Sysco (NYSE:SYY) Releases Q1 2027 Earnings Guidance

Sysco (NYSE:SYY) issued an update on its first quarter 2027 earnings guidance on Tuesday morning. The company provided earnings per share (EPS) guidance of 1.180-1.200 for the period, compared to the consensus estimate of 1.190. The company issued revenue guidance of -. Sysco also updated its FY 2027 guidance to 5.025-5.117 EPS.

Sysco Stock Performance

Sysco stock traded down $1.82 during midday trading on Tuesday, hitting $83.16. The company’s stock had a trading volume of 3,253,119 shares, compared to its average volume of 4,178,449. The company has a market cap of $39.81 billion, a price-to-earnings ratio of 23.03, a PEG ratio of 3.36 and a beta of 0.64. The company has a debt-to-equity ratio of 5.58, a current ratio of 1.33 and a quick ratio of 0.80. The company has a 50-day moving average price of $80.63 and a two-hundred day moving average price of $80.24. Sysco has a 1-year low of $68.19 and a 1-year high of $91.85.

Sysco (NYSE:SYY) last released its earnings results on Tuesday, August 4th. The company reported $1.53 earnings per share (EPS) for the quarter, topping the consensus estimate of $1.51 by $0.02. The company had revenue of $22.12 billion for the quarter, compared to analyst estimates of $21.95 billion. Sysco had a return on equity of 103.57% and a net margin of 2.08%.Sysco’s quarterly revenue was up 4.7% on a year-over-year basis. During the same period in the prior year, the firm posted $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. As a group, sell-side analysts predict that Sysco will post 4.59 earnings per share for the current year.

Analysts Set New Price Targets

SYY has been the subject of several research reports. Weiss Ratings restated a “hold (c+)” rating on shares of Sysco in a research note on Friday, June 26th. Melius Research downgraded shares of Sysco from a “hold” rating to a “sell” rating in a report on Tuesday, July 7th. Wall Street Zen cut shares of Sysco from a “buy” rating to a “hold” rating in a report on Saturday, May 2nd. Morgan Stanley raised their price target on shares of Sysco from $84.00 to $88.00 and gave the company an “equal weight” rating in a research report on Thursday, July 16th. Finally, Piper Sandler lowered their price objective on Sysco from $83.00 to $77.00 and set a “neutral” rating for the company in a research note on Tuesday, April 7th. Eight analysts have rated the stock with a Buy rating, seven have issued a Hold rating and one has assigned a Sell rating to the company. According to data from MarketBeat, Sysco has a consensus rating of “Hold” and a consensus target price of $88.00.

Insider Transactions at Sysco

In other news, Director John M. Hinshaw bought 13,304 shares of the company’s stock in a transaction that occurred on Tuesday, May 26th. The stock was bought at an average price of $75.17 per share, for a total transaction of $1,000,061.68. Following the transaction, the director directly owned 40,200 shares of the company’s stock, valued at $3,021,834. This represents a 49.46% increase in their position. The acquisition was disclosed in a document filed with the Securities & Exchange Commission, which is available through this hyperlink. Company insiders own 0.56% of the company’s stock.

Trending Headlines about Sysco

Here are the key news stories impacting Sysco this week:

• Positive Sentiment: Fourth-quarter results exceeded expectations. Adjusted EPS was $1.53 versus the $1.51 consensus, while revenue rose 4.7% year over year to $22.12 billion, ahead of the $21.95 billion estimate. Sysco Surpasses Q4 Earnings and Revenue Estimates
• Positive Sentiment: Demand and operating performance improved. U.S. foodservice case volume increased 2.5%, local volume rose 2.6%, and international sales advanced 6.7%. Quarterly operating income climbed 10.6% to $983 million, supported by supply-chain productivity and stronger restaurant orders. Food Distributor Sysco Beats Quarterly Sales Estimates
• Positive Sentiment: Fiscal 2027 guidance was above consensus. Sysco projects 6%-7% sales growth, $89.6 billion-$90.5 billion in revenue and adjusted EPS growth of 9%-11%; its EPS range of $5.025-$5.117 exceeds the $4.96 consensus. The outlook includes approximately $100 million in cost savings from AI-enabled productivity initiatives. Sysco Reports Fiscal Fourth Quarter and Full Year Results
• Neutral Sentiment: Sysco generated $2.1 billion in fiscal 2026 free cash flow and returned approximately $1.2 billion to shareholders through dividends and repurchases. An insider purchase of roughly $1 million may provide modest investor support, although institutional ownership changes were mixed.
• Negative Sentiment: Profitability remains a concern. Fourth-quarter gross margin declined 17 basis points to 18.7%, while fiscal 2026 GAAP net earnings fell 3.9% and diluted EPS declined 1.9%. Full-year operating income grew only 0.2% on a GAAP basis.
• Negative Sentiment: Leverage and execution risks remain. Net debt was approximately 2.7 times adjusted EBITDA, and the planned Jetro Restaurant Depot acquisition carries financing, integration and synergy risks. These concerns may explain why the stock has decreased even after the earnings and guidance beats.

Institutional Inflows and Outflows

A number of hedge funds and other institutional investors have recently added to or reduced their stakes in SYY. Motiv8 Investments LLC purchased a new stake in Sysco in the 4th quarter worth $25,000. Darwin Wealth Management LLC purchased a new position in shares of Sysco in the second quarter valued at $31,000. Measured Wealth Private Client Group LLC bought a new stake in Sysco in the third quarter worth $34,000. Caitong International Asset Management Co. Ltd bought a new position in Sysco during the third quarter valued at $36,000. Finally, Headlands Technologies LLC bought a new stake in shares of Sysco in the 2nd quarter worth about $42,000. Institutional investors own 83.41% of the company’s stock.

About Sysco

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.