SYSCO CORP (SYY.DE) Stock Fundamental Analysis
FRA:SYY - Deutsche Boerse Ag - US8718291078 - Common Stock - Currency: EUR
SYY gets a fundamental rating of 5 out of 10. The analysis compared the fundamentals against 23 industry peers in the Consumer Staples Distribution & Retail industry. While SYY has a great profitability rating, there are some minor concerns on its financial health. SYY is valied quite expensively at the moment, while it does show a decent growth rate.
1. Profitability
1.1 Basic Checks
SYY had positive earnings in the past year.
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
The Return On Assets of SYY (6.83%) is better than 78.26% of its industry peers.
With an excellent Return On Equity value of 99.89%, SYY belongs to the best of the industry, outperforming 100.00% of the companies in the same industry.
SYY's Return On Invested Capital of 13.92% is amongst the best of the industry. SYY outperforms 86.96% of its industry peers.
SYY had an Average Return On Invested Capital over the past 3 years of 15.20%. This is significantly above the industry average of 9.50%.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 6.83% | ||
| ROE | 99.89% | ||
| ROIC | 13.92% |
ROA(3y)7.48%
ROA(5y)6.21%
ROE(3y)97.71%
ROE(5y)85.04%
ROIC(3y)15.2%
ROIC(5y)13.35%
1.3 Margins
SYY has a better Profit Margin (2.25%) than 65.22% of its industry peers.
In the last couple of years the Profit Margin of SYY has grown nicely.
SYY has a Operating Margin of 3.80%. This is in the better half of the industry: SYY outperforms 69.57% of its industry peers.
In the last couple of years the Operating Margin of SYY has grown nicely.
SYY has a Gross Margin of 18.40%. This is in the lower half of the industry: SYY underperforms 69.57% of its industry peers.
SYY's Gross Margin has been stable in the last couple of years.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| OM | 3.8% | ||
| PM (TTM) | 2.25% | ||
| GM | 18.4% |
OM growth 3Y3.54%
OM growth 5Y16.07%
PM growth 3Y4.31%
PM growth 5Y40.76%
GM growth 3Y0.82%
GM growth 5Y-0.35%
2. Health
2.1 Basic Checks
SYY has a Return on Invested Capital (ROIC), which is well above the Cost of Capital (WACC), which means it is creating value.
Compared to 1 year ago, SYY has less shares outstanding
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
SYY has an Altman-Z score of 5.11. This indicates that SYY is financially healthy and has little risk of bankruptcy at the moment.
With an excellent Altman-Z score value of 5.11, SYY belongs to the best of the industry, outperforming 91.30% of the companies in the same industry.
SYY has a debt to FCF ratio of 8.30. This is a slightly negative value and a sign of low solvency as SYY would need 8.30 years to pay back of all of its debts.
Looking at the Debt to FCF ratio, with a value of 8.30, SYY is in line with its industry, outperforming 56.52% of the companies in the same industry.
SYY has a Debt/Equity ratio of 6.75. This is a high value indicating a heavy dependency on external financing.
Looking at the Debt to Equity ratio, with a value of 6.75, SYY is doing worse than 95.65% of the companies in the same industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 6.75 | ||
| Debt/FCF | 8.3 | ||
| Altman-Z | 5.11 |
ROIC/WACC1.85
WACC7.53%
2.3 Liquidity
A Current Ratio of 1.21 indicates that SYY should not have too much problems paying its short term obligations.
SYY has a Current ratio of 1.21. This is in the better half of the industry: SYY outperforms 73.91% of its industry peers.
SYY has a Quick Ratio of 1.21. 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 better Quick ratio (0.70) than 78.26% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Current Ratio | 1.21 | ||
| Quick Ratio | 0.7 |
3. Growth
3.1 Past
SYY shows a small growth in Earnings Per Share. In the last year, the EPS has grown by 3.48%.
SYY shows quite a strong growth in Earnings Per Share. Measured over the last years, the EPS has been growing by 17.52% yearly.
SYY shows a small growth in Revenue. In the last year, the Revenue has grown by 3.21%.
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)3.48%
EPS 3Y11.01%
EPS 5Y17.52%
EPS Q2Q%6.47%
Revenue 1Y (TTM)3.21%
Revenue growth 3Y5.84%
Revenue growth 5Y9%
Sales Q2Q%2.83%
3.2 Future
The Earnings Per Share is expected to grow by 10.85% on average over the next years. This is quite good.
