Sysco (NYSE:SYY) Price Target Raised to $86.00

Sysco (NYSE:SYY) had its target price hoisted by equities research analysts at Citigroup from $82.00 to $86.00 in a note issued to investors on Wednesday,Benzinga reports. The brokerage presently has a “neutral” rating on the stock. Citigroup’s target price points to a potential upside of 1.43% from the stock’s previous close.

A number of other research analysts have also recently issued reports on SYY. Weiss Ratings reiterated a “hold (c+)” rating on shares of Sysco in a report on Friday, June 26th. Morgan Stanley lifted their price target on Sysco from $84.00 to $88.00 and gave the company an “equal weight” rating in a research note on Thursday, July 16th. Sanford C. Bernstein lowered their price objective on Sysco from $90.00 to $85.00 and set a “market perform” rating for the company in a research note on Wednesday, April 29th. Wall Street Zen lowered Sysco from a “buy” rating to a “hold” rating in a report on Saturday, May 2nd. Finally, Melius Research downgraded Sysco from a “hold” rating to a “sell” rating in a report on Tuesday, July 7th. Eight investment analysts have rated the stock with a Buy rating, seven have given a Hold rating and one has issued a Sell rating to the company’s stock. Based on data from MarketBeat.com, the stock has a consensus rating of “Hold” and a consensus target price of $89.08.

Sysco Stock Up 2.4%

Shares of NYSE SYY traded up $2.00 during midday trading on Wednesday, hitting $84.79. 2,816,086 shares of the stock traded hands, compared to its average volume of 4,205,419. The company has a debt-to-equity ratio of 5.58, a quick ratio of 0.80 and a current ratio of 1.33. Sysco has a one year low of $68.19 and a one year high of $91.85. The business has a 50 day moving average price of $80.79 and a two-hundred day moving average price of $80.28. The company has a market cap of $40.59 billion, a PE ratio of 23.42, a P/E/G ratio of 3.35 and a beta of 0.64.

Sysco (NYSE:SYY) last posted its quarterly earnings results on Tuesday, August 4th. The company reported $1.53 earnings per share (EPS) for the quarter, beating the consensus estimate of $1.51 by $0.02. The business had revenue of $22.12 billion during the quarter, compared to the consensus estimate of $21.95 billion. Sysco had a net margin of 2.08% and a return on equity of 103.57%. Sysco’s revenue was up 4.7% compared to the same quarter last year. During the same quarter last 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. On average, equities analysts predict that Sysco will post 4.59 EPS for the current year.

Insider Buying and Selling at Sysco

In other Sysco news, Director John M. Hinshaw bought 13,304 shares of Sysco stock in a transaction dated Tuesday, May 26th. The stock was bought at an average cost of $75.17 per share, with a total value of $1,000,061.68. Following the completion of the acquisition, the director directly owned 40,200 shares in the company, valued at approximately $3,021,834. The trade was a 49.46% increase in their position. The transaction was disclosed in a filing with the SEC, which is accessible through this hyperlink. 0.56% of the stock is owned by insiders.

Institutional Inflows and Outflows

Hedge funds and other institutional investors have recently bought and sold shares of the business. Lloyd Advisory Services LLC. purchased a new stake in shares of Sysco during the 4th quarter valued at $25,000. Motiv8 Investments LLC bought a new position in Sysco during the fourth quarter valued at about $25,000. Sunbelt Securities Inc. increased its holdings in Sysco by 87.6% during the first quarter. Sunbelt Securities Inc. now owns 364 shares of the company’s stock worth $26,000 after buying an additional 170 shares during the last quarter. Torren Management LLC bought a new stake in Sysco in the fourth quarter worth about $27,000. Finally, Bard Associates Inc. bought a new stake in Sysco in the fourth quarter worth about $27,000. Hedge funds and other institutional investors own 83.41% of the company’s stock.

Key Sysco News

Here are the key news stories impacting Sysco this week:

• Positive Sentiment: Fourth-quarter results exceeded expectations. Sysco reported $22.12 billion in sales, up 4.7% year over year and above the $21.95 billion consensus estimate. Adjusted EPS was $1.53 versus expectations of $1.51, supported by volume growth, improved Sysco Brand penetration, sourcing efficiencies and cost controls. Sysco Corporation tops estimates as it points to growing momentum in the U.S.
• Positive Sentiment: Management issued an upbeat fiscal 2027 outlook. Sysco expects 6%-7% sales growth and 9%-11% adjusted EPS growth, ahead of consensus forecasts for approximately $88.7 billion in revenue and $4.96 EPS. The outlook includes roughly $100 million of planned efficiency improvements from AI-enabled process, inventory, routing and back-office initiatives. Sysco Reports Fiscal Fourth Quarter and Full Year 2026 Results
• Positive Sentiment: Underlying demand and cash generation improved. U.S. Foodservice case volume rose 2.5%, local volume increased 2.6%, and international sales grew 6.7%. Fourth-quarter operating income increased 10.6% to $983 million, while fiscal-year free cash flow rose 16.3% to $2.1 billion. Sysco returned approximately $1.2 billion to shareholders through dividends and repurchases. Food distributor Sysco beats quarterly sales estimates
• Neutral Sentiment: Near-term guidance is broadly in line. Sysco’s first-quarter fiscal 2027 adjusted EPS outlook of $1.18-$1.20 brackets the $1.19 analyst consensus, suggesting steady execution but limited immediate upside from that quarter’s forecast.
• Negative Sentiment: Sysco stopped buying iceberg lettuce from Mexico and Taylor Farms amid a U.S. cyclosporiasis outbreak. The action is intended to protect customers, but potential supply disruption, product costs and reputational concerns could pressure results if the outbreak persists. Sysco has stopped buying iceberg lettuce from Taylor Farms and Mexico
• Negative Sentiment: Profitability and leverage remain watch points. Fiscal-year GAAP net earnings declined 3.9%, fourth-quarter gross margin fell 17 basis points, and net debt was approximately 2.7 times adjusted EBITDA. Investors also continue to monitor financing and integration risks related to the planned Jetro Restaurant Depot acquisition.

Sysco Company 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.