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Expert Outlook: Sysco Through The Eyes Of 8 Analysts
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Sysco (NYSE:SYY) underwent analysis by 8 analysts in the last quarter, revealing a spectrum of viewpoints from bullish to bearish.

The following table provides a quick overview of their recent ratings, highlighting the changing sentiments over the past 30 days and comparing them to the preceding months.

Bullish Somewhat Bullish Indifferent Somewhat Bearish Bearish
Total Ratings 3 4 1 0 0
Last 30D 0 1 0 0 0
1M Ago 0 0 0 0 0
2M Ago 0 1 0 0 0
3M Ago 3 2 1 0 0

The 12-month price targets assessed by analysts reveal further insights, featuring an average target of $84.0, a high estimate of $87.00, and a low estimate of $77.00. Observing a downward trend, the current average is 1.47% lower than the prior average price target of $85.25.

price target chart

Deciphering Analyst Ratings: An In-Depth Analysis

The standing of Sysco among financial experts is revealed through an in-depth exploration of recent analyst actions. The summary below outlines key analysts, their recent evaluations, and adjustments to ratings and price targets.

| Analyst | Analyst Firm | Action Taken | Rating |Current Price Target| Prior Price Target | |--------------------|--------------------|---------------|---------------|--------------------|--------------------| |Jeffrey Bernstein |Barclays |Raises |Overweight | $87.00|$85.00 | |Edward Kelly |Wells Fargo |Raises |Overweight | $87.00|$82.00 | |John Ivankoe |JP Morgan |Lowers |Overweight | $82.00|$86.00 | |John Glass |Morgan Stanley |Lowers |Equal-Weight | $77.00|$79.00 | |John Heinbockel |Guggenheim |Maintains |Buy | $85.00|$85.00 | |Mark Carden |UBS |Lowers |Buy | $86.00|$87.00 | |Jake Bartlett |Truist Securities |Lowers |Buy | $83.00|$85.00 | |Jeffrey Bernstein |Barclays |Lowers |Overweight | $85.00|$93.00 |

Key Insights:

  • Action Taken: Analysts respond to changes in market conditions and company performance, frequently updating their recommendations. Whether they 'Maintain', 'Raise' or 'Lower' their stance, it reflects their reaction to recent developments related to Sysco. This information offers a snapshot of how analysts perceive the current state of the company.
  • Rating: Offering insights into predictions, analysts assign qualitative values, from 'Outperform' to 'Underperform'. These ratings convey expectations for the relative performance of Sysco compared to the broader market.
  • Price Targets: Gaining insights, analysts provide estimates for the future value of Sysco's stock. This comparison reveals trends in analysts' expectations over time.

Analyzing these analyst evaluations alongside relevant financial metrics can provide a comprehensive view of Sysco's market position. Stay informed and make data-driven decisions with the assistance of our Ratings Table.

Stay up to date on Sysco analyst ratings.

Unveiling the Story Behind Sysco

Sysco is the largest US foodservice distributor with 17% share of the highly fragmented $370 billion domestic market. It distributes roughly 500,000 food and nonfood products to restaurants (62% of fiscal 2024 revenue), education and government buildings (7%), travel and leisure (6%), healthcare facilities (7%), and other locations (18%) where individuals consume away-from-home meals. In fiscal 2024, 70% of the firm's revenue was derived from its US foodservice operations, while its international (18%), quick-service logistics (10%), and other (2%) segments contributed the rest.

Sysco: A Financial Overview

Market Capitalization Analysis: Above industry benchmarks, the company's market capitalization emphasizes a noteworthy size, indicative of a strong market presence.

Revenue Growth: Over the 3M period, Sysco showcased positive performance, achieving a revenue growth rate of 4.47% as of 31 December, 2024. This reflects a substantial increase in the company's top-line earnings. As compared to its peers, the revenue growth lags behind its industry peers. The company achieved a growth rate lower than the average among peers in Consumer Staples sector.

Net Margin: Sysco's net margin is impressive, surpassing industry averages. With a net margin of 2.01%, the company demonstrates strong profitability and effective cost management.

Return on Equity (ROE): Sysco's ROE stands out, surpassing industry averages. With an impressive ROE of 19.24%, the company demonstrates effective use of equity capital and strong financial performance.

Return on Assets (ROA): Sysco's ROA stands out, surpassing industry averages. With an impressive ROA of 1.59%, the company demonstrates effective utilization of assets and strong financial performance.

Debt Management: Sysco's debt-to-equity ratio surpasses industry norms, standing at 6.8. This suggests the company carries a substantial amount of debt, posing potential financial challenges.

Analyst Ratings: What Are They?

Ratings come from analysts, or specialists within banking and financial systems that report for specific stocks or defined sectors (typically once per quarter for each stock). Analysts usually derive their information from company conference calls and meetings, financial statements, and conversations with important insiders to reach their decisions.

Some analysts will also offer forecasts for metrics like growth estimates, earnings, and revenue to provide further guidance on stocks. Investors who use analyst ratings should note that this specialized advice comes from humans and may be subject to error.

Which Stocks Are Analysts Recommending Now?

Benzinga Edge gives you instant access to all major analyst upgrades, downgrades, and price targets. Sort by accuracy, upside potential, and more. Click here to stay ahead of the market.

This article was generated by Benzinga's automated content engine and reviewed by an editor.

Disclaimer:This article represents the opinion of the author only. It does not represent the opinion of Webull, nor should it be viewed as an indication that Webull either agrees with or confirms the truthfulness or accuracy of the information. It should not be considered as investment advice from Webull or anyone else, nor should it be used as the basis of any investment decision.
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