The Chefs' WarehouseCHEF -1.39%72 ROE % is 11.45% as of Mar. 2026, which is 56% above its 10-year median of 7.35. GuruFocus rates CHEF with a GF Score™ of 72/100 and a GF Value™ of $53.02 (Significantly Overvalued). The stock has 7 warning signs investors should review. Among 306 Retail - Defensive companies, The Chefs' Warehouse ranks better than 66.01% on this metric.
The historical rank and industry rank for The Chefs' Warehouse's ROE % or its related term are showing as below:
CHEF'
s ROE % Range Over the Past 10 Years
Min: -24.36 Med: 7.35 Max: 13.75
Current: 13.75
During the past 13 years, The Chefs' Warehouse's highest ROE % was 13.75%. The lowest was -24.36%. And the median was 7.35%.
CHEF's ROE % is ranked better than 66.01% of 306
companies
in the Retail - Defensive industry
Industry Median: 8.53
vs CHEF: 13.75
The Chefs' Warehouse (NAS:CHEF) ROE % Explanation
ROE % measures the rate of return on the ownership interest (shareholder's equity) of the common stock owners. It measures a firm's efficiency at generating profits from every unit of shareholders' equity (also known as net assets or assets minus liabilities). ROE % shows how well a company uses investment funds to generate earnings growth. ROE %s between 15% and 20% are considered desirable.
The factors that affect a company's ROE % can be illustrated with the three-step DuPont Analysis:
Note:
The net income data used here is four times the quarterly (Mar. 2026) net income data. The Revenue data used here is four times the quarterly (Mar. 2026) revenue data. The same rule applies to Pre-Tax Income and Operating Income.
* In the five-step DuPont Analysis, Operating Income is only available for non-financial companies. Thus, for Insurance companies, we use EBIT as a substitution of Operating Income. For Banks, both Operating Income and EBIT is unavailable. Thus we combined Interest Burden and Operating Margin % into Pretax Margin %, and the DuPont Analysis is divided into four components instead.
* For Operating Data section: All numbers are indicated by the unit behind each term and all currency related amount are in USD. * For other sections: All numbers are in millions except for per share data, ratio, and percentage. All currency related amount are indicated in the company's associated stock exchange currency.
Be Aware
Net Income is used.
Because a company can increase its ROE % by having more financial leverage, it is important to watch the equity multiplier when investing in high ROE % companies. Like ROA %, ROE % is calculated with only 12 months data. Fluctuations in company's earnings or business cycles can affect the ratio drastically. It is important to look at the ratio from a long term perspective.
Asset light businesses require very few assets to generate very high earnings. Their ROE %s can be extremely high.
* For Operating Data section: All numbers are indicated by the unit behind each term and all currency related amount are in USD. * For other sections: All numbers are in millions except for per share data, ratio, and percentage. All currency related amount are indicated in the company's associated stock exchange currency.
For the Food Distribution subindustry, The Chefs' Warehouse's ROE %, along with its competitors' market caps and ROE % data, can be viewed below:
* Competitive companies are chosen from companies within the same industry, with headquarter located in same country, with closest market capitalization; x-axis shows the market cap, and y-axis shows the term value; the bigger the dot, the larger the market cap. Note that "N/A" values will not show up in the chart.
The Chefs' Warehouse ROE % vs Retail - Defensive Industry
For the Retail - Defensive industry and Consumer Defensive sector, The Chefs' Warehouse's ROE % distribution charts can be found below:
* The bar in red indicates where The Chefs' Warehouse's ROE % falls into.
* For Operating Data section: All numbers are indicated by the unit behind each term and all currency related amount are in USD. * For other sections: All numbers are in millions except for per share data, ratio, and percentage. All currency related amount are indicated in the company's associated stock exchange currency.
In the calculation of annual ROE %, the net income of the last fiscal year and the average total shareholder equity over the fiscal year are used. In calculating the quarterly data,
the net income data used here is four times the quarterly (Mar. 2026) net income data.
ROE % is displayed in the 30-year financial page.
The Chefs' Warehouse (CHEF) has a ROE % of 11.45% as of Mar. 2026. Return on equity is the ratio of current-period net income to average two-period total equity. View historical data on The Chefs' Warehouse and its competitors. This is 56% above median its historical median of 7.35. According to the industry distribution chart, The Chefs' Warehouse ranks #104 out of 306 companies in the Retail - Defensive industry, placing it in the top 34%.
