Sysco Corp. Now Covered by Jefferies Group (SYY)
Stock analysts at Jefferies Group initiated coverage on shares of Sysco Corp. (NYSE:SYY) in a report issued on Monday, TheFlyOnTheWall.com reports. The firm set a “hold” rating and a $30.00 price target on the stock. Jefferies Group’s price objective points to a potential downside of 5.15% from the company’s current price.
The analysts wrote, “While Sysco enjoys scale advantages as the largest player in the US food-service industry, restaurant industry traffic trends have been sluggish and we are concerned that margins could continue to disappoint. While the operating environment and margin outlook is not encouraging, the company’s 3.7% dividend yield provides support while investors wait for fundamentals to turn.”
Shares of Sysco Corp. (NYSE:SYY) opened at 31.63 on Monday. Sysco Corp. has a 52 week low of $29.75 and a 52 week high of $36.05. The stock’s 50-day moving average is $32.21 and its 200-day moving average is $33.94. The company has a market cap of $18.609 billion and a price-to-earnings ratio of 18.94.
Sysco Corp. (NYSE:SYY) last issued its quarterly earnings data on Monday, August 12th. The company reported $0.50 earnings per share for the quarter, missing the analysts’ consensus estimate of $0.54 by $0.04. The company had revenue of $11.60 billion for the quarter, compared to the consensus estimate of $11.62 billion. During the same quarter last year, the company posted $0.62 earnings per share. Sysco Corp.’s revenue was up 5.0% compared to the same quarter last year.
Several other analysts have also recently commented on the stock. Analysts at Deutsche Bank initiated coverage on shares of Sysco Corp. in a research note to investors on Wednesday, September 25th. They set a “hold” rating and a $33.00 price target on the stock. Separately, analysts at JPMorgan Chase & Co. cut their price target on shares of Sysco Corp. from $38.00 to $35.00 in a research note to investors on Tuesday, August 13th. They now have a “neutral” rating on the stock. Finally, analysts at Citigroup Inc. cut their price target on shares of Sysco Corp. from $35.00 to $34.00 in a research note to investors on Tuesday, August 13th. They now have a “neutral” rating on the stock. Five equities research analysts have rated the stock with a sell rating, seven have assigned a hold rating and two have assigned a buy rating to the company. The stock has an average rating of “Hold” and a consensus price target of $32.15.
Sysco Corporation (NYSE:SYY), along with its subsidiaries and divisions, is a North American distributor of food and related products primarily to the foodservice or food-away-from-home industry.
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