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SYY·Sysco Corporation

$79.62
-3.92 (-4.69%)
After Hours
High
$82.64
Open
$82.11
Market Cap
39.87B
52W High
$91.85
Low
$79.15
P. Close
$79.62
P/E
22.70
52W Low
$68.19
Fwd P/E
15.34
DailyIQ Est.
$91.14
Inst. Ownership
44.6%
Short Interest
2.40%
Days to Cover
5.8
Technical Score (1D)
41
SELL
News Sentiment
40
BEARISH
Sysco has priced a $1.0 billion common‑stock offering, issuing 12.3 million shares at $81 each with an additional $150 million option for underwriters, slated to close on September 16, 2026. The proceeds are earmarked to finance part of the pending acquisition of Jetro Restaurant Depot, but the offering is not contingent on the deal closing, indicating a proactive capital‑raising strategy. This infusion of equity will strengthen Sysco’s balance sheet ahead of the acquisition, potentially improving liquidity and reducing debt, but also introduces dilution risk for existing shareholders. In the days following the announcement, the market priced in this dilution, with shares falling roughly 3% after hours, reflecting short‑term investor concern. Over the next 1–10 trading days, the key impact will be the timing of the offering’s completion and the progress of the Jetro deal, as these will determine the actual capital available and the extent of dilution. Traders should monitor the underwriter option exercise and any updates on the acquisition’s valuation, as these will affect the net proceeds and the strategic value of the purchase. The earlier 8‑hour‑old announcement also highlighted the same $1 billion offering, reinforcing that the capital raise is a consistent move rather than a one‑off event. The comparative article notes that Sysco holds a Zacks Rank of #2 (Buy) and is ranked 16th in the consumer staples sector, but provides no new earnings or guidance, so the valuation remains largely driven by the capital‑raising and acquisition prospects. Therefore, the next watch items are the closing of the offering, the status of the Jetro acquisition, and any subsequent changes in Sysco’s debt profile or earnings guidance.
Earnings Summary
Sysco Corporation, headquartered in Houston, Texas, is a leading distributor of food and related products serving the food‑away‑from‑home market across the United States, Canada, the United Kingdom, France, and other international locations; its core business includes frozen, canned, and fresh food items as well as non‑food supplies such as paper goods, tableware, and kitchen equipment, positioning it firmly within the consumer defensive food distribution sector. In the most recent two quarters, Sysco reported revenue of $21.148 billion in Q3 2025 and $22.124 billion in Q4 2026, a year‑over‑year increase of roughly 4.5 % and 9.5 % respectively, while EPS rose from $1.15 in Q3 2025 to $1.53 in Q4 2026, reflecting a 33 % acceleration in earnings growth; the company beat consensus estimates in Q4 2026 (EPS 1.53 vs 1.5263) and narrowly missed in Q1 2025 (0.96 vs 1.02398). Historically, Sysco has maintained a steady upward trajectory in revenue growth, with YoY increases ranging from 3–10 % over the past five quarters, and has consistently outperformed analyst EPS expectations in 3 of the last 4 quarters, underscoring a pattern of earnings resilience even when revenue growth moderates. Recent news highlights the launch of a $500 million AI‑driven efficiency program aimed at modernizing routing software and inventory forecasting, which management expects to lift operating margins and support a 2028‑29 net‑sales growth target of 4‑7 %; the company also paused its share‑repurchase program while maintaining its dividend, signaling a shift toward internal investment. Investors should watch for evidence of cost‑savings realization and margin expansion in the upcoming earnings release, as well as any updates on the AI program’s implementation timeline and the financing structure of the planned Jetro Restaurant Depot acquisition, which could influence leverage and dividend growth expectations.

EPS

EstBeatMiss
$0.85$1.04$1.23$1.43$1.62Q1'25Q2'25Q3'25Q3'26Q4'26Q1'27
QtrEstActual+/−
Q1'27$1.19 - -
Q4'26$1.53$1.53+0.2%
Q3'26$0.94$0.94-0.4%
Q3'25$1.12$1.15+2.6%
Q2'25$1.39$1.48+6.5%
Q1'25$1.02$0.96-6.2%

Revenue

EstBeatMiss
$19.2B$20.0B$20.9B$21.7B$22.5BQ1'25Q2'25Q3'25Q3'26Q4'26Q1'27
QtrEstActual+/−
Q1'27$22.0B - -
Q4'26$22.2B$22.1B-0.2%
Q3'26$20.6B$20.5B-0.2%
Q3'25 - $21.1B -
Q2'25 - $21.1B -
Q1'25 - $19.6B -
Full Earnings BreakdownEstimates, actuals, guidance, and historical context
→

Market Data

SYY Stock Snapshot

HOLD41/100
$79.59−$0.03 (0.0%)
Market cap
39.87B
P/E ratio
22.7
Day range
$79.15 – $82.64
News sentiment
40/100 · Bearish
Analyst target
$90.31 (+13.5%)
Consensus
Hold · 23 analysts
52-week range+16.7% off low · -13.3% from high
$68.19$91.85
Price $79.59 DailyIQ Est. $91.14

Sysco Corporation is consolidating: price is in the middle of its 52-week range without a decisive push either way. Earnings and guidance carry more weight than macro data at this capitalisation.