Is The Chefs' Warehouse's ROE % too high?
The Chefs' Warehouse's current ROE % of 11.45% is 56% above median its 10-year median of 7.35. The Retail - Defensive industry median ROE % is 8.53. The Chefs' Warehouse's value of 11.45% is 34.2% above this industry median. Based on the distribution chart, The Chefs' Warehouse ranks #104 out of 306 companies in the Retail - Defensive industry, which is above the industry midpoint. Overall, The Chefs' Warehouse has a GF Score™ of 72/100 and is considered Significantly Overvalued, reflecting its overall financial health beyond just this single metric.
How does The Chefs' Warehouse's ROE % compare to UNFI and ANDE?
According to the Retail - Defensive industry distribution chart, The Chefs' Warehouse ranks #104 out of 306 companies for ROE %. This puts The Chefs' Warehouse in the upper half of its industry. The industry median ROE % is 8.53. The Chefs' Warehouse's value of 11.45% is 34.2% above this benchmark. While the company's 10-year median is 7.35 vs. the industry median of 8.53, The Chefs' Warehouse has consistently been above the industry average. See the competitive comparison table and distribution chart on this page for a detailed peer-by-peer breakdown.
What is a good ROE % for a Retail - Defensive company?
The median ROE % among Retail - Defensive companies is 8.53, based on 306 companies in the industry. Companies in the top quartile (top 25%) have a ROE % significantly above this median, while those in the bottom quartile fall well below. However, ROE % should not be evaluated in isolation — investors should consider it alongside profitability, growth, and financial strength metrics. The Chefs' Warehouse's current ROE % of 11.45% is 34.2% above the industry median. Use the industry distribution chart on this page to see where any company falls relative to its peers.
What does a high ROE % mean?
A high ROE % can signal that a stock is expensive relative to its fundamentals. Return on equity is the ratio of current-period net income to average two-period total equity. View historical data on The Chefs' Warehouse and its competitors. For the Retail - Defensive industry, the median ROE % is 8.53 — values significantly above this may indicate overvaluation, while values below may suggest a bargain or underlying issues. The Chefs' Warehouse's current ROE % is 11.45%, which is 56% above median its own 10-year median of 7.35. However, context matters — high-growth companies often justify higher valuations. Always evaluate alongside other metrics like GF Score™ and GF Value™.
Is The Chefs' Warehouse stock overvalued right now?
Based on GuruFocus' analysis, The Chefs' Warehouse (CHEF) is currently considered Significantly Overvalued. The stock's GF Value™ is $53.02, compared to a current price of $94.35 — trading 78% above its estimated fair value. The current ROE % is 11.45%, which is 56% above median its 10-year median of 7.35 and 34.2% above the Retail - Defensive industry median of 8.53. The Chefs' Warehouse's overall GF Score™ is 72/100 with 7 warning signs to review. Investors should evaluate multiple metrics — including profitability, growth, and financial strength — before making a decision.
How is ROE % calculated?
ROE % is calculated from a company's financial statements. For The Chefs' Warehouse (CHEF), the current ROE % is 11.45% as of Mar. 2026. GuruFocus calculates this using data sourced from SEC filings and annual reports. See the calculation section and 30-year financial data on this page for the full breakdown.
Is The Chefs' Warehouse (CHEF) Overvalued in 2026?
Based on GuruFocus' analysis, The Chefs' Warehouse stock appears to be overvalued.
The current stock price of $94.35 is trading 78% above its estimated GF Value™ of $53.02.
GuruFocus considers The Chefs' Warehouse to be Significantly Overvalued.
Key valuation signals for CHEF:
ROE %: 11.45% (56% above median its 10-year median of 7.35)
GF Value™: $53.02 vs. price of $94.35 (78% above fair value)
Industry Position: 34.2% above the Retail - Defensive median (#104 of 306)
No single metric tells the full story. See the CHEF stock analysis page for a complete view including 30-year financials, guru trades, and insider activity.
The Chefs' Warehouse Inc is a specialty food distributor in metropolitan areas across the United States, the Middle East and Canada. The company's product portfolio is comprised of imported and local specialty food products such as cheese, cooking oils, chocolates, dried food, baking products, meats, and other food products. It operates via one reporting segment called Food Product Distribution. Operations are concentrated on the east, midwest, and west coasts of the U.S. The company provides service to restaurants, clubs, hotels, caterers, schools, bakeries, casinos, and specialty food stores.
72GF Score
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