SYSCO CORP (SYY) Stock Fundamental Analysis
USA - New York Stock Exchange - NYSE:SYY - US8718291078 - Common Stock
77.11 USD
+1.05 (+1.38%)
77.35 USD
+0.24 (+0.31%)
Taking everything into account, SYY scores 5 out of 10 in our fundamental rating. SYY was compared to 38 industry peers in the Consumer Staples Distribution & Retail industry. While SYY belongs to the best of the industry regarding profitability, there are some minor concerns on its financial health. SYY has a decent growth rate and is not valued too expensively.
1. Profitability
1.1 Basic Checks
- In the past year SYY was profitable.
- SYY had a positive operating cash flow in the past year.
- SYY had positive earnings in each of the past 5 years.
- SYY had a positive operating cash flow in each of the past 5 years.
1.2 Ratios
- With a decent Return On Assets value of 6.71%, SYY is doing good in the industry, outperforming 71.05% of the companies in the same industry.
- SYY's Return On Equity of 87.76% is amongst the best of the industry. SYY outperforms 97.37% of its industry peers.
- SYY's Return On Invested Capital of 16.61% is amongst the best of the industry. SYY outperforms 94.74% of its industry peers.
- SYY had an Average Return On Invested Capital over the past 3 years of 15.85%. This is significantly below the industry average of 28.32%.
- The last Return On Invested Capital (16.61%) for SYY is above the 3 year average (15.85%), which is a sign of increasing profitability.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 6.71% | ||
| ROE | 87.76% | ||
| ROIC | 16.61% |
ROA(3y)7.48%
ROA(5y)6.21%
ROE(3y)97.71%
ROE(5y)85.04%
ROIC(3y)15.85%
ROIC(5y)13.74%
1.3 Margins
- SYY's Profit Margin of 2.21% is fine compared to the rest of the industry. SYY outperforms 60.53% of its industry peers.
- In the last couple of years the Profit Margin of SYY has grown nicely.
- The Operating Margin of SYY (4.33%) is better than 73.68% of its industry peers.
- In the last couple of years the Operating Margin of SYY has grown nicely.
- The Gross Margin of SYY (18.43%) is worse than 63.16% of its industry peers.
- In the last couple of years the Gross Margin of SYY has remained more or less at the same level.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| OM | 4.33% | ||
| PM (TTM) | 2.21% | ||
| GM | 18.43% |
OM growth 3Y8.19%
OM growth 5Y19.17%
PM growth 3Y4.31%
PM growth 5Y40.76%
GM growth 3Y0.82%
GM growth 5Y-0.35%
2. Health
2.1 Basic Checks
- With a Return on Invested Capital (ROIC) well above the Cost of Capital (WACC), SYY is creating value.
- SYY has less shares outstanding than it did 1 year ago.
- The number of shares outstanding for SYY has been reduced compared to 5 years ago.
- Compared to 1 year ago, SYY has a worse debt to assets ratio.
2.2 Solvency
- An Altman-Z score of 5.10 indicates that SYY is not in any danger for bankruptcy at the moment.
- Looking at the Altman-Z score, with a value of 5.10, SYY is in the better half of the industry, outperforming 76.32% of the companies in the same industry.
- The Debt to FCF ratio of SYY is 8.35, which is on the high side as it means it would take SYY, 8.35 years of fcf income to pay off all of its debts.
- SYY's Debt to FCF ratio of 8.35 is in line compared to the rest of the industry. SYY outperforms 44.74% of its industry peers.
- A Debt/Equity ratio of 5.54 is on the high side and indicates that SYY has dependencies on debt financing.
- Looking at the Debt to Equity ratio, with a value of 5.54, SYY is doing worse than 89.47% of the companies in the same industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 5.54 | ||
| Debt/FCF | 8.35 | ||
| Altman-Z | 5.1 |
ROIC/WACC2.11
WACC7.87%
2.3 Liquidity
- A Current Ratio of 1.15 indicates that SYY should not have too much problems paying its short term obligations.
- SYY has a Current ratio (1.15) which is comparable to the rest of the industry.
- SYY has a Quick Ratio of 1.15. This is a bad value and indicates that SYY is not financially healthy enough and could expect problems in meeting its short term obligations.
- SYY has a Quick ratio of 0.65. This is comparable to the rest of the industry: SYY outperforms 52.63% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Current Ratio | 1.15 | ||
| Quick Ratio | 0.65 |
3. Growth
3.1 Past
- The Earnings Per Share has been growing slightly by 4.39% over the past year.
- The Earnings Per Share has been growing by 17.52% on average over the past years. This is quite good.
- Looking at the last year, SYY shows a small growth in Revenue. The Revenue has grown by 2.92% in the last year.
- Measured over the past years, SYY shows a quite strong growth in Revenue. The Revenue has been growing by 9.00% on average per year.
EPS 1Y (TTM)4.39%
EPS 3Y11.01%
EPS 5Y17.52%
EPS Q2Q%5.5%
Revenue 1Y (TTM)2.92%
Revenue growth 3Y5.84%
Revenue growth 5Y9%
Sales Q2Q%3.24%
3.2 Future
- Based on estimates for the next years, SYY will show a quite strong growth in Earnings Per Share. The EPS will grow by 11.09% on average per year.