SYY is expected to show a small growth in Revenue. In the coming years, the Revenue will grow by 5.24% yearly.
EPS Next Y5.93%
EPS Next 2Y7.63%
EPS Next 3Y8.26%
EPS Next 5Y10.85%
Revenue Next Year3.81%
Revenue Next 2Y4.19%
Revenue Next 3Y4.24%
Revenue Next 5Y5.24%
3.3 Evolution
Although the future EPS growth is still strong, it is not able to hold up the even more excellent growth rate of the past years.
When comparing the Revenue growth rate of the last years to the growth rate of the upcoming years, we see that the growth is decreasing.
4. Valuation
4.1 Price/Earnings Ratio
The Price/Earnings ratio is 17.87, which indicates a rather expensive current valuation of SYY.
SYY's Price/Earnings ratio is a bit more expensive when compared to the industry. SYY is more expensive than 60.87% of the companies in the same industry.
Compared to an average S&P500 Price/Earnings ratio of 26.85, SYY is valued a bit cheaper.
SYY is valuated correctly with a Price/Forward Earnings ratio of 16.88.
SYY's Price/Forward Earnings ratio is a bit more expensive when compared to the industry. SYY is more expensive than 73.91% of the companies in the same industry.
When comparing the Price/Forward Earnings ratio of SYY to the average of the S&P500 Index (34.98), we can say SYY is valued rather cheaply.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 17.87 | ||
| Fwd PE | 16.88 |
4.2 Price Multiples
Based on the Enterprise Value to EBITDA ratio, SYY is valued a bit more expensive than the industry average as 69.57% of the companies are valued more cheaply.
60.87% of the companies in the same industry are cheaper than SYY, based on the Price/Free Cash Flow ratio.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | 23.74 | ||
| EV/EBITDA | 12.47 |
4.3 Compensation for Growth
The high PEG Ratio(NY), which compensates the Price/Earnings for growth, indicates an expensive valuation of the company.
SYY has a very decent profitability rating, which may justify a higher PE ratio.
PEG (NY)3.01
PEG (5Y)1.02
EPS Next 2Y7.63%
EPS Next 3Y8.26%
5. Dividend
5.1 Amount
SYY has a Yearly Dividend Yield of 2.66%. Purely for dividend investing, there may be better candidates out there.
SYY's Dividend Yield is slightly below the industry average, which is at 4.15.
SYY's Dividend Yield is comparable with the S&P500 average which is at 2.36.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 2.66% |
5.2 History
The dividend of SYY has a limited annual growth rate of 4.23%.
Dividend Growth(5Y)4.23%
Div Incr Years3
Div Non Decr Years3
5.3 Sustainability
54.70% of the earnings are spent on dividend by SYY. This is a bit on the high side, but may be sustainable.
The dividend of SYY is growing, but earnings are growing more, so the dividend growth is sustainable.
DP54.7%
EPS Next 2Y7.63%
EPS Next 3Y8.26%
FRA:SYY (8/19/2025, 7:00:00 PM)
68.26
+0.37 (+0.54%)
Chartmill FA Rating
GICS SectorConsumer Staples
GICS IndustryGroupConsumer Staples Distribution & Retail
GICS IndustryConsumer Staples Distribution & Retail
Earnings (Last)
Earnings (Next)
Inst Owners90.89%
Inst Owner ChangeN/A
Ins Owners0.17%
