Market Cap
US$24.0b
Last Updated
2020/04/08 23:46 UTC
Data Sources
Company Financials +
Executive Summary
Sysco Corporation, through its subsidiaries, markets and distributes a range of food and related products primarily to the foodservice or food-away-from-home industry in the United States, Canada, the United Kingdom, France, and internationally.
Rewards
Risk Analysis
Snowflake Analysis
Solid track record average dividend payer.
Similar Companies
Share Price & News
How has Sysco's share price performed over time and what events caused price changes?
Latest Share Price and Events
Stable Share Price: SYY's share price has been volatile over the past 3 months.
Market Performance
7 Day Return
12.8%
SYY
4.3%
US Consumer Retailing
9.4%
US Market
1 Year Return
-29.9%
SYY
12.1%
US Consumer Retailing
-6.8%
US Market
Return vs Industry: SYY underperformed the US Consumer Retailing industry which returned 12.9% over the past year.
Return vs Market: SYY underperformed the US Market which returned -8.1% over the past year.
Shareholder returns
| SYY | Industry | Market | |
|---|---|---|---|
| 7 Day | 12.8% | 4.3% | 9.4% |
| 30 Day | -22.9% | -1.8% | -3.9% |
| 90 Day | -44.2% | -3.1% | -16.5% |
| 1 Year | -28.0%-29.9% | 14.2%12.1% | -4.8%-6.8% |
| 3 Year | -2.6%-9.5% | 44.0%34.8% | 23.4%15.2% |
| 5 Year | 42.7%25.5% | 45.4%30.4% | 41.3%25.7% |
Price Volatility Vs. Market
How volatile is Sysco's share price compared to the market and industry in the last 5 years?
Simply Wall St News
1 week ago | Simply Wall St
How Does Sysco's (NYSE:SYY) P/E Compare To Its Industry, After The Share Price Drop?2 weeks ago | Simply Wall St
Sysco Corporation (NYSE:SYY) Earns A Nice Return On Capital Employed3 weeks ago | Simply Wall St
How Does Sysco's (NYSE:SYY) P/E Compare To Its Industry, After The Share Price Drop?Valuation
Is Sysco undervalued compared to its fair value and its price relative to the market?
>50%
Undervalued compared to fair value
Share Price vs. Fair Value
Below Fair Value: SYY ($47.25) is trading below our estimate of fair value ($105.83)
Significantly Below Fair Value: SYY is trading below fair value by more than 20%.
Price To Earnings Ratio
PE vs Industry: SYY is good value based on its PE Ratio (13.4x) compared to the Consumer Retailing industry average (18.1x).
PE vs Market: SYY is poor value based on its PE Ratio (13.4x) compared to the US market (13.3x).
Price to Earnings Growth Ratio
PEG Ratio: SYY is poor value based on its PEG Ratio (1.4x)
Price to Book Ratio
PB vs Industry: SYY is overvalued based on its PB Ratio (9.5x) compared to the US Consumer Retailing industry average (1.3x).
Next Steps
Future Growth
How is Sysco forecast to perform in the next 1 to 3 years based on estimates from 9 analysts?
9.8%
Forecasted annual earnings growth
Earnings and Revenue Growth Forecasts
Analyst Future Growth Forecasts
Earnings vs Savings Rate: SYY's forecast earnings growth (9.8% per year) is above the savings rate (1.7%).
Earnings vs Market: SYY's earnings (9.8% per year) are forecast to grow slower than the US market (13.3% per year).
High Growth Earnings: SYY's earnings are forecast to grow, but not significantly.
Revenue vs Market: SYY's revenue (4.5% per year) is forecast to grow slower than the US market (6.9% per year).
High Growth Revenue: SYY's revenue (4.5% per year) is forecast to grow slower than 20% per year.
Earnings per Share Growth Forecasts
Future Return on Equity
Future ROE: SYY's Return on Equity is forecast to be very high in 3 years time (50.2%).
Next Steps
Past Performance
How has Sysco performed over the past 5 years?
18.6%
Historical annual earnings growth
Earnings and Revenue History
Quality Earnings: SYY has high quality earnings.
