The Analyst Verdict: Sysco In The Eyes Of 8 Experts

Providing a diverse range of perspectives from bullish to bearish, 8 analysts have published ratings on Sysco SYY in the last three months.

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.

Analysts have set 12-month price targets for Sysco, revealing an average target of $84.0, a high estimate of $95.00, and a low estimate of $77.00. This current average has decreased by 2.33% from the previous average price target of $86.00.

Decoding Analyst Ratings: A Detailed Look

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.

Key Insights:

• Action Taken: Responding to changing market dynamics and company performance, analysts update their recommendations. Whether they 'Maintain', 'Raise', or 'Lower' their stance, it signifies their response to recent developments related to Sysco. This offers insight into analysts' perspectives on the current state of the company.
• Rating: Analysts unravel qualitative evaluations for stocks, ranging from 'Outperform' to 'Underperform'. These ratings offer insights into 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.

Capture valuable insights into Sysco's market standing by understanding these analyst evaluations alongside pertinent financial indicators. Stay informed and make strategic decisions with our Ratings Table.

Stay up to date on Sysco analyst ratings.

All You Need to Know About 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.

Financial Milestones: Sysco's Journey

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

Revenue Growth: Sysco's revenue growth over a period of 3 months has been noteworthy. As of 31 December, 2024, the company achieved a revenue growth rate of approximately 4.47%. This indicates 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: 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): The company's ROA is a standout performer, exceeding industry averages. With an impressive ROA of 1.59%, the company showcases effective utilization of assets.

Debt Management: The company faces challenges in debt management with a debt-to-equity ratio higher than the industry average. With a ratio of 6.8, caution is advised due to increased financial risk.

The Basics of Analyst Ratings

Analyst ratings serve as essential indicators of stock performance, provided by experts in banking and financial systems. These specialists diligently analyze company financial statements, participate in conference calls, and engage with insiders to generate quarterly ratings for individual stocks.

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.

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