Decoding 6 Analyst Evaluations For Sysco

Sysco SYY underwent analysis by 6 analysts in the last quarter, revealing a spectrum of viewpoints from bullish to bearish.

The following table summarizes their recent ratings, shedding light on the changing sentiments within the past 30 days and comparing them to the preceding months.

The 12-month price targets, analyzed by analysts, offer insights with an average target of $84.5, a high estimate of $87.00, and a low estimate of $79.00. Experiencing a 2.68% decline, the current average is now lower than the previous average price target of $86.83.

Investigating Analyst Ratings: An Elaborate Study

The analysis of recent analyst actions sheds light on the perception of Sysco by financial experts. The following summary presents key analysts, their recent evaluations, and adjustments to ratings and price targets.

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 a comprehensive view, analysts assess stocks qualitatively, spanning from 'Outperform' to 'Underperform'. These ratings convey expectations for the relative performance of Sysco compared to the broader market.
• Price Targets: Analysts gauge the dynamics of price targets, providing 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 U.S. foodservice distributor with 17% share of the highly fragmented $350 billion domestic market. Sysco distributes roughly 500,000 food and nonfood products to restaurants (62% of fiscal 2023 revenue), education and government buildings (8%), travel and leisure (8%), healthcare facilities (7%) and other locations (15%) where individuals consume away-from-home meals. In fiscal 2023, 70% of the firm's revenue was derived from its U.S. foodservice operations, while its international (18%), quick-service logistics (10%), and other (2%) segments made up the difference.

Sysco's Economic Impact: An Analysis

Market Capitalization Highlights: Above the industry average, the company's market capitalization signifies a significant scale, indicating strong confidence and market prominence.

Revenue Growth: Over the 3 months period, Sysco showcased positive performance, achieving a revenue growth rate of 0.47% as of 31 March, 2024. This reflects a substantial increase in the company's top-line earnings. As compared to competitors, the company surpassed expectations with a growth rate higher than the average among peers in the Consumer Staples sector.

Net Margin: The company's net margin is a standout performer, exceeding industry averages. With an impressive net margin of 2.19%, the company showcases strong profitability and effective cost control.

Return on Equity (ROE): Sysco's ROE surpasses industry standards, highlighting the company's exceptional financial performance. With an impressive 18.85% ROE, the company effectively utilizes shareholder equity capital.

Return on Assets (ROA): Sysco's ROA excels beyond industry benchmarks, reaching 1.72%. This signifies efficient management of assets and strong financial health.

Debt Management: The company faces challenges in debt management with a debt-to-equity ratio higher than the industry average. With a ratio of 6.24, caution is advised due to increased financial risk.

The Basics of Analyst Ratings

Benzinga tracks 150 analyst firms and reports on their stock expectations. Analysts typically arrive at their conclusions by predicting how much money a company will make in the future, usually the upcoming five years, and how risky or predictable that company's revenue streams are.

Analysts attend company conference calls and meetings, research company financial statements, and communicate with insiders to publish their ratings on stocks. Analysts typically rate each stock once per quarter or whenever the company has a major update.

Some analysts also offer predictions for helpful metrics such as earnings, revenue, and growth estimates to provide further guidance as to what to do with certain tickers. It is important to keep in mind that while stock and sector analysts are specialists, they are also human and can only forecast their beliefs to traders.

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