SYY

Sysco Corporation

Fundamental data last updated:August 1, 2026

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company profile

SECTOR

Consumer Defensive

industry

Food Distribution

Exchange

NYSE

County of HQ

US

Next Earnings Date

08/04/2026

Business Summary

Sysco Corporation, through its subsidiaries, engages in the marketing and distribution of various 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 U.S. Foodservice Operations, International Foodservice Operations, SYGMA, and Other segments. The company distributes frozen foods, such as meats, seafood, fully prepared entrées, fruits, vegetables, and desserts; 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 August 27, 2021, it operated 343 distribution facilities. Sysco Corporation was incorporated in 1969 and is headquartered in Houston, Texas.

 


VALUATION

P/E

20.82

Market Cap ($M USD)

$36.06B

Forward P/E

12.49

PEG

0.19

PRICE TO SALES

0.43

PRICE TO BOOK

15.74

EV / EBITDA

12.56

5-Year Average P/E

Free Cash Flow Yield

5.54%

DCF Value

$128.85

Graham Number

$19.76

Price to FCF

18.05

EV to FCF

24.87

Earnings Yield

4.80%

FCF Yield

5.54%

DIVIDEND

Yield

2.86%

Annual Payout

$2.16

Payout Ratio

59.10%

Consecutive Years of Dividend Growth

5-Year Dividend Growth Rate

Financial Health & Profitability

Earnings Per Share

$3.62

Next Year EPS Growth Estimate

$6.04

Next Year Revenue Growth Estimate

$9.91T

Return on Equity (ROE)

81.92%

FREE CASH FLOW

Operating Margin

3.59%

Debt-to-Equity

7.92

Piotroski F-Score

7

Altman Z-Score

5.00

Return on Invested Capital (ROIC)

16.74%

Current Ratio

1.33

Quick Ratio

0.80

Net Debt to EBITDA

3.45

Interest Coverage

4.42

Gross Profit margin

18.54%

FCF PER SHARE

$4.17

REVENUE PER SHARE

$174.34

Gainseekers Quantitative Analysis

Summary

Sysco Corporation’s valuation presents a compelling opportunity for value investors. The stock has traded significantly below its DCF value, suggesting a market mispricing. With a Forward P/E of 11.99 and an Earnings Yield of nearly 5%, the stock appears attractively priced relative to its earnings potential. The robust Altman Z-score of 4.96 indicates strong financial health, reducing bankruptcy risk and underscoring its growth potential. This combination of undervaluation and financial stability makes Sysco a noteworthy candidate for investment.

AI Exposure / Tech Reliance

Operating in the food distribution industry, Sysco is poised to leverage AI and modern technology to optimize its supply chain and logistics. The company's ability to integrate tech-driven efficiencies can enhance operational resilience and customer service. As the industry evolves, Sysco's adaptability will be crucial in maintaining its competitive edge.

The Bull Case

For GARP investors, Sysco's strengths are evident in its impressive ROIC of 16.74% and a solid Piotroski F-Score of 7, indicating efficient capital allocation and strong financial performance. The company's FCF Yield, while modest, reflects a capacity to generate cash, supporting its dividend payout. With an operating margin of 3.59%, Sysco demonstrates pricing power in a competitive market, making it an attractive buy for those seeking growth at a reasonable price.

The Bear Case

Despite its strengths, Sysco faces significant structural risks. The Price/Book ratio of 15.12 suggests an overvaluation relative to its assets, raising concerns about its intrinsic value. Additionally, the Price/Sales ratio of 0.41 indicates potential overextension, especially with the stock trading near its 52-week high. These valuation metrics, coupled with a high Debt/Equity ratio of 7.92, highlight financial leverage risks that could impact future performance.

Market Sentiment & Smart Money

Short Interest %

Analyst Consensus

Buy

Average Analyst Price Target

$90.44

Institutional Ownership %

1-Year Beta

0.66

Insider Buying % (6 Mo)

Distance to 52-Week High

21.78%

Distance to 52-Week Low

9.59%

EARNINGS SURPRISE %

-0.53%

50-DAY SMA

$75.29

200-DAY SMA

$78.57

⚠️ Financial Disclaimer:
This content is for informational purposes only and is not financial advice. Information may be delayed or inaccurate. We may earn a commission from partner links.