Hsbc Holdings PLC Has $87.77 Million Position in Sysco Corporation $SYY

Key Points

• Hsbc Holdings PLC increased its Sysco stake by 5.5% in the second quarter, holding 1.05 million shares worth approximately $87.8 million. Institutional investors collectively own 83.41% of Sysco.
• Sysco exceeded quarterly expectations with adjusted earnings of $1.53 per share versus the $1.51 consensus, while revenue rose 4.7% year over year to $22.12 billion.
• The company declared a quarterly dividend of $0.55 per share, representing a $2.20 annualized payout and a 2.7% yield. Analysts maintain a “Moderate Buy” consensus with an average price target of $89.50.

Hsbc Holdings PLC boosted its holdings in Sysco Corporation (NYSE:SYY - Free Report) by 5.5% during the second quarter, according to the company in its most recent Form 13F filing with the Securities & Exchange Commission. The firm owned 1,050,934 shares of the company's stock after acquiring an additional 55,080 shares during the quarter. Hsbc Holdings PLC owned 0.22% of Sysco worth $87,768,000 at the end of the most recent quarter.

Several other hedge funds have also recently added to or reduced their stakes in the business. BlackRock Inc. bought a new stake in shares of Sysco in the 2nd quarter valued at approximately $3,596,356,000. State Street Corp lifted its position in shares of Sysco by 0.9% during the 3rd quarter. State Street Corp now owns 26,669,576 shares of the company's stock worth $2,195,973,000 after buying an additional 246,542 shares during the period. Geode Capital Management LLC boosted its stake in Sysco by 1.0% in the 4th quarter. Geode Capital Management LLC now owns 12,728,692 shares of the company's stock valued at $934,391,000 after buying an additional 131,659 shares in the last quarter. Norges Bank acquired a new stake in Sysco in the 4th quarter valued at $542,780,000. Finally, Morgan Stanley grew its position in Sysco by 9.0% in the fourth quarter. Morgan Stanley now owns 6,058,405 shares of the company's stock valued at $446,444,000 after acquiring an additional 500,881 shares during the period. Institutional investors and hedge funds own 83.41% of the company's stock.

Sysco Stock Performance

Sysco stock opened at $80.10 on Monday. The stock has a 50-day simple moving average of $83.13 and a 200 day simple moving average of $80.26. The stock has a market capitalization of $38.38 billion, a price-to-earnings ratio of 21.89, a P/E/G ratio of 2.73 and a beta of 0.63. The company has a quick ratio of 0.77, a current ratio of 1.28 and a debt-to-equity ratio of 4.62. Sysco Corporation has a 12-month low of $68.19 and a 12-month high of $91.85.

Sysco (NYSE:SYY - Get Free Report) last issued its quarterly earnings data on Tuesday, August 4th. The company reported $1.53 EPS for the quarter, topping analysts' consensus estimates of $1.51 by $0.02. The firm had revenue of $22.12 billion for the quarter, compared to analyst estimates of $21.95 billion. Sysco had a net margin of 2.08% and a return on equity of 95.05%. The company's revenue was up 4.7% on a year-over-year basis. During the same quarter in the prior year, the firm earned $1.48 EPS. Sysco has set its FY 2027 guidance at 5.025-5.117 EPS and its Q1 2027 guidance at 1.180-1.200 EPS. On average, research analysts anticipate that Sysco Corporation will post 5.12 earnings per share for the current fiscal year.

Sysco Dividend Announcement

The business also recently declared a quarterly dividend, which will be paid on Friday, October 23rd. Stockholders of record on Friday, October 2nd will be paid a dividend of $0.55 per share. This represents a $2.20 annualized dividend and a dividend yield of 2.7%. The ex-dividend date of this dividend is Friday, October 2nd. Sysco's dividend payout ratio is 60.11%.

Insider Buying and Selling at Sysco

In other Sysco news, EVP Ronald Phillips sold 506 shares of the company's stock in a transaction on Monday, August 24th. The stock was sold at an average price of $84.09, for a total transaction of $42,549.54. Following the transaction, the executive vice president owned 36,313 shares of the company's stock, valued at approximately $3,053,560.17. This represents a 1.37% decrease in their position. The transaction was disclosed in a filing with the Securities & Exchange Commission, which can be accessed through the SEC website. The transaction was executed under a pre-arranged Rule 10b5-1 trading plan. The sale was made to cover tax withholding obligations related to the vesting of equity awards. Insiders have sold a total of 14,508 shares of company stock valued at $1,215,250 over the last three months. Company insiders own 0.56% of the company's stock.

Wall Street Analysts Forecast Growth

A number of research analysts have issued reports on SYY shares. Wall Street Zen cut Sysco from a "buy" rating to a "hold" rating in a report on Sunday. Weiss Ratings upgraded shares of Sysco from a "hold (c+)" rating to a "buy (b-)" rating in a research report on Wednesday, August 19th. UBS Group lifted their price target on shares of Sysco from $90.00 to $95.00 and gave the company a "buy" rating in a report on Wednesday, August 5th. Piper Sandler boosted their price target on shares of Sysco from $77.00 to $84.00 and gave the company a "neutral" rating in a research report on Wednesday, August 5th. Finally, Melius Research cut shares of Sysco from a "hold" rating to a "sell" rating in a research note on Tuesday, July 7th. Nine research analysts have rated the stock with a Buy rating, six have assigned a Hold rating and one has given a Sell rating to the company's stock. According to data from MarketBeat.com, the stock has a consensus rating of "Moderate Buy" and an average target price of $89.50.

Sysco Profile

Sysco Corporation NYSE: SYY is a global foodservice distribution company that supplies a broad range of food and related products to restaurants, healthcare and educational facilities, lodging establishments, and other foodservice customers. Its core business is the procurement, warehousing and delivery of fresh, frozen and dry food products, complemented by non-food items such as paper goods, kitchen equipment, cleaning supplies and tabletop products. Sysco serves customers through an extensive network of distribution centers and dedicated delivery fleets, positioning itself as a one-stop supplier for operators of all sizes.

Founded in 1969 and headquartered in Houston, Texas, Sysco has grown through both organic expansion and acquisitions.

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