Growing Profit Margin: SYY's current net profit margins (3%) are higher than last year (2.5%).
Past Earnings Growth Analysis
Earnings Trend: SYY's earnings have grown by 18.6% per year over the past 5 years.
Accelerating Growth: SYY's earnings growth over the past year (22.7%) exceeds its 5-year average (18.6% per year).
Earnings vs Industry: SYY earnings growth over the past year (22.7%) exceeded the Consumer Retailing industry -2.9%.
Return on Equity
High ROE: Whilst SYY's Return on Equity (70.78%) is outstanding, this metric is skewed due to their high level of debt.
Next Steps
Financial Health
How is Sysco's financial position?
Financial Position Analysis
Short Term Liabilities: SYY's short term assets ($8.7B) exceed its short term liabilities ($6.9B).
Long Term Liabilities: SYY's short term assets ($8.7B) do not cover its long term liabilities ($9.9B).
Debt to Equity History and Analysis
Debt Level: SYY's debt to equity ratio (343.1%) is considered high.
Reducing Debt: SYY's debt to equity ratio has increased from 142% to 343.1% over the past 5 years.
Debt Coverage: SYY's debt is well covered by operating cash flow (25.6%).
Interest Coverage: SYY's interest payments on its debt are well covered by EBIT (7.8x coverage).
Balance Sheet
Next Steps
Dividend
What is Sysco's current dividend yield, its reliability and sustainability?
3.81%
Current Dividend Yield
Dividend Yield vs Market
Notable Dividend: SYY's dividend (3.81%) is higher than the bottom 25% of dividend payers in the US market (1.89%).
High Dividend: SYY's dividend (3.81%) is low compared to the top 25% of dividend payers in the US market (5.26%).
Stability and Growth of Payments
Stable Dividend: SYY's dividends per share have been stable in the past 10 years.
Growing Dividend: SYY's dividend payments have increased over the past 10 years.
Current Payout to Shareholders
Dividend Coverage: With its reasonably low payout ratio (45.8%), SYY's dividend payments are well covered by earnings.
Future Payout to Shareholders
Future Dividend Coverage: Insufficient data to determine if a dividend will be paid in 3 years and that it will be covered by earnings.
Next Steps
Management
How experienced are the management team and are they aligned to shareholders interests?
3.0yrs
Average management tenure
CEO
Kevin Hourican (44yo)
0.17
Tenure
Mr. Kevin Hourican serves as President and Chief Executive Officer at Sysco Corporation since February 1, 2020. Mr. Hourican served as Executive Vice President at CVS Health Corp., and President of CVS Pha ...
Leadership Team
| Name | Position | Tenure | Compensation | Ownership |
|---|---|---|---|---|
| Executive Chair | 0.25yr | US$328.77k | 0.0028% $672.8k | |
| Executive VP & CFO | 4.58yrs | US$3.94m | 0.011% $2.7m | |
| Executive Vice President of Human Resources | 4.67yrs | US$2.85m | 0.011% $2.5m | |
| Executive Vice President of U.S. Foodservice Operations | 7.75yrs | US$4.08m | 0.0063% $1.5m | |
| President & CEO | 0.17yr | no data | no data | |
| Senior VP & Chief Accounting Officer | 3yrs | no data | no data | |
| Executive VP | 0.33yr | no data | no data | |
| Senior Director of Investor Relations | no data | no data | no data | |
| Senior VP of Legal | 1.25yrs | no data | 0.0012% $288.3k | |
| Vice President of Compliance | 4.33yrs | no data | no data |
3.0yrs
Average Tenure
49.5yo
Average Age
Experienced Management: SYY's management team is considered experienced (3 years average tenure).
