D.A. Davidson & CO. Raises Holdings in Sysco Corporation $SYY

Key Points

• D.A. Davidson & CO. increased its stake in Sysco Corporation by 3.4% in Q2, owning 203,829 shares worth $15.44 million, as reported to the SEC.
• Sysco's quarterly earnings beat expectations, reporting $1.48 EPS versus the forecast of $1.39, with revenues rising to $21.14 billion.
• The company recently declared a quarterly dividend of $0.54 per share, yielding 2.7% annually, with the ex-dividend date set for October 3rd.

D.A. Davidson & CO. lifted its stake in Sysco Corporation (NYSE:SYY - Free Report) by 3.4% during the second quarter, according to its most recent disclosure with the Securities & Exchange Commission. The fund owned 203,829 shares of the company's stock after buying an additional 6,776 shares during the quarter. D.A. Davidson & CO.'s holdings in Sysco were worth $15,438,000 as of its most recent SEC filing.

A number of other hedge funds have also recently modified their holdings of the stock. Ellis Investment Partners LLC boosted its stake in shares of Sysco by 4.9% in the second quarter. Ellis Investment Partners LLC now owns 2,820 shares of the company's stock worth $214,000 after buying an additional 133 shares during the last quarter. Golden State Wealth Management LLC boosted its position in Sysco by 48.4% during 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 in the last quarter. Stephens Inc. AR boosted its position in Sysco by 0.6% during the second quarter. Stephens Inc. AR now owns 25,040 shares of the company's stock worth $1,897,000 after purchasing an additional 140 shares in the last quarter. Trust Co of the South boosted its position in Sysco by 3.0% during the second quarter. Trust Co of the South now owns 4,849 shares of the company's stock worth $367,000 after purchasing an additional 142 shares in the last quarter. Finally, NorthRock Partners LLC boosted its position in Sysco by 2.2% during the second quarter. NorthRock Partners LLC now owns 6,514 shares of the company's stock worth $493,000 after purchasing an additional 142 shares in the last quarter. Hedge funds and other institutional investors own 83.41% of the company's stock.

Sysco Stock Performance

NYSE SYY opened at $78.55 on Thursday. Sysco Corporation has a 1-year low of $67.12 and a 1-year high of $83.47. The company has a debt-to-equity ratio of 6.75, a current ratio of 1.21 and a quick ratio of 0.70. The company has a market cap of $37.59 billion, a PE ratio of 21.06, a price-to-earnings-growth ratio of 2.44 and a beta of 0.82. The stock's 50 day simple moving average is $80.63 and its 200-day simple moving average is $76.65.

Sysco (NYSE:SYY - Get Free Report) last posted 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. Sysco had a return on equity of 109.52% and a net margin of 2.25%.The firm had revenue of $21.14 billion during the quarter, compared to analysts' expectations of $21.01 billion. During the same quarter last year, the firm earned $1.39 earnings per share. The business's revenue for the quarter was up 2.8% on a year-over-year basis. Sysco has set its FY 2026 guidance at 4.500-4.600 EPS. As a group, equities research analysts anticipate that Sysco Corporation will post 4.58 EPS for the current fiscal year.

Sysco Dividend Announcement

The business also recently declared a quarterly dividend, which will be paid on Friday, October 24th. Investors of record on Friday, October 3rd will be issued a $0.54 dividend. This represents a $2.16 annualized dividend and a dividend yield of 2.7%. The ex-dividend date of this dividend is Friday, October 3rd. Sysco's dividend payout ratio (DPR) is currently 57.91%.

Analyst Upgrades and Downgrades

A number of equities analysts have issued reports on the company. Morgan Stanley set a $88.00 price target on Sysco in a research report on Tuesday. Barclays increased their price target on Sysco from $77.00 to $82.00 and gave the stock an "overweight" rating in a research report on Wednesday, July 30th. Weiss Ratings downgraded Sysco from a "buy (b-)" rating to a "hold (c+)" rating in a research report on Wednesday, October 8th. Wall Street Zen upgraded Sysco from a "hold" rating to a "buy" rating in a research report on Saturday, October 11th. Finally, Citigroup raised their target price on Sysco from $84.00 to $86.00 and gave the company a "neutral" rating in a research report on Wednesday, October 15th. Nine equities research analysts have rated the stock with a Buy rating and six have assigned a Hold rating to the company. According to MarketBeat, the company presently has a consensus rating of "Moderate Buy" and an average target price of $87.00.

Insider Activity at Sysco

In related news, EVP Ronald L. Phillips sold 961 shares of the stock in a transaction that occurred on Thursday, September 11th. The stock was sold at an average price of $81.00, for a total value of $77,841.00. Following the completion of the sale, the executive vice president owned 41,501 shares of the company's stock, valued at approximately $3,361,581. This trade represents a 2.26% decrease in their ownership of the stock. The transaction was disclosed in a document filed with the Securities & Exchange Commission, which can be accessed through this link. Insiders sold a total of 14,732 shares of company stock valued at $1,193,245 over the last ninety days. 0.56% of the stock is currently owned by company insiders.

About Sysco

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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