Primecap Management Co. CA Acquires Shares of 3,750,929 Sysco Corporation $SYY

Primecap Management Co. CA purchased a new position in shares of Sysco Corporation (NYSE:SYY) during the 2nd quarter, according to its most recent 13F filing with the Securities and Exchange Commission (SEC). The fund purchased 3,750,929 shares of the company’s stock, valued at approximately $313,503,000. Primecap Management Co. CA owned about 0.78% of Sysco as of its most recent filing with the Securities and Exchange Commission (SEC).

Other institutional investors have also added to or reduced their stakes in the company. Canada Pension Plan Investment Board purchased a new position in shares of Sysco in the 2nd quarter worth approximately $42,263,000. Element Capital Management LLC purchased a new stake in shares of Sysco during the second quarter valued at approximately $1,178,000. Kinloch Capital LLC bought a new stake in Sysco during the second quarter worth $4,291,000. Legal & General Group Plc bought a new stake in Sysco during the second quarter worth $195,915,000. Finally, The Manufacturers Life Insurance Company purchased a new position in Sysco in the second quarter worth $121,301,000. 83.41% of the stock is owned by institutional investors.

Insiders Place Their Bets

In other Sysco news, EVP Ronald L. Phillips sold 506 shares of the stock in a transaction on Monday, August 24th. The shares were sold at an average price of $84.09, for a total transaction of $42,549.54. Following the completion of the sale, the executive vice president owned 36,313 shares of the company’s stock, valued at $3,053,560.17. This represents a 1.37% decrease in their position. The sale was disclosed in a filing with the SEC, which is available at the SEC website. The transaction was executed under a pre-arranged Rule 10b5-1 trading plan. The sale was made to cover tax withholding obligations related to the vesting of equity awards. Insiders sold a total of 14,508 shares of company stock valued at $1,215,250 in the last ninety days. Insiders own 0.56% of the company’s stock.

Sysco Trading Down 0.4%

Shares of SYY stock opened at $83.50 on Wednesday. The company has a market capitalization of $40.01 billion, a PE ratio of 22.81, a price-to-earnings-growth ratio of 2.86 and a beta of 0.64. Sysco Corporation has a 52-week low of $68.19 and a 52-week high of $91.85. The business’s fifty day moving average is $82.82 and its 200 day moving average is $80.61. The company has a debt-to-equity ratio of 4.62, a quick ratio of 0.77 and a current ratio of 1.28.

Sysco (NYSE:SYY) last issued its quarterly earnings results on Tuesday, August 4th. The company reported $1.53 EPS for the quarter, topping analysts’ consensus estimates of $1.51 by $0.02. Sysco had a net margin of 2.08% and a return on equity of 95.05%. The firm had revenue of $22.12 billion for the quarter, compared to analyst estimates of $21.95 billion. During the same quarter in the prior year, the firm earned $1.48 EPS. The business’s revenue for the quarter was up 4.7% compared to the same quarter last year. Sysco has set its FY 2027 guidance at 5.025-5.117 EPS and its Q1 2027 guidance at 1.180-1.200 EPS. On average, equities research analysts anticipate that Sysco Corporation will post 5.12 EPS for the current fiscal year.

Sysco Announces Dividend

The business also recently disclosed a quarterly dividend, which will be paid on Friday, October 23rd. Shareholders of record on Friday, October 2nd will be given a $0.55 dividend. The ex-dividend date is Friday, October 2nd. This represents a $2.20 annualized dividend and a yield of 2.6%. Sysco’s payout ratio is presently 60.11%.

Wall Street Analysts Forecast Growth

Several research firms recently weighed in on SYY. Citigroup increased their price target on shares of Sysco from $82.00 to $86.00 and gave the company a “neutral” rating in a research report on Wednesday, August 5th. Morgan Stanley lifted their price objective on shares of Sysco from $84.00 to $88.00 and gave the stock an “equal weight” rating in a research report on Thursday, July 16th. Wall Street Zen cut shares of Sysco from a “buy” rating to a “hold” rating in a research note on Saturday, May 2nd. Barclays decreased their price target on shares of Sysco from $92.00 to $86.00 and set an “overweight” rating for the company in a research note on Wednesday, April 29th. Finally, Sanford C. Bernstein lowered their price target on shares of Sysco from $90.00 to $85.00 and set a “market perform” rating on the stock in a report on Wednesday, April 29th. Nine investment analysts have rated the stock with a Buy rating, six have issued a Hold rating and one has assigned a Sell rating to the company’s stock. According to MarketBeat, the stock presently has an average rating of “Moderate Buy” and a consensus price target of $89.50.

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.