- The Revenue is expected to grow by 4.22% on average over the next years.
EPS Next Y3.61%
EPS Next 2Y6.95%
EPS Next 3Y7.3%
EPS Next 5Y11.09%
Revenue Next Year3.92%
Revenue Next 2Y4.44%
Revenue Next 3Y4.03%
Revenue Next 5Y4.22%
3.3 Evolution
- The estimated forward EPS growth is still strong, although it is decreasing when compared to the stronger growth in the past years.
- The Revenue growth rate is decreasing: in the next years the growth will be less than in the last years.
4. Valuation
4.1 Price/Earnings Ratio
- A Price/Earnings ratio of 17.06 indicates a rather expensive valuation of SYY.
- Compared to the rest of the industry, the Price/Earnings ratio of SYY indicates a somewhat cheap valuation: SYY is cheaper than 65.79% of the companies listed in the same industry.
- The average S&P500 Price/Earnings ratio is at 27.30. SYY is valued slightly cheaper when compared to this.
- With a Price/Forward Earnings ratio of 15.12, SYY is valued correctly.
- Based on the Price/Forward Earnings ratio, SYY is valued a bit cheaper than 65.79% of the companies in the same industry.
- SYY is valuated rather cheaply when we compare the Price/Forward Earnings ratio to 24.04, which is the current average of the S&P500 Index.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 17.06 | ||
| Fwd PE | 15.12 |
4.2 Price Multiples
- SYY's Enterprise Value to EBITDA ratio is a bit cheaper when compared to the industry. SYY is cheaper than 63.16% of the companies in the same industry.
- The rest of the industry has a similar Price/Free Cash Flow ratio as SYY.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | 23.09 | ||
| EV/EBITDA | 10.89 |
4.3 Compensation for Growth
- The high PEG Ratio(NY), which compensates the Price/Earnings for growth, indicates SYY does not grow enough to justify the current Price/Earnings ratio.
- SYY has a very decent profitability rating, which may justify a higher PE ratio.
PEG (NY)4.73
PEG (5Y)0.97
EPS Next 2Y6.95%
EPS Next 3Y7.3%
5. Dividend
5.1 Amount
- With a Yearly Dividend Yield of 2.91%, SYY has a reasonable but not impressive dividend return.
- Compared to an average industry Dividend Yield of 0.76, SYY pays a better dividend. On top of this SYY pays more dividend than 92.11% of the companies listed in the same industry.
- Compared to an average S&P500 Dividend Yield of 1.92, SYY pays a better dividend.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 2.91% |
5.2 History
- The dividend of SYY has a limited annual growth rate of 4.23%.
- SYY has been paying a dividend for at least 10 years, so it has a reliable track record.
- The dividend of SYY decreased in the last 3 years.
Dividend Growth(5Y)4.23%
Div Incr Years2
Div Non Decr Years2
5.3 Sustainability
- 55.57% of the earnings are spent on dividend by SYY. This is a bit on the high side, but may be sustainable.
- SYY's earnings are growing more than its dividend. This makes the dividend growth sustainable.
DP55.57%
EPS Next 2Y6.95%
EPS Next 3Y7.3%
77.11
+1.05 (+1.38%)
Chartmill FA Rating
GICS SectorConsumer Staples
GICS IndustryGroupConsumer Staples Distribution & Retail
GICS IndustryConsumer Staples Distribution & Retail
Earnings (Last)10-28 2025-10-28/bmo
Earnings (Next)01-27 2026-01-27/bmo
Inst Owners90.04%
Inst Owner Change0.16%
Ins Owners0.18%
Ins Owner Change5.19%
Market Cap36.92B
Revenue(TTM)82.03B
Net Income(TTM)1.81B
Analysts74.78
Price Target89.26 (15.76%)
Short Float %2.71%
Short Ratio4.14
Dividend
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 2.91% |
Yearly Dividend2.06
Dividend Growth(5Y)4.23%
DP55.57%
Div Incr Years2
Div Non Decr Years2
Ex-Date01-02 2026-01-02 (0.54)
Surprises & Revisions
