Sysco (NYSE:SYY) Shares Gap Down – Here’s Why

Sysco Co. (NYSE:SYY) shares gapped down prior to trading on Tuesday . The stock had previously closed at $76.86, but opened at $73.80. Sysco shares last traded at $73.74, with a volume of 609,682 shares changing hands.

Analyst Ratings Changes

Several research firms have recently commented on SYY. StockNews.com cut Sysco from a “strong-buy” rating to a “buy” rating in a report on Monday. Morgan Stanley reduced their target price on Sysco from $79.00 to $77.00 and set an “equal weight” rating for the company in a report on Wednesday. Truist Financial lowered their price target on shares of Sysco from $85.00 to $83.00 and set a “buy” rating on the stock in a research note on Wednesday. Jefferies Financial Group raised their price objective on shares of Sysco from $91.00 to $95.00 and gave the company a “buy” rating in a research note on Monday, December 16th. Finally, Wells Fargo & Company lowered their target price on shares of Sysco from $87.00 to $82.00 and set an “overweight” rating on the stock in a research report on Wednesday, October 30th. Four analysts have rated the stock with a hold rating and twelve have assigned a buy rating to the company’s stock. Based on data from MarketBeat, the company currently has an average rating of “Moderate Buy” and a consensus target price of $85.21.

Sysco Stock Performance

The stock has a 50 day simple moving average of $76.43 and a 200 day simple moving average of $76.03. The company has a market cap of $35.35 billion, a price-to-earnings ratio of 18.50, a PEG ratio of 2.04 and a beta of 1.18. The company has a quick ratio of 0.73, a current ratio of 1.26 and a debt-to-equity ratio of 5.38.

Sysco (NYSE:SYY) last posted its earnings results on Tuesday, January 28th. The company reported $0.93 EPS for the quarter, hitting analysts’ consensus estimates of $0.93. Sysco had a net margin of 2.44% and a return on equity of 101.04%. During the same quarter in the previous year, the company earned $0.89 EPS. As a group, analysts predict that Sysco Co. will post 4.57 EPS for the current year.

Sysco Announces Dividend

The firm also recently announced a quarterly dividend, which was paid on Friday, January 24th. Stockholders of record on Friday, January 3rd were paid a dividend of $0.51 per share. The ex-dividend date was Friday, January 3rd. This represents a $2.04 annualized dividend and a dividend yield of 2.83%. Sysco’s dividend payout ratio is presently 52.44%.

Insider Buying and Selling

In related news, SVP Eve M. Mcfadden sold 4,036 shares of the business’s stock in a transaction dated Friday, November 1st. The shares were sold at an average price of $75.10, for a total transaction of $303,103.60. Following the completion of the sale, the senior vice president now owns 48,451 shares of the company’s stock, valued at $3,638,670.10. This represents a 7.69 % decrease in their position. The sale was disclosed in a filing with the Securities & Exchange Commission, which is accessible through this hyperlink. Also, EVP Greg D. Bertrand sold 48,027 shares of the stock in a transaction that occurred on Thursday, January 2nd. The stock was sold at an average price of $77.00, for a total value of $3,698,079.00. Following the sale, the executive vice president now owns 56,304 shares in the company, valued at $4,335,408. The trade was a 46.03 % decrease in their ownership of the stock. The disclosure for this sale can be found here. Over the last 90 days, insiders have sold 83,306 shares of company stock worth $6,485,050. 0.54% of the stock is currently owned by corporate insiders.

Hedge Funds Weigh In On Sysco

Several institutional investors have recently modified their holdings of SYY. Armstrong Advisory Group Inc. boosted its stake in Sysco by 1,240.0% during the 3rd quarter. Armstrong Advisory Group Inc. now owns 335 shares of the company’s stock valued at $26,000 after purchasing an additional 310 shares during the period. Ashton Thomas Securities LLC bought a new stake in shares of Sysco during the third quarter valued at approximately $26,000. Valley Wealth Managers Inc. acquired a new position in shares of Sysco during the third quarter worth approximately $31,000. Stonebridge Financial Group LLC bought a new position in Sysco in the 4th quarter worth approximately $31,000. Finally, Focused Wealth Management Inc acquired a new stake in Sysco in the 3rd quarter valued at approximately $37,000. Institutional investors own 83.41% of the company’s stock.

Sysco Company Profile

Sysco Corporation, through its subsidiaries, engages in the marketing and distribution of various food and related products to the foodservice or food-away-from-home industry in the United States, Canada, the United Kingdom, France, and internationally. It operates through U.S. Foodservice Operations, International Foodservice Operations, SYGMA, and Other segments.