Key Points
- Director Thomas Gerard Ondrof bought 2,500 Sysco shares at an average price of $76.62, bringing his direct holdings to 2,500 shares.
- Sysco’s quarterly adjusted EPS of $1.19 matched expectations, but revenue of $21.74 billion fell short of estimates; revenue still rose 2.8% year over year.
- Analyst views were mixed, with some price-target increases and cuts; MarketBeat reported a “Moderate Buy” consensus and an average target of $91.13.
Sysco Corporation (NYSE:SYY - Get Free Report) Director Thomas Gerard Ondrof purchased 2,500 shares of the company's stock in a transaction that occurred on Wednesday, November 4th. The shares were purchased at an average cost of $76.62 per share, for a total transaction of $191,550.00. Following the completion of the transaction, the director directly owned 2,500 shares of the company's stock, valued at $191,550. This represents a ∞ increase in their ownership of the stock. The acquisition was disclosed in a filing with the SEC, which is available at the SEC website.
Sysco Stock Down 2.3%
Sysco stock opened at $75.14 on Friday. Sysco Corporation has a fifty-two week low of $68.19 and a fifty-two week high of $91.85. The company has a debt-to-equity ratio of 3.18, a quick ratio of 0.77 and a current ratio of 1.46. The firm's 50-day simple moving average is $80.00 and its 200 day simple moving average is $80.49. The stock has a market cap of $36.96 billion, a PE ratio of 19.98, a price-to-earnings-growth ratio of 2.17 and a beta of 0.66.
Sysco (NYSE:SYY - Get Free Report) last posted its quarterly earnings data on Tuesday, November 3rd. The company reported $1.19 EPS for the quarter, meeting the consensus estimate of $1.19. Sysco had a net margin of 2.12% and a return on equity of 79.24%. The firm had revenue of $21.74 billion during the quarter, compared to analyst estimates of $22.02 billion. During the same quarter last year, the business posted $1.15 EPS. The company's revenue for the quarter was up 2.8% on a year-over-year basis. Research analysts predict that Sysco Corporation will post 5.06 EPS for the current fiscal year.
Sysco Announces Dividend
The firm also recently announced a quarterly dividend, which was paid on Friday, October 23rd. Stockholders of record on Friday, October 2nd were issued a $0.55 dividend. The ex-dividend date of this dividend was Friday, October 2nd. This represents a $2.20 annualized dividend and a dividend yield of 2.9%. Sysco's dividend payout ratio is currently 60.11%.
Key Sysco News
Here are the key news stories impacting Sysco this week:
- Positive Sentiment: Director Thomas Gerard Ondrof bought 2,500 shares at an average price of $76.62, a modest insider-purchase signal. SEC insider transaction filing
- Neutral Sentiment: UBS said Sysco’s execution remains on track despite first-quarter challenges, offering a more constructive view of operations. UBS commentary
- Negative Sentiment: Sysco’s quarterly revenue missed analysts’ expectations, and reports cited softer sales guidance as the main reason investors reacted poorly. Adjusted EPS matched consensus at $1.19, while revenue grew 2.8% year over year to $21.74 billion. Earnings and guidance report
- Negative Sentiment: The planned $29.1 billion Jetro Restaurant Depot acquisition remains subject to FTC clearance. A shareholder-investigation notice highlighted potential regulatory and cost exposure, adding uncertainty around the deal. Investigation notice
- Negative Sentiment: Citigroup lowered its price target to $84 from $87 and kept a neutral rating; JPMorgan also reduced its target, to $92 from $95. Both targets remain above the cited share price, but the cuts signal more cautious expectations. Citigroup rating information JPMorgan price-target update
Analysts Set New Price Targets
A number of analysts recently commented on the company. Morgan Stanley lifted their price target on Sysco from $88.00 to $91.00 and gave the stock an "equal weight" rating in a report on Thursday, October 15th. JPMorgan Chase & Co. reduced their price objective on Sysco from $95.00 to $92.00 in a research note on Wednesday. Bank of America raised their target price on Sysco from $91.00 to $93.00 and gave the company a "buy" rating in a research report on Monday, July 20th. Deutsche Bank Aktiengesellschaft lifted their target price on Sysco from $86.00 to $89.00 and gave the stock a "hold" rating in a research note on Wednesday, August 5th. Finally, DA Davidson boosted their price target on shares of Sysco from $89.00 to $91.00 and gave the stock a "buy" rating in a report on Wednesday, August 5th. Eleven equities research analysts have rated the stock with a Buy rating, six have given a Hold rating and one has issued a Sell rating to the stock. According to MarketBeat, the company currently has a consensus rating of "Moderate Buy" and an average target price of $91.13.
View Our Latest Analysis on SYY
Institutional Investors Weigh In On Sysco
Several large investors have recently modified their holdings of SYY. Sunbelt Securities Inc. increased its position in Sysco by 87.6% in 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. Salomon & Ludwin LLC raised its stake in shares of Sysco by 718.6% in the third quarter. Salomon & Ludwin LLC now owns 352 shares of the company's stock valued at $27,000 after buying an additional 309 shares during the period. N.E.W. Advisory Services LLC purchased a new position in shares of Sysco during the 2nd quarter valued at $29,000. Markowski Investments purchased a new position in shares of Sysco during the 2nd quarter valued at $31,000. Finally, Parvin Asset Management LLC purchased a new position in shares of Sysco during the 2nd quarter valued at $32,000. Hedge funds and other institutional investors own 83.41% of the company's stock.
Sysco Company Profile
(
Get Free Report)
Sysco Corporation is a global foodservice distribution company headquartered in Houston, Texas. It supplies food and related products to restaurants, healthcare and educational institutions, hotels, government facilities, and other foodservice operators.
The company distributes a broad range of products, including fresh and frozen foods, meat and seafood, produce, dairy products, canned and packaged goods, beverages, and specialty food items. Sysco also provides nonfood products such as kitchen and dining supplies, equipment, and cleaning products, along with services intended to help customers manage menus, procurement, and operations.
Founded in 1969, Sysco serves customers primarily across the United States and Canada, as well as in parts of Europe and other international markets.
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