Bull Rankings model

Sysco Corporation (SYY) stock analysis

Food Distribution. Scored on the same transparent model behind the daily rankings.

★
SYY
Sysco Corporation · Food Distribution
52.9Score
$78.14Oct 9 close$38.4B
1Y Target$90.83Analyst consensus · 12 analysts
5Y Target$132.99Compound horizon
10Y Target$197.28Long-dated conviction
FCF$1.9bTTM · 06/26
C+
FCF $1.9b — respectable but not differentiating · TTM from SEC filings (OCF − CapEx), four quarters to 06/26.
Rev+3.9%TTM YoY
C+
Revenue +3.9% — steady but below market-beating range · Latest four quarters of revenue vs the four before them, from SEC filings.
D/E5.65
D
D/E 5.65 — most levered decile in Consumer Defensive (≈95th pctile)
P/E21.3x
B
P/E 21.3 — near the Consumer Defensive median (≈60th pctile)
PEG1.09
B+
PEG 1.09 — near fair value (1.0 is the usual benchmark)

Targets: 1-year is analyst consensus where covered, 5- and 10-year are model estimates; the DCF is a cross-check, not a target. Methodology

Quality-growth score · 52.9
Quality71.4
Growth53.5
Value38.7
Why this score
  • Durable high returns
Entry · Margin of safety
52-week rangeMid-range
15% off the 12-month high
vs DCF fair value9% belowest. fair value ~$86
What the price assumes: free cash flow growing about 3% next year, rising to 4% a year by year ten — vs a starting rate of ~6% our model takes as the middle of three readings — analyst estimates, last year's revenue growth, and the company's own multi-year record.
Quality signals
Gross profitability55% · Agross profit ÷ total assets — not in the score
ROIC18.4% · A-return on invested capital — leads the quality score

Model-generatedFrom reported fundamentals, checked against the figures above · Editorial standards

Why now
Food Distribution · market cap $38.4b. 15% off the 52-week high of $91.85. 12 sell-side analysts rate this a Buy with a mean 1-yr target of $90.83 (implying +16% upside).
Moat
ROE 66% — top-decile capital efficiency. Either pricing leverage, low capital intensity, or aggressive buybacks; the durability story depends on which. FCF converts 110% of net income — earnings translate cleanly into cash.
Risk
D/E 5.65 is elevated — limits strategic flexibility and raises refinancing exposure if rates stay higher for longer. Net margin 2.1% is thin — operating leverage cuts both ways; input-cost inflation or pricing pressure hits the bottom line first.
Horizon
1-3 yr $90.83 (12-analyst consensus) — fundamentals + valuation re-rating. 5 yr $132.99 at ~11% CAGR — compounding case rests on the competitive position widening. 10 yr $197.28 if current growth sustains into durable earnings power.

SYY vs the Top Picks average

PillarSYYBook avgDiff
Quality7183-12
Growth5489-35
Value3976-37

Average of today's Top 30 (mean score 82.6); size and sector limits also decide the book.

Trend
-9.3 over 80 daily scores
From 62.2 (Jun 22) → 52.9 (now)

One point per daily run; read From → To for the actual range.

SYY at a glance

THE BULL RANKINGS SCORECARD52.9/ 100 · BULL SCOREPEER MEDIANQUALITY71.4GROWTH53.5VALUE38.7Reverse-DCF · Price implies ~3% growth a year from here.
PRICE vs OUR DCF FAIR VALUE$83.1$89.3FAIR-VALUE RANGE$78.1PRICEOur DCF fair value ~$85.6 · price $78.1 is 9% below it.
PRICE IN ITS 52-WEEK RANGE$78.1LOW $68.2HIGH $91.9Trading at the 42nd percentile of its 52-week range ($68.2–$91.9).
WHERE THIS SCORE SITS0255075100SYY 52.9Top 41% of 1,709 companies on the quality-growth score.

Same audited fundamentals as the score, unless a card says otherwise.

Analyst estimate revisions

30-day change-0.3%
90-day change+8.2%
Forward EPS estimate$5.37

Over the last 90 days, what analysts expect SYY to earn is materially higher (+8.2%). The estimate is derived from price and forward P/E captured at the same instant, so a moving share price does not move this number — only a changed forecast does.

Estimates move both ways and are not part of the Bull Rankings score. Biggest movers →

Shares to buy
25
Position size
$1,954
3.9% of portfolio
Stop price
$58.61
25% below $78.14
$ at risk if stopped
$488.38
budget $500.00 · 1% of portfolio

Math only: excludes commissions, slippage and gap risk. Inputs stay in your browser.

Sysco Corporation (SYY): score, valuation & FAQ

Sysco Corporation (SYY) is a Food Distribution company that scores 52.9 out of 100 on the Bull Rankings quality-growth model — a middling reading. The score blends three pillars — quality (durable returns, healthy margins, low leverage), growth (revenue and earnings), and value (valuation versus sector peers) — into one number, refreshed daily; it is a screen, not a buy recommendation.

Its strongest graded signals are PEG (B+), while D/E (D) rate weaker. On valuation, SYY sits about 9% below our discounted-cash-flow fair value (a margin of safety) — the current price implies free cash flow growing about 3% next year, rising to 4% a year by year ten.

Is SYY a good stock to buy?

Bull Rankings scores SYY 52.9 out of 100 on its quality-growth model, which is a middling reading. That is driven by PEG (B+). A score is a quantitative screen of Sysco Corporation's fundamentals, not personalised financial advice — weigh it against your own time horizon and risk tolerance, and read the risk factors below before acting.

Why does SYY score 52.9 on Bull Rankings?

The score leans on quality at 71.4 out of 100, with value the weakest pillar at 38.7 — the three combine geometrically, so a weak one cannot be papered over by a strong one. SYY earns its highest marks on PEG (B+), and is held back by D/E (D). Each signal is graded against sector-aware thresholds rather than one absolute bar, so SYY is measured against Food Distribution peers, not against the market as a whole.

Is SYY overvalued or undervalued?

Based on $78.14, SYY sits about 9% below our discounted-cash-flow fair value (a margin of safety) — the current price implies free cash flow growing about 3% next year, rising to 4% a year by year ten. It trades at a 21.3x P/E (graded B). Discounted-cash-flow estimates are sensitive to growth and discount-rate assumptions, so treat this as a cross-check, not a price target.

What are the main risks of investing in SYY?

D/E 5.65 is elevated — limits strategic flexibility and raises refinancing exposure if rates stay higher for longer. Net margin 2.1% is thin — operating leverage cuts both ways; input-cost inflation or pricing pressure hits the bottom line first.

New to these metrics? See the guides and the methodology.

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