EPS beat(2)2
Avg EPS beat(2)3.46%
Min EPS beat(2)1.47%
Max EPS beat(2)5.45%
EPS beat(4)2
Avg EPS beat(4)-0.28%
Min EPS beat(4)-7.55%
Max EPS beat(4)5.45%
EPS beat(8)4
Avg EPS beat(8)-0.58%
EPS beat(12)5
Avg EPS beat(12)-0.98%
EPS beat(16)7
Avg EPS beat(16)-0.39%
Revenue beat(2)0
Avg Revenue beat(2)-0.57%
Min Revenue beat(2)-0.67%
Max Revenue beat(2)-0.48%
Revenue beat(4)0
Avg Revenue beat(4)-1.12%
Min Revenue beat(4)-2.57%
Max Revenue beat(4)-0.48%
Revenue beat(8)0
Avg Revenue beat(8)-1.29%
Revenue beat(12)1
Avg Revenue beat(12)-1.18%
Revenue beat(16)5
Avg Revenue beat(16)-0.28%
PT rev (1m)-0.08%
PT rev (3m)1.79%
EPS NQ rev (1m)-0.15%
EPS NQ rev (3m)0.43%
EPS NY rev (1m)-0.11%
EPS NY rev (3m)-0.29%
Revenue NQ rev (1m)-0.01%
Revenue NQ rev (3m)-0.1%
Revenue NY rev (1m)-0.01%
Revenue NY rev (3m)-0.03%
Valuation
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 17.06 | ||
| Fwd PE | 15.12 | ||
| P/S | 0.45 | ||
| P/FCF | 23.09 | ||
| P/OCF | 14.52 | ||
| P/B | 17.86 | ||
| P/tB | N/A | ||
| EV/EBITDA | 10.89 |
EPS(TTM)4.52
EY5.86%
EPS(NY)5.1
Fwd EY6.62%
FCF(TTM)3.34
FCFY4.33%
OCF(TTM)5.31
OCFY6.89%
SpS171.31
BVpS4.32
TBVpS-8.7
PEG (NY)4.73
PEG (5Y)0.97
Graham Number20.95
Profitability
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 6.71% | ||
| ROE | 87.76% | ||
| ROCE | 21.86% | ||
| ROIC | 16.61% | ||
| ROICexc | 17.52% | ||
| ROICexgc | 29.44% | ||
| OM | 4.33% | ||
| PM (TTM) | 2.21% | ||
| GM | 18.43% | ||
| FCFM | 1.95% |
ROA(3y)7.48%
ROA(5y)6.21%
ROE(3y)97.71%
ROE(5y)85.04%
ROIC(3y)15.85%
ROIC(5y)13.74%
ROICexc(3y)16.75%
ROICexc(5y)14.89%
ROICexgc(3y)28.38%
ROICexgc(5y)25.57%
ROCE(3y)20.87%
ROCE(5y)18.09%
ROICexgc growth 3Y3.38%
ROICexgc growth 5Y15.81%
ROICexc growth 3Y5.84%
ROICexc growth 5Y18.2%
OM growth 3Y8.19%
OM growth 5Y19.17%
PM growth 3Y4.31%
PM growth 5Y40.76%
GM growth 3Y0.82%
GM growth 5Y-0.35%
F-Score5
Asset Turnover3.03
Health
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 5.54 | ||
| Debt/FCF | 8.35 | ||
| Debt/EBITDA | 2.55 | ||
| Cap/Depr | 100.11% | ||
| Cap/Sales | 1.15% | ||
| Interest Coverage | 5.35 | ||
| Cash Conversion | 56.61% | ||
| Profit Quality | 88.15% | ||
| Current Ratio | 1.15 | ||
| Quick Ratio | 0.65 | ||
| Altman-Z | 5.1 |
F-Score5
WACC7.87%
ROIC/WACC2.11
Cap/Depr(3y)97.82%
Cap/Depr(5y)87.82%
Cap/Sales(3y)1.07%
Cap/Sales(5y)1.01%
Profit Quality(3y)105.09%
Profit Quality(5y)134.78%
High Growth Momentum
Growth
EPS 1Y (TTM)4.39%
EPS 3Y11.01%
EPS 5Y17.52%
EPS Q2Q%5.5%
EPS Next Y3.61%
EPS Next 2Y6.95%
EPS Next 3Y7.3%
EPS Next 5Y11.09%
Revenue 1Y (TTM)2.92%
Revenue growth 3Y5.84%
Revenue growth 5Y9%
Sales Q2Q%3.24%
Revenue Next Year3.92%
Revenue Next 2Y4.44%
Revenue Next 3Y4.03%
Revenue Next 5Y4.22%
EBIT growth 1Y8.49%
EBIT growth 3Y14.51%
EBIT growth 5Y29.89%
EBIT Next Year30.47%
EBIT Next 3Y13.21%
EBIT Next 5Y9.79%
FCF growth 1Y-20%
FCF growth 3Y11.46%
FCF growth 5Y12.29%
OCF growth 1Y-9.05%
OCF growth 3Y11.9%
OCF growth 5Y9.17%
SYSCO CORP / SYY FAQ
What is the ChartMill fundamental rating of SYSCO CORP (SYY) stock?
ChartMill assigns a fundamental rating of 5 / 10 to SYY.
What is the valuation status of SYSCO CORP (SYY) stock?
ChartMill assigns a valuation rating of 4 / 10 to SYSCO CORP (SYY). This can be considered as Fairly Valued.
What is the profitability of SYY stock?
SYSCO CORP (SYY) has a profitability rating of 7 / 10.
What is the expected EPS growth for SYSCO CORP (SYY) stock?
The Earnings per Share (EPS) of SYSCO CORP (SYY) is expected to grow by 3.61% in the next year.
Can you provide the dividend sustainability for SYY stock?
The dividend rating of SYSCO CORP (SYY) is 6 / 10 and the dividend payout ratio is 55.57%.