Sysco Valuation

Q: What is the Fair Price of SYY * when looking at its future cash flows? For this estimate we use a Discounted Cash Flow model.

SYY * (MX$1770) is trading below our estimate of [[fair value]] (MX$2272.69)

Is SYY * undervalued compared to its fair value, analyst forecasts and its price relative to the market?

Valuation Score

2/6

Valuation Score 2/6

Below Fair Value
Significantly Below Fair Value
Price-To-Earnings vs Peers
Price-To-Earnings vs Industry
Price-To-Earnings vs Fair Ratio
Analyst Forecast

Share Price vs Fair Value

What is the Fair Price of SYY * when looking at its future cash flows? For this estimate we use a Discounted Cash Flow model.

Below Fair Value: SYY * (MX$1770) is trading below our estimate of fair value (MX$2272.69)

Significantly Below Fair Value: SYY * is trading below fair value by more than 20%.

Key Valuation Metric

Which metric is best to use when looking at relative valuation for SYY *?

Key metric: As SYY * is profitable we use its Price-To-Earnings Ratio for relative valuation analysis.

The above table shows the Price to Earnings ratio for SYY *. This is calculated by dividing SYY *'s market cap by their current earnings.
What is SYY *'s PE Ratio?
PE Ratio	26.8x
Earnings	US$1.42b
Market Cap	US$38.11b

SYY * key valuation metrics and ratios. From Price to Earnings, Price to Sales and Price to Book to Price to Earnings Growth Ratio, Enterprise Value and EBITDA.
Key Statistics
Enterprise Value/Revenue	0.7x
Enterprise Value/EBITDA	13.5x
PEG Ratio	1.5x

Price to Earnings Ratio vs Peers

How does SYY *'s PE Ratio compare to its peers?

The above table shows the PE ratio for SYY * vs its peers. Here we also display the market cap and forecasted growth for additional consideration.
Company	Forward PE	Estimated Growth	Market Cap
Peer Average	15.2x
WALMEX * Wal-Mart de México. de	17.4x	9.6%	Mex$933.2b
CHDRAUI B Grupo Comercial Chedraui. de	16.2x	13.0%	Mex$125.8b
FRAGUA B Corporativo Fragua. de	14.4x	13.9%	Mex$70.6b
SORIANA B Organización Soriana S. A. B. de C. V	12.7x	0.6%	Mex$53.4b
SYY * Sysco	26.8x	18.1%	Mex$38.1b

Price-To-Earnings vs Peers: SYY * is expensive based on its Price-To-Earnings Ratio (26.8x) compared to the peer average (19x).

Price to Earnings Ratio vs Industry

How does SYY *'s PE Ratio compare vs other companies in the South American Consumer Retailing Industry?

0 Companies	Price / Earnings	Estimated Growth	Market Cap

0 Companies		Estimated Growth	Market Cap

No more companies

Price-To-Earnings vs Industry: SYY * is expensive based on its Price-To-Earnings Ratio (26.8x) compared to the South American Consumer Retailing industry average (17.3x).

Price to Earnings Ratio vs Fair Ratio

What is SYY *'s PE Ratio compared to its Fair PE Ratio? This is the expected PE Ratio taking into account the company's forecast earnings growth, profit margins and other risk factors.

SYY * PE Ratio vs Fair Ratio.
Fair Ratio
Current PE Ratio	26.8x
Fair PE Ratio	n/a

Price-To-Earnings vs Fair Ratio: Insufficient data to calculate SYY *'s Price-To-Earnings Fair Ratio for valuation analysis.

Analyst Price Targets

What is the analyst 12-month forecast and do we have any statistical confidence in the consensus price target?

Analyst Forecast: Insufficient data to show price forecast.