HF Foods Group Inc. (HFFG) valuation at a glance
- Price
- $1.63
- Forward P/E
- 2.7×
- Market cap
- $91M
- P/S (TTM)
- 0.1×
CompaniesHFFG
HFFG
HF Foods Group Inc.
Consumer Defensivefoodservice distributionmicro-capATM shelfmaterial weakness
Overview
$1.63-1.8%
Market Cap
$91M
SEC filings
P/E (TTM)
–
SEC filings
Rev Growth YoY
–
SEC filings
Gross Margin
16.6%
SEC filings
FCF Yield
-5.7%
Calculated from SEC filings
Fair Value
Not established
yfinance
Conviction
1/5Profitable ex-impairment Asian-restaurant distributor at a fraction of book, but a 100M USD ATM and an adverse ICFR opinion are live kill-checks.
Research Depth
ScreeningDeep ResearchFull Model
Updated 1d ago
Quality Snowflake
Overall 21/100
Value1/3
Futuren/a
Past1/4
Health1/4
Dividend0/1
Each axis scores the checks for which data is available (filled = pass, hollow = no data). Computed from the sourced metrics on this page, not a third-party rating.
Thesis
HF Foods distributes food, seafood, produce and equipment to roughly 15,000 Asian restaurants across the US from a national network of distribution centers and trucks. It screens as deep value because the GAAP loss is an accounting artifact: TTM revenue of 1,250.8M USD, H1 2026 revenue up 3.7%, H1 net income of 3.805M USD versus a small loss a year earlier, and stockholders equity of 206.8M USD against a market value near 90M USD, with the loss driven by goodwill write-offs of 46.3M USD in 2024 and 38.8M USD in 2025 that took goodwill to zero. The counter-evidence is severe. A 100M USD at-the-market program (424B5 filed 2025-09-25) sits against a 92M USD market value, and BDO issued an adverse opinion on internal control over financial reporting as of 2025-12-31 with four unremediated process-level weaknesses covering revenue and receivables, journal-entry review, lease accounting and impairment analysis. TTM free cash flow was negative 3.5M USD as capex jumped, net debt including leases was 138.7M USD, and the Searay Foods acquisition closed 2026-08-31 partly with shares issued at 4.00 USD. Confirmation would require ICFR remediation in the FY2026 10-K and the ATM expiring unused.
Bull Case
ValuationStockholders equity was 206.771M USD at 2026-06-30 (10-Q filed 2026-08-10) against a market value near 92M USD, with goodwill already written to zero.
OperationsH1 2026 revenue rose 3.67% and net income was 3.805M USD versus a loss a year earlier, with operating cash flow of 14.0M USD in the half.
GrowthSearay Foods and Morgan Foods (British Columbia) closed 2026-08-31 at CAD 47.9M, about 5x baseline adjusted EBITDA of CAD 9.56M, per the 8-K filed 2026-09-03.
Bear Case
DilutionA 100M USD ATM prospectus supplement filed 2025-09-25 remains available against a market value near 92M USD, though no shares had been sold under it in 2025.
ControlsBDO's adverse ICFR opinion for 2025-12-31 cites four continuing material weaknesses in revenue and receivables, journal entries, leases and impairment analysis.
Cash flowTTM free cash flow was negative 3.5M USD as H1 2026 capex rose to 20.3M USD from 6.7M USD, with net debt including leases of 138.7M USD, about 4.1x EBITDA before impairment.
Key Metrics
Market Cap
$91M
SEC filings
Enterprise Value
$313M
Calculated from SEC filings
Revenue (TTM)
$1.25B
SEC filings
P/E (TTM)
–
SEC filings
Forward P/E
2.7×
yfinance
P/S (TTM)
0.1×
SEC filings
P/B
0.4×
SEC filings
EV/EBITDA
295.1×
Calculated from SEC filings
PEG
0.4×
Calculated from SEC filings
Revenue Growth
–
SEC filings
Gross Margin
16.6%
SEC filings
Operating Margin
-2.8%
SEC filings
Net Margin
-2.8%
SEC filings
Free Cash Flow
$-5M
SEC filings
FCF Yield
-5.7%
Calculated from SEC filings
Debt / Equity
1.1×
SEC filings
Current Ratio
1.1×
SEC filings
Short Interest
0.4%
SEC filings
Institutional Own.
16.2%
SEC filings
Insider Own.
