You are being directed to ZacksTrade, a division of LBMZ Securities and licensed broker-dealer. ZacksTrade and Zacks.com are separate companies. The web link between the two companies is not a solicitation or offer to invest in a particular security or type of security. ZacksTrade does not endorse or adopt any particular investment strategy, any analyst opinion/rating/report or any approach to evaluating indiv idual securities.
If you wish to go to ZacksTrade, click OK. If you do not, click Cancel.
Sysco (SYY) Outpaces Stock Market Gains: What You Should Know
Sysco (SYY - Free Report) closed the most recent trading day at $77, moving +1.88% from the previous trading session. The stock outpaced the S&P 500's daily gain of 1.14%. Meanwhile, the Dow gained 1.12%, and the Nasdaq, a tech-heavy index, added 0.04%.
Wall Street will be looking for positivity from Sysco as it approaches its next earnings report date. This is expected to be November 1, 2022. In that report, analysts expect Sysco to post earnings of $0.99 per share. This would mark year-over-year growth of 19.28%. Meanwhile, our latest consensus estimate is calling for revenue of $18.63 billion, up 13.23% from the prior-year quarter.
For the full year, our Zacks Consensus Estimates are projecting earnings of $4.20 per share and revenue of $75.53 billion, which would represent changes of +29.23% and +10.05%, respectively, from the prior year.
Investors should also note any recent changes to analyst estimates for Sysco. Recent revisions tend to reflect the latest near-term business trends. As a result, we can interpret positive estimate revisions as a good sign for the company's business outlook.
Our research shows that these estimate changes are directly correlated with near-term stock prices. Investors can capitalize on this by using the Zacks Rank. This model considers these estimate changes and provides a simple, actionable rating system.
The Zacks Rank system, which ranges from #1 (Strong Buy) to #5 (Strong Sell), has an impressive outside-audited track record of outperformance, with #1 stocks generating an average annual return of +25% since 1988. The Zacks Consensus EPS estimate has moved 0.14% lower within the past month. Sysco is currently a Zacks Rank #3 (Hold).
Investors should also note Sysco's current valuation metrics, including its Forward P/E ratio of 18. This represents a premium compared to its industry's average Forward P/E of 17.52.
Also, we should mention that SYY has a PEG ratio of 1.64. This popular metric is similar to the widely-known P/E ratio, with the difference being that the PEG ratio also takes into account the company's expected earnings growth rate. SYY's industry had an average PEG ratio of 2.5 as of yesterday's close.
The Food - Miscellaneous industry is part of the Consumer Staples sector. This industry currently has a Zacks Industry Rank of 168, which puts it in the bottom 34% of all 250+ industries.
The Zacks Industry Rank gauges the strength of our industry groups by measuring the average Zacks Rank of the individual stocks within the groups. Our research shows that the top 50% rated industries outperform the bottom half by a factor of 2 to 1.
Make sure to utilize Zacks.com to follow all of these stock-moving metrics, and more, in the coming trading sessions.