Sysco Corporation (NYSE:SYY) Stock Rated “Moderate Buy” by Sell-Side Brokerages

Shares of Sysco Corporation (NYSE:SYY) have been assigned a consensus recommendation of “Moderate Buy” from the sixteen analysts that are covering the firm, Marketbeat Ratings reports. One research analyst has rated the stock with a sell rating, six have given a hold rating and nine have issued a buy rating on the company. The average 1-year price target among brokerages that have issued a report on the stock in the last year is $89.50.

Several brokerages have commented on SYY. UBS Group lifted their price target on Sysco from $90.00 to $95.00 and gave the stock a “buy” rating in a research report on Wednesday, August 5th. Citigroup raised their price objective on shares of Sysco from $82.00 to $86.00 and gave the stock a “neutral” rating in a research note on Wednesday, August 5th. Morgan Stanley upped their target price on shares of Sysco from $84.00 to $88.00 and gave the company an “equal weight” rating in a research note on Thursday, July 16th. Melius Research cut shares of Sysco from a “hold” rating to a “sell” rating in a research note on Tuesday, July 7th. Finally, Weiss Ratings upgraded shares of Sysco from a “buy (b-)” rating to a “buy (b)” rating in a report on Thursday, September 10th.

Sysco Stock Up 0.4%

SYY stock opened at $78.49 on Tuesday. The stock has a market capitalization of $37.64 billion, a price-to-earnings ratio of 21.45, a price-to-earnings-growth ratio of 2.75 and a beta of 0.63. The company has a 50-day moving average of $82.13 and a two-hundred day moving average of $79.38. Sysco has a 52-week low of $68.19 and a 52-week high of $91.85. The company has a debt-to-equity ratio of 4.62, a current ratio of 1.28 and a quick ratio of 0.77.

Sysco (NYSE:SYY) last posted 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. Sysco had a return on equity of 95.05% and a net margin of 2.08%.The business had revenue of $22.12 billion for the quarter, compared to analyst estimates of $21.95 billion. During the same period in the previous year, the company posted $1.48 earnings per share. The firm’s revenue for the quarter was up 4.7% on a year-over-year basis. 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, equities research analysts anticipate that Sysco will post 5.07 EPS for the current year.

Sysco Dividend Announcement

The company also recently announced a quarterly dividend, which will be paid on Friday, October 23rd. Investors of record on Friday, October 2nd will be given a dividend of $0.55 per share. The ex-dividend date of this dividend is Friday, October 2nd. This represents a $2.20 dividend on an annualized basis and a yield of 2.8%. Sysco’s dividend payout ratio (DPR) is 60.11%.

Insider Buying and Selling

In other Sysco news, EVP Ronald Phillips sold 7,350 shares of the company’s stock in a transaction that occurred on Friday, August 21st. The stock was sold at an average price of $83.61, for a total value of $614,533.50. Following the completion of the transaction, the executive vice president owned 38,650 shares of the company’s stock, valued at $3,231,526.50. This represents a 15.98% decrease in their position. The transaction was disclosed in a legal filing with the SEC, which is available at this link. 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. Over the last ninety days, insiders sold 15,525 shares of company stock valued at $1,299,736. Corporate insiders own 0.56% of the company’s stock.

Institutional Inflows and Outflows

Several hedge funds and other institutional investors have recently bought and sold shares of the company. BlackRock Inc. bought a new stake in Sysco in the 2nd quarter valued at $3,596,356,000. Norges Bank bought a new position in Sysco during the fourth quarter worth about $542,780,000. Bank of America Corp DE bought a new position in Sysco during the second quarter worth about $482,589,000. Primecap Management Co. CA acquired a new stake in Sysco during the second quarter valued at approximately $313,503,000. Finally, Bank of New York Mellon Corp bought a new stake in shares of Sysco in the 2nd quarter valued at approximately $273,323,000. 83.41% of the stock is owned by institutional investors.

About Sysco

Sysco Corporation (NYSE:SYY) is a global foodservice distributor that supplies restaurants, health care and educational institutions, hospitality businesses, government facilities, and other customers. Its product portfolio includes fresh and frozen foods, meat and seafood, dairy products, produce, pantry staples, beverages, and specialty items, along with nonfood products such as kitchen equipment, cleaning supplies, and disposable serving products.

In addition to distribution, Sysco provides services designed to support foodservice operators, including menu planning, culinary consulting, merchandising assistance, supply-chain solutions, and business-management resources.