Stock analysis · Bull Rankings model

SYY analysis

Sysco CorporationFood Distribution. Scored on the same transparent model behind the daily rankings.

SYY
Sysco Corporation · Food Distribution
FCF$1.8bC+
Rev+3.4%C+
D/E5.61D
P/E23.0xB
PEG1.55C+
58.8Score
$84.10$40.2B
1Y Target$90.31Analyst consensus · 13 analysts
5Y Target$132.22Compound horizon
10Y Target$196.14Long-dated conviction
FCF$1.8bTTM
C+
FCF $1.8b — respectable but not differentiating
Rev+3.4%TTM YoY
C+
Revenue +3.4% — steady but below market-beating range
D/E5.61
D
D/E 5.61 — most levered decile in Consumer Defensive (≈95th pctile)
P/E23.0x
B
P/E 23.0 — near the Consumer Defensive median (≈60th pctile)
PEG1.55
C+
PEG 1.55 — modest premium; above fair value

Forward price target — the 1-year figure is the analyst consensus where the stock is covered; the 5- and 10-year figures compound our earnings estimate from there. The DCF below is a separate cross-check on intrinsic value (what it's worth today), not another target.

Quality-growth score · 58.8
Quality70.5
Growth62.8
Value45.9
Why this score
  • Durable high returns
Entry · Margin of safety
52-week rangeNear 52-week high
8% off the 12-month high
vs DCF fair value1% aboveest. fair value ~$83
What the price assumes: free cash flow compounding at ~5% a year for the next decade — vs the ~6% a year our model projects from current growth and analyst estimates.
Quality signals · context only
Gross profitability55% · Agross profit ÷ total assets (Novy-Marx)
ROIC18.4% · A-return on invested capital — not score-weighted

Model-generatedGenerated by the Bull Rankings model from this company's reported fundamentals, and checked against the figures shown above.

Why now
Food Distribution · market cap $40.2b. 8% off the 52-week high of $91.85. 13 sell-side analysts rate this a Buy with a mean 1-yr target of $90.31 (implying +7% upside).
Moat
ROE 76% — top-decile capital efficiency. Either pricing leverage, low capital intensity, or aggressive buybacks; the durability story depends on which. FCF converts 105% of net income — earnings translate cleanly into cash, a sign that working capital and capex are well-disciplined.
Risk
D/E 5.61 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 $90.31 (13-analyst consensus) — fundamentals + valuation re-rating. 5 yr $132.22 at ~9% CAGR — compounding case rests on the competitive position widening. 10 yr $196.14 if current growth sustains into durable earnings power.
Not investment advice. The Bull Rankings publishes a quantitative ranking model and accompanying analysis for general informational purposes only. Nothing on this page is a recommendation to buy, sell, or hold any security; nothing is personalized to your circumstances, risk tolerance, or tax situation. Investing carries the risk of loss — invest at your own risk and consider consulting a licensed financial professional before acting on anything you read here. See terms and methodology for full disclosures.

SYY vs the Top Picks average

PillarSYYBook avgDiff
Quality0.710.84-0.13
Growth0.630.84-0.21
Value0.460.78-0.32

Averaged across the 30 names in today's Top Picks (mean score 81.5). A name can beat these averages and still be absent from the book — it also applies concentration limits.

Trend
-3.4 over 45 daily scores
From 62.2 (Jun 22) → 58.8 (now)

One point per daily model run. The range autoscales, so a flat-looking line can still hide 1–2 point moves — read the From → To values for the actual range.

Analyst estimate revisions

30-day change+8.4%
90-day change+8.5%
Forward EPS estimate$5.37

Over the last 90 days, what analysts expect SYY to earn is materially higher (+8.5%). 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.

A rising estimate means expectations are improving, not that the price has failed to keep up — and estimates get cut as readily as they get raised. It is not part of the Bull Rankings score. Biggest movers across the market →

Shares to buy
23
Position size
$1,934
3.9% of portfolio
Stop price
$63.07
25% below $84.10
$ at risk if stopped
$483.57
budget $500.00 · 1% of portfolio

Math only — share count is floor(portfolio × risk% ÷ (price × stop%)). Doesn't account for commissions, slippage, gap risk, or position-correlation across your book. Inputs persist locally; never sent to the server. Not investment advice.

Sysco Corporation (SYY): score, valuation & FAQ

Sysco Corporation (SYY) is a Food Distribution company that scores 58.8 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.

The model flags D/E (D) as weaker areas. On valuation, SYY sits close to our DCF fair-value estimate (within a few percent) — the current price implies roughly 5% annual free-cash-flow growth over the next decade.

Is SYY a good stock to buy?

Bull Rankings scores SYY 58.8 out of 100 on its quality-growth model, which is a middling reading. 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 58.8 on Bull Rankings?

The quality-growth score blends three pillars — quality (returns on capital, margins, leverage, earnings quality), growth (revenue and earnings expansion), and value (valuation versus sector peers). SYY grades middle-of-pack across the strip, and is held back by D/E (D). Each pillar is graded against sector-aware thresholds, then combined into the single 0–100 score.

Is SYY overvalued or undervalued?

Based on $84.10, SYY sits close to our DCF fair-value estimate (within a few percent) — the current price implies roughly 5% annual free-cash-flow growth over the next decade. It trades at a 23.0x 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 5.61 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? The guides explain free cash flow, how the score works, and more in the learn hub — or run another name through the screener.

Bull Rankings is an automated fundamentals screen for research and education. It is not investment advice, and nothing here is a recommendation to buy or sell any security. Do your own research and consider consulting a licensed financial advisor.

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