Sysco Corporation (NYSE:SYY) Given Average Rating of "Moderate Buy" by Brokerages

Key Points

• Sysco Corporation has received a consensus rating of "Moderate Buy" from fourteen analyst firms, with four holding and ten assigning buy ratings.
• The company's most recent earnings report showed an EPS of $1.48, surpassing estimates, alongside a quarterly revenue of $21.14 billion.
• Sysco has announced a quarterly dividend of $0.54 per share, resulting in an annualized yield of 2.7% for shareholders on record as of October 3rd.

Shares of Sysco Corporation (NYSE:SYY - Get Free Report) have earned a consensus recommendation of "Moderate Buy" from the fourteen ratings firms that are currently covering the company, Marketbeat.com reports. Four analysts have rated the stock with a hold rating and ten have assigned a buy rating to the company. The average 1 year price target among brokers that have issued ratings on the stock in the last year is $85.6923.

Several equities analysts have issued reports on the company. Guggenheim boosted their target price on Sysco from $85.00 to $87.00 and gave the stock a "buy" rating in a research report on Wednesday, August 6th. JPMorgan Chase & Co. boosted their target price on Sysco from $82.00 to $85.00 and gave the stock an "overweight" rating in a research report on Tuesday, May 20th. Citigroup assumed coverage on Sysco in a research report on Thursday, May 22nd. They set a "neutral" rating and a $78.00 target price on the stock. Wall Street Zen upgraded Sysco from a "hold" rating to a "buy" rating in a research report on Saturday, August 30th. Finally, Truist Financial boosted their target price on Sysco from $81.00 to $90.00 and gave the stock a "buy" rating in a research report on Wednesday, July 30th.

Sysco Stock Performance

NYSE:SYY opened at $81.07 on Friday. The firm has a market capitalization of $39.30 billion, a PE ratio of 21.73, a price-to-earnings-growth ratio of 2.48 and a beta of 0.80. The business's fifty day moving average price is $79.61 and its 200 day moving average price is $75.30. The company has a debt-to-equity ratio of 6.75, a current ratio of 1.21 and a quick ratio of 0.70. Sysco has a 12 month low of $67.12 and a 12 month high of $83.17.

Sysco (NYSE:SYY - Get Free Report) last posted its earnings results on Tuesday, July 29th. The company reported $1.48 earnings per share 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 business had revenue of $21.14 billion during the quarter, compared to the consensus estimate of $21.01 billion. During the same period in the previous year, the business earned $1.39 EPS. The business's quarterly revenue was up 2.8% on a year-over-year basis. Sysco has set its FY 2026 guidance at 4.500-4.600 EPS. On average, sell-side analysts anticipate that Sysco will post 4.58 earnings per share for the current fiscal year.

Sysco Announces Dividend

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

Insider Buying and Selling

In other Sysco news, EVP Ronald L. Phillips sold 7,351 shares of the business's stock in a transaction on Tuesday, September 2nd. The stock was sold at an average price of $81.00, for a total value of $595,431.00. Following the completion of the transaction, the executive vice president directly owned 41,837 shares in the company, valued at approximately $3,388,797. The trade was a 14.94% decrease in their position. The sale was disclosed in a legal filing with the SEC, which is accessible through this link. Also, EVP Greg D. Bertrand sold 40,000 shares of the stock in a transaction on Tuesday, July 22nd. The stock was 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 in the company, valued at $4,504,320. This trade represents a 41.54% decrease in their ownership of the stock. The disclosure for this sale can be found here. In the last ninety days, insiders sold 91,377 shares of company stock worth $7,361,490. 0.54% of the stock is owned by corporate insiders.

Institutional Trading of Sysco

Several large investors have recently added to or reduced their stakes in the stock. Norges Bank acquired a new stake in shares of Sysco during the second quarter valued at about $493,686,000. Boston Partners grew its stake in shares of Sysco by 24.8% during the first quarter. Boston Partners now owns 15,199,828 shares of the company's stock valued at $1,139,798,000 after acquiring an additional 3,015,714 shares in the last quarter. Canoe Financial LP grew its stake in shares of Sysco by 29,610.4% during the first quarter. Canoe Financial LP now owns 1,431,149 shares of the company's stock valued at $107,393,000 after acquiring an additional 1,426,332 shares in the last quarter. Vanguard Group Inc. grew its stake in shares of Sysco by 2.0% during the second quarter. Vanguard Group Inc. now owns 62,691,177 shares of the company's stock valued at $4,748,230,000 after acquiring an additional 1,226,381 shares in the last quarter. Finally, Nuveen LLC acquired a new stake in shares of Sysco during the first quarter valued at about $85,341,000. 83.41% of the stock is currently owned by institutional investors and hedge funds.

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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