Ins Owner ChangeN/A
Market Cap32.59B
Analysts74.17
Price Target76.23 (11.68%)
Short Float %N/A
Short RatioN/A
Dividend
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 2.66% |
Yearly Dividend1.77
Dividend Growth(5Y)4.23%
DP54.7%
Div Incr Years3
Div Non Decr Years3
Ex-DateN/A
Surprises & Revisions
EPS beat(2)1
Avg EPS beat(2)-1.05%
Min EPS beat(2)-7.55%
Max EPS beat(2)5.45%
EPS beat(4)1
Avg EPS beat(4)-1.7%
Min EPS beat(4)-7.55%
Max EPS beat(4)5.45%
EPS beat(8)4
Avg EPS beat(8)-0.51%
EPS beat(12)4
Avg EPS beat(12)-1.39%
EPS beat(16)6
Avg EPS beat(16)-0.79%
Revenue beat(2)0
Avg Revenue beat(2)-1.53%
Min Revenue beat(2)-2.57%
Max Revenue beat(2)-0.48%
Revenue beat(4)0
Avg Revenue beat(4)-1.17%
Min Revenue beat(4)-2.57%
Max Revenue beat(4)-0.48%
Revenue beat(8)0
Avg Revenue beat(8)-1.4%
Revenue beat(12)2
Avg Revenue beat(12)-1.02%
Revenue beat(16)6
Avg Revenue beat(16)-0.07%
PT rev (1m)7.19%
PT rev (3m)6.14%
EPS NQ rev (1m)-1.43%
EPS NQ rev (3m)-4.56%
EPS NY rev (1m)0%
EPS NY rev (3m)0.38%
Revenue NQ rev (1m)-0.04%
Revenue NQ rev (3m)-1.08%
Revenue NY rev (1m)0.06%
Revenue NY rev (3m)0.12%
Valuation
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 17.87 | ||
| Fwd PE | 16.88 | ||
| P/S | 0.47 | ||
| P/FCF | 23.74 | ||
| P/OCF | 15.17 | ||
| P/B | 20.81 | ||
| P/tB | N/A | ||
| EV/EBITDA | 12.47 |
EPS(TTM)3.82
EY5.6%
EPS(NY)4.04
Fwd EY5.92%
FCF(TTM)2.88
FCFY4.21%
OCF(TTM)4.5
OCFY6.59%
SpS145.87
BVpS3.28
TBVpS-8.03
PEG (NY)3.01
PEG (5Y)1.02
Profitability
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 6.83% | ||
| ROE | 99.89% | ||
| ROCE | 18.33% | ||
| ROIC | 13.92% | ||
| ROICexc | 14.87% | ||
| ROICexgc | 24.77% | ||
| OM | 3.8% | ||
| PM (TTM) | 2.25% | ||
| GM | 18.4% | ||
| FCFM | 1.97% |
ROA(3y)7.48%
ROA(5y)6.21%
ROE(3y)97.71%
ROE(5y)85.04%
ROIC(3y)15.2%
ROIC(5y)13.35%
ROICexc(3y)16.05%
ROICexc(5y)14.47%
ROICexgc(3y)27.22%
ROICexgc(5y)24.87%
ROCE(3y)20.01%
ROCE(5y)17.58%
ROICexcg growth 3Y-1.06%
ROICexcg growth 5Y12.8%
ROICexc growth 3Y1.3%
ROICexc growth 5Y15.13%
OM growth 3Y3.54%
OM growth 5Y16.07%
PM growth 3Y4.31%
PM growth 5Y40.76%
GM growth 3Y0.82%
GM growth 5Y-0.35%
F-Score6
Asset Turnover3.04
Health
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 6.75 | ||
| Debt/FCF | 8.3 | ||
| Debt/EBITDA | 3.06 | ||
| Cap/Depr | 95.87% | ||
| Cap/Sales | 1.11% | ||
| Interest Coverage | 4.91 | ||
| Cash Conversion | 62.21% | ||
| Profit Quality | 87.75% | ||
| Current Ratio | 1.21 | ||
| Quick Ratio | 0.7 | ||
| Altman-Z | 5.11 |
F-Score6
WACC7.53%
ROIC/WACC1.85
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)3.48%
EPS 3Y11.01%
EPS 5Y17.52%
EPS Q2Q%6.47%
EPS Next Y5.93%
EPS Next 2Y7.63%
EPS Next 3Y8.26%
EPS Next 5Y10.85%
Revenue 1Y (TTM)3.21%
Revenue growth 3Y5.84%
Revenue growth 5Y9%
Sales Q2Q%2.83%
Revenue Next Year3.81%
Revenue Next 2Y4.19%
Revenue Next 3Y4.24%
Revenue Next 5Y5.24%
EBIT growth 1Y-3.5%
EBIT growth 3Y9.59%
EBIT growth 5Y26.51%
EBIT Next Year31.25%
EBIT Next 3Y14.01%
EBIT Next 5Y12.36%
FCF growth 1Y-25.64%
FCF growth 3Y11.46%
FCF growth 5Y12.29%
OCF growth 1Y-16.03%
OCF growth 3Y11.9%
OCF growth 5Y9.17%