.59-$0.64 consensus range and revenue of $1.17 billion versus expectations of approximately $1.12 billion. Revenue grew 12.9% year over year, while EPS increased from $0.52 in the prior-year quarter. The Chefs’ Warehouse Reports Second Quarter 2026 Financial Results
• Positive Sentiment: Full-year revenue guidance supports the growth narrative. Management projected fiscal 2026 revenue of $4.5 billion to $4.6 billion, broadly consistent with or slightly above analyst expectations. The company did not provide a specific EPS outlook in the reported update. The Chefs’ Warehouse Shares Rise After FY26 Revenue Outlook, 2Q Earnings Beat Estimates
• Positive Sentiment: BTIG Research raised its price target to $125 from $100 and reiterated a Buy rating. The higher target signals confidence that CHEF can continue benefiting from earnings momentum and operating growth. Benzinga
• Neutral Sentiment: Institutional positioning was mixed. Recent filings showed 130 institutions adding shares and 108 reducing positions, including additions by Wellington, Goldman Sachs, and BlackRock. This indicates continued institutional interest but not uniform conviction.
• Negative Sentiment: Insider selling remains a risk signal. Company insiders reported seven open-market sales and no purchases during the past six months, including substantial sales by CEO Christopher Pappas. These transactions may temper enthusiasm after the stock’s sharp advance.

Insider Buying and Selling

In related news, insider Christina Polychroni sold 4,500 shares of the firm’s stock in a transaction that occurred on Tuesday, May 19th. The shares were sold at an average price of $79.21, for a total value of $356,445.00. Following the transaction, the insider owned 24,642 shares in the company, valued at approximately $1,951,892.82. This trade represents a 15.44% decrease in their ownership of the stock. The transaction was disclosed in a filing with the SEC, which is accessible through the SEC website. Also, CEO Christopher Pappas sold 125,000 shares of Chefs’ Warehouse stock in a transaction that occurred on Tuesday, May 5th. The shares were sold at an average price of $78.00, for a total transaction of $9,750,000.00. Following the transaction, the chief executive officer directly owned 2,189,453 shares in the company, valued at approximately $170,777,334. This trade represents a 5.40% decrease in their ownership of the stock. The SEC filing for this sale provides additional information. 11.10% of the stock is currently owned by corporate insiders.

Institutional Trading of Chefs’ Warehouse

Institutional investors have recently added to or reduced their stakes in the business. nVerses Capital LLC purchased a new position in Chefs’ Warehouse in the fourth quarter valued at about $251,000. Wellington Management Group LLP boosted its position in shares of Chefs’ Warehouse by 12.2% in the fourth quarter. Wellington Management Group LLP now owns 2,930,463 shares of the company’s stock worth $182,656,000 after buying an additional 318,942 shares during the period. Susquehanna Portfolio Strategies LLC grew its stake in shares of Chefs’ Warehouse by 1,027.8% in the fourth quarter. Susquehanna Portfolio Strategies LLC now owns 51,091 shares of the company’s stock valued at $3,185,000 after buying an additional 46,561 shares in the last quarter. Odyssean LLC purchased a new stake in shares of Chefs’ Warehouse during the 4th quarter valued at about $746,000. Finally, Millennium Management LLC raised its holdings in shares of Chefs’ Warehouse by 2,871.7% during the 4th quarter. Millennium Management LLC now owns 251,376 shares of the company’s stock valued at $15,668,000 after buying an additional 242,917 shares during the period. 91.55% of the stock is owned by hedge funds and other institutional investors.

About Chefs’ Warehouse

Chefs’ Warehouse, Inc is a specialty food distributor that supplies a broad range of high‐end ingredients and culinary products to professional chefs, restaurants, hotels, and other foodservice operators. Headquartered in Maspeth, New York, the company sources its portfolio from local artisans, boutique producers and leading global suppliers. Its core offerings include fresh and frozen proteins, specialty cuts of meat and seafood, handcrafted cheeses and charcuterie, seasonal produce, value‐added preparations, pantry staples and premium desserts and beverages.

The company operates a network of distribution centers strategically located in major metropolitan markets across North America.