Board Members
| Name | Position | Tenure | Compensation | Ownership |
|---|---|---|---|---|
| Executive Chair | 0.25yr | US$328.77k | 0.0028% $672.8k | |
| Independent Director | 9.58yrs | US$317.52k | 0.013% $3.2m | |
| Independent Director | 4.67yrs | US$297.52k | 0.0011% $257.1k | |
| Independent Director | 15.42yrs | US$317.52k | 0.011% $2.6m | |
| Independent Director | 2.58yrs | US$297.52k | no data | |
| Independent Director | 12.25yrs | US$297.52k | 0.011% $2.6m | |
| Independent Director | 3.58yrs | US$312.52k | 0.0036% $867.4k | |
| Lead Independent Director | 0.25yr | US$313.14k | 0.0030% $713.6k | |
| Independent Director | 14.17yrs | US$297.52k | 0.014% $3.4m | |
| Independent Director | 4.67yrs | US$297.52k | 0.0011% $257.1k |
4.7yrs
Average Tenure
65.5yo
Average Age
Experienced Board: SYY's board of directors are considered experienced (4.7 years average tenure).
Ownership
Who are the major shareholders and have insiders been buying or selling?
Insider Trading Volume
Insider Buying: Insufficient data to determine if insiders have bought more shares than they have sold in the past 3 months.
Recent Insider Transactions
Ownership Breakdown
Dilution of Shares: Shareholders have not been meaningfully diluted in the past year.
Top Shareholders
Company Information
Sysco Corporation's company bio, employee growth, exchange listings and data sources
Key Information
- Name: Sysco Corporation
- Ticker: SYY
- Exchange: NYSE
- Founded: 1969
- Industry: Food Distributors
- Sector: Consumer Retailing
- Market Cap: US$24.027b
- Shares outstanding: 508.51m
- Website: https://www.sysco.com
Number of Employees
Location
- Sysco Corporation
- 1390 Enclave Parkway
- Houston
- Texas
- 77077
- United States
Listings
| Ticker | Exchange | Primary Security | Security Type | Country | Currency | Listed on |
|---|---|---|---|---|---|---|
| SYY | NYSE (New York Stock Exchange) | Yes | Common Stock | US | USD | Feb 1971 |
| SYY | DB (Deutsche Boerse AG) | Yes | Common Stock | DE | EUR | Feb 1971 |
| SYY * | BMV (Bolsa Mexicana de Valores) | Yes | Common Stock | MX | MXN | Feb 1971 |
| 0LC6 | LSE (London Stock Exchange) | Yes | Common Stock | GB | USD | Feb 1971 |
| SYY | BRSE (Berne Stock Exchange) | Yes | Common Stock | CH | CHF | Feb 1971 |
| SYY | ETLX (Eurotlx) | Yes | Common Stock | IT | EUR | Feb 1971 |
| S1YY34 | BOVESPA (Bolsa de Valores de Sao Paulo) | BDR EACH REPR 2 COM | BR | BRL | Jan 2020 |
Biography
Sysco Corporation, through its subsidiaries, markets and distributes a range of food and related products primarily to the foodservice or food-away-from-home industry in the United States, Canada, the United Kingdom, France, and internationally. It operates through three segments: U.S. Foodservice Operations, International Foodservice Operations, and SYGMA. The company distributes a line of frozen foods, such as meats, seafood, fully prepared entrees, fruits, vegetables, and desserts; a line of canned and dry foods; fresh meats and seafood; dairy products; beverage products; imported specialties; and fresh produce. It also supplies various non-food items, including paper products comprising disposable napkins, plates, and cups; tableware consisting of China and silverware; cookware, which include pots, pans, and utensils; restaurant and kitchen equipment and supplies; and cleaning supplies. The company serves restaurants, hospitals and nursing homes, schools and colleges, hotels and motels, industrial caterers, and other foodservice venues. As of June 29, 2019, it operated 325 distribution facilities. Sysco Corporation was founded in 1969 and is headquartered in Houston, Texas.
Company Analysis and Financial Data Status
| Data | Last Updated (UTC time) |
|---|---|
| Company Analysis | 2020/04/08 23:46 |
| End of Day Share Price | 2020/04/08 00:00 |
| Earnings | 2019/12/28 |
| Annual Earnings | 2019/06/29 |
Unless specified all financial data is based on a yearly period but updated quarterly. This is known as Trailing Twelve Month (TTM) or Last Twelve Month (LTM) Data. Learn more here.