25.9%
SEC filings
Shares Out.
55.6M
SEC filings
Float
40.5M
SEC filings
Valuation
Price vs Fair Value
Now $1.63
DCF Summary
DCF awaiting Phase 2+
Discounted cash-flow model is built once research reaches the deep-research stage.
Historical Multiples
Multiple history pending
This section is being deepened.
Peer Comparison
| Ticker | Mkt Cap | P/E | P/S | EV/EBITDA | Rev Growth | Gross Mgn | Net Mgn |
|---|---|---|---|---|---|---|---|
| HFFG | $91M | – | 0.1× | 9.0× | +3.0% | 17.0% | -3.0% |
| SYY | $37.79B | 21.5× | 0.4× | 11.3× | +5.0% | 18.0% | 2.0% |
| USFD | $20.10B | 28.6× | 0.5× | 14.2× | +4.0% | 18.0% | 2.0% |
| PFGC | $14.35B | 39.9× | 0.2× | 13.0× | +7.0% | 13.0% | 1.0% |
| CHEF | $4.53B | 52.6× | 1.0× | 20.3× | +13.0% | 24.0% | 2.0% |
Financials
| Line Item | FY22 | FY23 | FY24 | FY25 |
|---|---|---|---|---|
| Total Revenue | 1,170 | 1,148 | 1,202 | 1,228 |
| Cost of Revenue | 965.0 | 944.5 | 996.5 | 1,021 |
| Gross Profit | 205.5 | 204.0 | 205.2 | 207.6 |
| Operating Income | 4.8 | 9.0 | 7.2 | 5.8 |
| EBITDA | 32.4 | 34.8 | (8.0) | (5.4) |
| Net Income | 0.5 | (2.2) | (48.5) | (38.8) |
| Diluted EPS | 0.01 | -0.04 | -0.92 | -0.73 |
| Line Item | FY22 | FY23 | FY24 | FY25 |
|---|---|---|---|---|
| Cash & Equivalents | 24.3 | 15.2 | 14.5 | 8.6 |
| Total Assets | 637.5 | 596.5 | 550.0 | 541.5 |
| Total Debt | 224.7 | 203.3 | 209.9 | 222.6 |
| Total Liabilities | 341.3 | 308.5 | 308.7 | 337.9 |
| Shareholders' Equity | 291.8 | 286.7 | 239.3 | 202.1 |
| Shares Out. (M) | 53.8 | 52.2 | 52.7 | 53.0 |
| Line Item | FY22 | FY23 | FY24 | FY25 |
|---|---|---|---|---|
| Operating Cash Flow | 35.4 | (1.6) | 22.6 | 25.5 |
| Capital Expenditure | (6.3) | (3.5) | (12.5) | (20.6) |
| Free Cash Flow | 29.1 | (5.2) | 10.1 | 4.9 |
| Investing Cash Flow | (50.8) | (1.5) | (12.5) | (20.4) |
| Financing Cash Flow | 24.9 | (5.9) | (10.9) | (10.9) |
Figures normalized from HF Foods Group Inc.'s SEC 10-K filed 2026-03-16. USD millions; EPS and share count per their units. Annual periods. Source: 10-K filed 2026-03-16 ↗
Catalysts
Q3 2026 10-Q, around 2026-11-10
Earningshigh relevance
First quarter including Searay Foods
Shows whether the acquisition adds to earnings and whether capex returns toward the prior run rate.
FY2026 10-K, March 2027
Governancehigh relevance
ICFR remediation test
A clean auditor opinion on internal control would clear one of the two live kill-checks.
Rights plan expiration
Governance
Poison pill lapses
The rights plan adopted 2026-06-11 has a final expiration of 2027-06-10 per the 8-K.
Risks
| Risk | Category | Severity | Probability | Impact on Thesis |
|---|---|---|---|---|
| Sales under the 100M USD ATM at prices near book-value discounts | Financial | High | Medium | Potential dilution above 100% of the current share count at recent prices. |
| Material weaknesses persist or produce a restatement | Governance | High | Medium | Reported revenue, receivables and impairment figures cannot be fully relied on; prior restatement history was not verified this research pass. |
| Founder bloc influence despite officer and director bars | Governance | Medium | Medium | Zhou Min Ni and related trusts hold about 21% while management owns 2.1%; a rights plan was needed in June 2026. |
| Leverage and integration of Searay | Operational | Medium | Medium | Net debt near 4.1x EBITDA before impairment leaves little room if the acquisition underperforms. |
| Restaurant demand and food inflation | Market/Macro | Medium | Medium | Gross margin of 16.55% TTM is thin; volume declines flow straight to operating income. |
Technical Snapshot
52-Week Range
–$1.63–
RSI (14)
n/a
insufficient history
50-Day MA
–
insufficient history
200-Day MA
–
insufficient history
Avg Vol (30d)
vs average
Support Levels
Resistance Levels
Technical inputs: SEC filings. See the record-specific source notes for measurement basis.
