City Holding Co. has reduced its stake in Sysco Corporation (NYSE:SYY) by 1.5%, selling 285 shares in the second quarter of 2023. The institutional investor now holds 18,455 shares valued at approximately $1.4 million following this transaction, as detailed in its recent Form 13F filing with the United States Securities and Exchange Commission.
Several institutional investors have also adjusted their positions in Sysco. Notably, Rialto Wealth Management LLC increased its holdings by an impressive 188.7% in the first quarter, acquiring an additional 217 shares to reach a total of 332 shares worth $25,000. Similarly, Golden State Wealth Management LLC raised its stake by 48.4%, owning 429 shares valued at $32,000 after purchasing 140 shares. Other firms that have made new investments in Sysco include N.E.W. Advisory Services LLC, which bought a position worth $33,000, and Cheviot Value Management LLC, which invested $34,000.
Currently, institutional investors collectively own 83.41% of Sysco’s stock, indicating strong institutional interest in the company.
Analyst Ratings and Stock Performance
Recent analyst assessments have provided insights into Sysco’s market position. UBS Group established a price target of $90.00 for Sysco shares, while Truist Financial raised its target from $81.00 to $90.00 and recommended a “buy” rating. Bank of America similarly increased its price objective from $81.00 to $93.00 with a “buy” rating. In contrast, Wall Street Zen downgraded Sysco from “buy” to “hold” status.
As it stands, ten analysts have rated Sysco with a “buy” rating and four have classified it as a “hold.” According to data from MarketBeat.com, Sysco currently enjoys a consensus rating of “Moderate Buy” with an average target price of $85.69.
On October 1, 2023, Sysco’s shares opened at $81.92. The company has recorded a debt-to-equity ratio of 6.75, a current ratio of 1.21, and a quick ratio of 0.70. Over the past year, the stock has fluctuated between a low of $67.12 and a high of $83.24.
Financial Results and Dividend Announcement
On July 29, 2023, Sysco announced its latest earnings report, revealing an earnings per share (EPS) of $1.48. This figure surpassed analysts’ expectations of $1.39 by $0.09. The company reported revenue of $21.14 billion, exceeding the anticipated $21.01 billion and reflecting a year-over-year revenue increase of 2.8%.
Looking ahead, Sysco has provided guidance for fiscal year 2026, projecting an EPS of between $4.500 and $4.600. Analysts collectively forecast an EPS of $4.58 for the current fiscal year.
In addition to its financial performance, Sysco announced a quarterly dividend to be paid on October 24, 2023. Shareholders of record by October 3, 2023 will receive a dividend of $0.54 per share, resulting in an annualized dividend of $2.16 and a yield of 2.6%.
Insider trading activity has also been notable. On July 22, 2023, Executive Vice President Greg D. Bertrand sold 40,000 shares for $3.2 million, decreasing his holdings by 41.54%. Additionally, EVP Ronald L. Phillips sold 37,606 shares for approximately $3.05 million, which represented a 55.43% reduction in his ownership.
Sysco Corporation operates as a leading distributor of food and related products to the foodservice industry across the United States, Canada, the United Kingdom, France, and beyond. Its business segments include U.S. Foodservice Operations, International Foodservice Operations, SYGMA, and other divisions, further solidifying its presence in the global market.
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