Reverse DCF

What growth is priced into SYY?

FAIR

At today's price, Sysco Corporation needs to grow free cash flow about 5.2% a year for the next 10 years to justify its valuation at a 7.01% cost of capital. Over its actual history it has compounded free cash flow at 6.7% a year, so the market is asking for 1.5 percentage points below its own delivered rate. On that basis SYY looks priced roughly in line with its own growth record.

Implied FCF growth
5.2%
Historical FCF CAGR
6.7%
Growth gap
-1.5 pts
Verdict
FAIR
Discount rate (WACC)
7.01%
Beta
0.53

Behaviour On Record

What SYY's own history says about today's numbers

Realized volatility (21d)
21.9% 63rd pct
Below its peak
-11.4%
vs 200-day average
+1.3%
Up days (1y)
49%

Sysco Corporation is currently running 21.9% annualised volatility over the last 21 sessions. Measured against SYY's own 13 years of daily returns rather than a market-wide average, that is the 63rd percentile — a little above its own norm, against a typical reading of 19.5%. The distinction matters because a number that looks calm for one stock is turbulent for another, and the absolute figure on its own tells you neither.

SYY is trading -11.4% below its running peak. Across 12 full years on file, its median worst-drawdown-in-a-year was -14.8%, and the deepest was -62.4% in 2020. The current pullback is therefore shallower than what this stock gives back in a typical year, which is context worth having before treating it as a dislocation.

Price sits +1.3% from its 200-day moving average. Against every other day in its history, that gap ranks at the 42nd percentile — close to the gap it normally carries. Over the past year SYY closed higher on 49% of sessions, and it is currently 1 session into a falling streak.

On September specifically: over 14 years of records, SYY finished the month higher 4 of 14 times, with a median return of -0.6% and an average of -1.5%. Its strongest month historically has been November at +4.0% on average, its weakest March at -4.5%. Seasonality is a weak signal on its own — a decade is a small sample and regimes change — but it is a real distribution rather than a rule of thumb.

Overnight risk is measurable too: SYY has opened more than 2% away from the prior close in 66 of 3,268 sessions (2.0% of the time), with the largest gaps running +7.3% and -5.9%. For anyone holding through an event, that rate is a better guide to overnight exposure than the intraday range.

All figures computed from 3,269 daily closes between 2013-09-16 and 2026-09-15, split-adjusted, recomputed daily. Percentiles are against SYY's own 13-year history, not a peer group or index.

Sector Rotation

Is money rotating into or out of SYY's sector?

Sysco Corporation sits in the Consumer Staples sector, currently ranked 5th of 11 GICS sectors by relative-strength rotation score (improving).

Sector rank
#5 of 11
Sector state
Improving
Sector rotation score
60

Options Market

What is the options market pricing for SYY?

CallsPuts

For Sysco Corporation's nearest expiry (2026-09-18, 3 days out), open interest is call-heavy, a bullish tilt (put/call ratio of 0.47), with at-the-money implied volatility around 29.3%. The options market is pricing roughly a ±3.4% move by that expiry — a range of about $80.56–$86.20.

Put/call ratio (2026-09-18)
0.47
ATM implied volatility
29.3%
Total open interest
16,745
Expected move by 2026-09-18
±3.4% ($80.56–$86.20)

Analyst Rating Changes

Are analysts turning bullish or bearish on SYY?

UBS most recently reiterated its rating on Sysco Corporation to Buy on Aug 5, 2026 with a price target of $95 (from $90). Over the last 90 days, coverage has run 0 upgrades against 0 downgrades, a net mixed lean.

Latest action
UBS — Buy
90-day upgrades
0
90-day downgrades
0
Net rating momentum
0
DateFirmActionRatingPrice target
Aug 5, 2026UBSMaintainedBuy$90 → $95
Aug 5, 2026CitigroupMaintainedNeutral$82 → $86
Aug 5, 2026Piper SandlerMaintainedNeutral$77 → $84
Jul 16, 2026Morgan StanleyMaintainedEqual-Weight$84 → $88
Apr 29, 2026BernsteinMaintainedMarket Perform$90 → $85
Apr 29, 2026CitigroupMaintainedNeutral$78 → $80
Apr 29, 2026BarclaysMaintainedOverweight$92 → $86
Apr 7, 2026Piper SandlerMaintainedNeutral$83 → $77
Apr 2, 2026UBSMaintainedBuy$95 → $90
Apr 2, 2026CitigroupMaintainedNeutral$72 → $73
Apr 2, 2026GuggenheimMaintainedBuy$95 → $90
Mar 31, 2026CitigroupMaintainedNeutral$88 → $72

Held by These ETFs

SYY is a top holding in these ETFs tracked on DailyIQ — bar length shows portfolio weight.