Costello Asset Management INC Sells 3,486 Shares of Sysco Corporation $SYY

Key Points

• Costello Asset Management INC significantly reduced its stake in Sysco Corporation by 89.5%, selling 3,486 shares and ending the quarter with just 408 shares valued at $31,000.
• A range of analysts have upgraded and downgraded Sysco's stock, with ten rating it as a Buy and a consensus price target of $85.85.
• Sysco recently declared a quarterly dividend of $0.54 per share, representing a 2.8% dividend yield and a payout ratio of 57.91%.

Costello Asset Management INC cut its stake in Sysco Corporation (NYSE:SYY - Free Report) by 89.5% during the second quarter, according to the company in its most recent Form 13F filing with the Securities and Exchange Commission. The fund owned 408 shares of the company's stock after selling 3,486 shares during the period. Costello Asset Management INC's holdings in Sysco were worth $31,000 at the end of the most recent quarter.

Other hedge funds have also recently made changes to their positions in the company. Chung Wu Investment Group LLC bought a new position in shares of Sysco in the second quarter worth about $30,000. Golden State Wealth Management LLC grew its holdings in shares of Sysco by 48.4% in the first quarter. Golden State Wealth Management LLC now owns 429 shares of the company's stock worth $32,000 after purchasing an additional 140 shares during the last quarter. N.E.W. Advisory Services LLC bought a new position in shares of Sysco in the first quarter worth about $33,000. 1248 Management LLC bought a new position in shares of Sysco in the first quarter worth about $35,000. Finally, Cheviot Value Management LLC bought a new position in shares of Sysco in the first quarter worth about $34,000. 83.41% of the stock is currently owned by institutional investors.

Analyst Upgrades and Downgrades

A number of research analysts have recently commented on the stock. Wall Street Zen cut shares of Sysco from a "buy" rating to a "hold" rating in a report on Saturday, September 13th. Truist Financial increased their target price on shares of Sysco from $81.00 to $90.00 and gave the stock a "buy" rating in a report on Wednesday, July 30th. Wells Fargo & Company set a $88.00 target price on shares of Sysco and gave the stock an "overweight" rating in a report on Tuesday, July 29th. Morgan Stanley increased their target price on shares of Sysco from $72.00 to $77.00 and gave the stock an "equal weight" rating in a report on Monday, July 14th. Finally, Bank of America increased their target price on shares of Sysco from $81.00 to $93.00 and gave the stock a "buy" rating in a report on Friday, July 18th. Ten investment analysts have rated the stock with a Buy rating and five have given a Hold rating to the company. According to MarketBeat.com, the company has a consensus rating of "Moderate Buy" and an average target price of $85.85.

Sysco Stock Performance

SYY stock opened at $78.05 on Friday. The firm has a market cap of $37.35 billion, a price-to-earnings ratio of 20.92, a PEG ratio of 2.44 and a beta of 0.82. The firm has a 50-day simple moving average of $80.84 and a two-hundred day simple moving average of $76.31. Sysco Corporation has a one year low of $67.12 and a one year high of $83.47. The company has a debt-to-equity ratio of 6.75, a quick ratio of 0.70 and a current ratio of 1.21.

Sysco (NYSE:SYY - Get Free Report) last released its quarterly earnings results on Tuesday, July 29th. The company reported $1.48 EPS for the quarter, beating the consensus estimate of $1.39 by $0.09. The business had revenue of $21.14 billion during the quarter, compared to analyst estimates of $21.01 billion. Sysco had a net margin of 2.25% and a return on equity of 109.52%. The company's quarterly revenue was up 2.8% on a year-over-year basis. During the same period in the prior year, the firm posted $1.39 earnings per share. Sysco has set its FY 2026 guidance at 4.500-4.600 EPS. On average, equities analysts forecast that Sysco Corporation will post 4.58 EPS for the current fiscal year.

Sysco Announces Dividend

The company also recently declared a quarterly dividend, which will be paid on Friday, October 24th. Shareholders of record on Friday, October 3rd will be given a dividend of $0.54 per share. This represents a $2.16 annualized dividend and a dividend yield of 2.8%. The ex-dividend date of this dividend is Friday, October 3rd. Sysco's dividend payout ratio is presently 57.91%.

Insider Activity

In related news, EVP Greg D. Bertrand sold 40,000 shares of the stock in a transaction that occurred on Tuesday, July 22nd. The shares were sold at an average price of $80.00, for a total value of $3,200,000.00. Following the completion of the transaction, the executive vice president directly owned 56,304 shares of the company's stock, valued at $4,504,320. This trade represents a 41.54% decrease in their position. The sale was disclosed in a document filed with the SEC, which is available through this hyperlink. Also, EVP Ronald L. Phillips sold 961 shares of the stock in a transaction that occurred on Thursday, September 11th. The shares were sold at an average price of $81.00, for a total transaction of $77,841.00. Following the completion of the transaction, the executive vice president directly owned 41,501 shares of the company's stock, valued at $3,361,581. The trade was a 2.26% decrease in their ownership of the stock. The disclosure for this sale can be found here. Over the last three months, insiders have sold 92,338 shares of company stock valued at $7,439,331. Insiders own 0.54% of the company's stock.

Sysco Company Profile

Sysco Corporation, through its subsidiaries, engages in the marketing and distribution of various food and related products to the foodservice or food-away-from-home industry in the United States, Canada, the United Kingdom, France, and internationally. It operates through U.S. Foodservice Operations, International Foodservice Operations, SYGMA, and Other segments.

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