Ownership & Insider Activity
Institutional Holdersvia Source-linked
Institutional holder details unavailable
This research record does not include a holder-level table.
Insider Activity
Directors and officers as a group reported 1,121,796 shares, 2.1%, at 2026-04-15 per the proxy filed 2026-04-24, almost all granted rather than purchased. The founder bloc is about 21%: the Raymond Ni trust 10.5%, Zhou Min Ni 6.6% (under an SEC officer and director bar and an injunction barring influence over the company) and Xiao Mou Zhang 6.6%. No open-market Form 4 purchases or sales from 2026-06-12 to 2026-09-10; a 4M USD buyback authorized 2026-07-22 executed one negotiated block of 330,758 shares at 1.55 USD on 2026-07-31, five weeks before 1,701,871 shares were issued at 4.00 USD for Searay.
| Name | Title | Action | Shares | Price | Date | Value |
|---|---|---|---|---|---|---|
| Lam Dennis | Director | Buy | 8K | $1.80 | 2026-03-18 | $14.4K |
| Lam Dennis | Director | Buy | 100 | $1.76 | 2026-03-19 | $176 |
| Mcgarry Paul E | CFO | Buy | 2.5K | $1.76 | 2026-03-18 | $4.4K |
| Lin Xi | President and CEO | Buy | 8.4K | $1.80 | 2026-03-18 | $15K |
| Chang Christine | Chief Administrative Officer | Buy | 4K | $1.74 | 2026-03-18 | $7K |
Additional issuer disclosures: SEC EDGAR company filings. Availability and filing forms vary by issuer.
Peer Comparison
| Ticker | Mkt Cap | P/E | P/S | EV/EBITDA | Rev Growth | Gross Mgn | Net Mgn |
|---|---|---|---|---|---|---|---|
| HFFG | $91M | – | 0.1× | 9.0× | +3.0% | 17.0% | -3.0% |
| SYY | $37.79B | 21.5× | 0.4× | 11.3× | +5.0% | 18.0% | 2.0% |
| USFD | $20.10B | 28.6× | 0.5× | 14.2× | +4.0% | 18.0% | 2.0% |
| PFGC | $14.35B | 39.9× | 0.2× | 13.0× | +7.0% | 13.0% | 1.0% |
| CHEF | $4.53B | 52.6× | 1.0× | 20.3× | +13.0% | 24.0% | 2.0% |
Recognizable sector comparables. Source basis: SEC filings; lowest multiple in each column highlighted. Loss-making peers show no P/E.
Research Notes
2026-09-17SEC 10-K
Adverse ICFR opinion and ATM
The FY2025 10-K carries BDO's adverse opinion that the company did not maintain effective internal control over financial reporting at 2025-12-31, with four process-level weaknesses still open. The 100M USD ATM (424B5 of 2025-09-25) had zero shares sold in 2025 but remains outstanding.
2026-09-17SEC 10-K
SEC enforcement settled
Note 17 records that the SEC accepted an offer of settlement on 2024-06-06 over disclosures tied to former CEO Zhou Min Ni and former CFO Jian Ming Ni; a 3.9M USD civil penalty was paid in Q2 2024 and both executives accepted bars. No open investigation was disclosed.
2026-09-17SEC 6-K
Evolution take-private terminated
The proposed take-private was terminated 2026-07-21 and the company received a 5.23M USD break fee, per the research file citing the related 8-K.
Sources
HF Foods Group Inc. valuation questions
What is HF Foods Group Inc.'s forward P/E ratio?
HF Foods Group Inc. (HFFG) trades at a forward P/E of 2.7×, and 0.1× trailing sales.
What is HF Foods Group Inc.'s market cap?
HF Foods Group Inc. (HFFG) has a market capitalization (its market value, often searched as "net worth") of $91M, and an enterprise value of $313M.