Sysco (NYSE:SYY) Issues Quarterly Earnings Results, Misses Expectations By $0.04 EPS

Posted by Lauren Steadman on Feb 2nd, 2023

Sysco (NYSE:SYY – Get Rating) issued its earnings results on Tuesday. The company reported $0.80 earnings per share (EPS) for the quarter, missing the consensus estimate of $0.84 by ($0.04), Briefing.com reports. The company had revenue of $18.59 billion during the quarter, compared to analysts’ expectations of $18.59 billion. Sysco had a return on equity of 140.94% and a net margin of 1.93%. The company’s revenue for the quarter was up 13.9% compared to the same quarter last year. During the same quarter in the prior year, the business posted $0.57 EPS. Sysco updated its FY23 guidance to $4.00-4.15 EPS and its FY 2023 guidance to $4.00-$4.15 EPS.

Sysco Stock Down 0.9 %

Shares of SYY traded down $0.67 during midday trading on Thursday, reaching $77.25. 1,228,552 shares of the stock were exchanged, compared to its average volume of 2,631,593. The firm has a 50 day simple moving average of $80.08 and a 200-day simple moving average of $81.16. The company has a quick ratio of 0.68, a current ratio of 1.24 and a debt-to-equity ratio of 7.20. Sysco has a 12-month low of $70.61 and a 12-month high of $91.53. The company has a market cap of $39.15 billion, a price-to-earnings ratio of 27.80, a P/E/G ratio of 2.08 and a beta of 1.10.

Sysco Dividend Announcement

The business also recently declared a quarterly dividend, which was paid on Friday, January 27th. Investors of record on Friday, January 6th were given a $0.49 dividend. The ex-dividend date of this dividend was Thursday, January 5th. This represents a $1.96 dividend on an annualized basis and a dividend yield of 2.54%. Sysco’s dividend payout ratio (DPR) is 70.76%.

Institutional Trading of Sysco

Institutional investors have recently modified their holdings of the company. Brinker Capital Investments LLC raised its position in shares of Sysco by 3.2% during the first quarter. Brinker Capital Investments LLC now owns 3,851 shares of the company’s stock worth $314,000 after acquiring an additional 121 shares during the last quarter. Geller Advisors LLC boosted its holdings in shares of Sysco by 4.2% in the 1st quarter. Geller Advisors LLC now owns 3,362 shares of the company’s stock valued at $276,000 after purchasing an additional 136 shares in the last quarter. Renaissance Group LLC boosted its holdings in shares of Sysco by 1.7% in the 1st quarter. Renaissance Group LLC now owns 12,807 shares of the company’s stock valued at $1,046,000 after purchasing an additional 220 shares in the last quarter. Parkside Financial Bank & Trust boosted its holdings in shares of Sysco by 54.8% during the 1st quarter. Parkside Financial Bank & Trust now owns 833 shares of the company’s stock valued at $68,000 after acquiring an additional 295 shares in the last quarter. Finally, CENTRAL TRUST Co boosted its holdings in shares of Sysco by 5.6% during the 3rd quarter. CENTRAL TRUST Co now owns 5,597 shares of the company’s stock valued at $395,000 after acquiring an additional 297 shares in the last quarter. Institutional investors and hedge funds own 81.18% of the company’s stock.

Analyst Ratings Changes

A number of analysts have issued reports on the stock. BMO Capital Markets reduced their price target on shares of Sysco from $96.00 to $90.00 and set an “outperform” rating on the stock in a report on Wednesday. Wells Fargo & Company lowered their price objective on shares of Sysco from $95.00 to $87.00 and set an “overweight” rating for the company in a research report on Wednesday, January 4th. Argus cut shares of Sysco from a “buy” rating to a “hold” rating in a research report on Thursday. Stephens reiterated an “overweight” rating and set a $90.00 price objective on shares of Sysco in a research note on Friday, January 13th. Finally, TheStreet downgraded shares of Sysco from a “b” rating to a “c+” rating in a report on Tuesday. Four analysts have rated the stock with a hold rating, eight have issued a buy rating and one has assigned a strong buy rating to the company. According to data from MarketBeat, Sysco has a consensus rating of “Moderate Buy” and a consensus target price of $89.64.

About Sysco

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Sysco Corp. engages in selling, marketing, and distribution of food products to restaurants, healthcare and educational facilities, and lodging establishments. It operates through the following segments: U.S. Foodservice Operations, International Foodservice Operations, SYGMA, and Other. The U.S. Foodservice Operations consists of U.S.