Brandes Investment Partners LP Grows Stake in Sysco Corporation $SYY

Brandes Investment Partners LP raised its stake in Sysco Corporation (NYSE:SYY) by 3.9% during the fourth quarter, according to the company in its most recent Form 13F filing with the Securities & Exchange Commission. The fund owned 857,140 shares of the company’s stock after acquiring an additional 32,178 shares during the quarter. Brandes Investment Partners LP owned approximately 0.18% of Sysco worth $63,163,000 as of its most recent filing with the Securities & Exchange Commission.

A number of other hedge funds and other institutional investors have also recently added to or reduced their stakes in SYY. Norges Bank purchased a new position in Sysco in the fourth quarter valued at about $542,780,000. Wellington Management Group LLP lifted its stake in shares of Sysco by 3,977.1% during the 3rd quarter. Wellington Management Group LLP now owns 4,711,376 shares of the company’s stock valued at $387,935,000 after buying an additional 4,595,819 shares in the last quarter. Goldman Sachs Group Inc. lifted its stake in shares of Sysco by 45.0% during the 4th quarter. Goldman Sachs Group Inc. now owns 5,651,682 shares of the company’s stock valued at $416,472,000 after buying an additional 1,754,306 shares in the last quarter. Mondrian Investment Partners LTD purchased a new stake in shares of Sysco during the 3rd quarter valued at approximately $142,237,000. Finally, Marshall Wace LLP lifted its stake in shares of Sysco by 102.6% during the 3rd quarter. Marshall Wace LLP now owns 2,359,471 shares of the company’s stock valued at $194,279,000 after buying an additional 1,194,815 shares in the last quarter. 83.41% of the stock is currently owned by hedge funds and other institutional investors.

Sysco Price Performance

Shares of NYSE:SYY opened at $77.64 on Wednesday. The company’s fifty day moving average price is $74.24 and its 200-day moving average price is $78.13. The firm has a market capitalization of $37.12 billion, a price-to-earnings ratio of 21.51, a PEG ratio of 3.12 and a beta of 0.65. Sysco Corporation has a one year low of $68.19 and a one year high of $91.85. The company has a debt-to-equity ratio of 5.58, a current ratio of 1.33 and a quick ratio of 0.80.

Sysco (NYSE:SYY) last issued its quarterly earnings results on Tuesday, April 28th. The company reported $0.94 EPS for the quarter, missing analysts’ consensus estimates of $0.95 by ($0.01). The company had revenue of $20.52 billion during the quarter, compared to the consensus estimate of $20.56 billion. Sysco had a return on equity of 103.57% and a net margin of 2.08%.Sysco’s quarterly revenue was up 4.7% on a year-over-year basis. During the same period in the previous year, the company earned $0.96 EPS. Sysco has set its Q4 2026 guidance at 1.510-1.510 EPS. On average, equities research analysts anticipate that Sysco Corporation will post 4.59 earnings per share for the current fiscal year.

Sysco Increases Dividend

The business also recently declared a quarterly dividend, which will be paid on Friday, July 24th. Stockholders of record on Thursday, July 2nd will be issued a $0.55 dividend. This represents a $2.20 dividend on an annualized basis and a dividend yield of 2.8%. The ex-dividend date of this dividend is Thursday, July 2nd. This is a positive change from Sysco’s previous quarterly dividend of $0.54. Sysco’s payout ratio is currently 59.83%.

Insider Activity at Sysco

In related news, Director John M. Hinshaw purchased 13,304 shares of the firm’s stock in a transaction dated Tuesday, May 26th. The shares were purchased at an average price of $75.17 per share, with a total value of $1,000,061.68. Following the acquisition, the director directly owned 40,200 shares of the company’s stock, valued at approximately $3,021,834. This represents a 49.46% increase in their ownership of the stock. The purchase was disclosed in a legal filing with the Securities & Exchange Commission, which is available through the SEC website. 0.56% of the stock is owned by insiders.

Analyst Upgrades and Downgrades

A number of brokerages recently commented on SYY. Barclays dropped their price target on shares of Sysco from $92.00 to $86.00 and set an “overweight” rating on the stock in a research note on Wednesday, April 29th. Weiss Ratings cut shares of Sysco from a “buy (b-)” rating to a “hold (c+)” rating in a research note on Monday, March 30th. Deutsche Bank Aktiengesellschaft cut shares of Sysco from a “buy” rating to a “hold” rating and set a $84.00 price target on the stock. in a research note on Tuesday, April 28th. Guggenheim dropped their price target on shares of Sysco from $95.00 to $90.00 and set a “buy” rating on the stock in a research note on Thursday, April 2nd. Finally, Wells Fargo & Company upped their price target on shares of Sysco from $92.00 to $100.00 and gave the company an “overweight” rating in a research note on Thursday, February 19th. Nine investment analysts have rated the stock with a Buy rating and seven have given a Hold rating to the company. According to MarketBeat, the stock has a consensus rating of “Moderate Buy” and a consensus price target of $88.15.

About Sysco

Sysco Corporation (NYSE: SYY) is a global foodservice distribution company that supplies a broad range of food and related products to restaurants, healthcare and educational facilities, lodging establishments, and other foodservice customers. Its core business is the procurement, warehousing and delivery of fresh, frozen and dry food products, complemented by non-food items such as paper goods, kitchen equipment, cleaning supplies and tabletop products. Sysco serves customers through an extensive network of distribution centers and dedicated delivery fleets, positioning itself as a one-stop supplier for operators of all sizes.

Founded in 1969 and headquartered in Houston, Texas, Sysco has grown through both organic expansion and acquisitions.