Traders bought shares of SYSCO Co. (NYSE:SYY) on weakness during trading on Tuesday after the company announced weaker than expected quarterly earnings. $68.20 million flowed into the stock on the tick-up and $38.23 million flowed out of the stock on the tick-down, for a money net flow of $29.97 million into the stock. Of all companies tracked, SYSCO had the 19th highest net in-flow for the day. SYSCO traded down ($0.11) for the day and closed at $64.45The company reported $0.91 earnings per share (EPS) for the quarter, missing the Zacks’ consensus estimate of $0.92 by ($0.01). The company had revenue of $15.22 billion for the quarter, compared to analysts’ expectations of $15.39 billion. SYSCO had a net margin of 2.44% and a return on equity of 68.15%. The firm’s revenue for the quarter was up 3.9% compared to the same quarter last year. During the same period in the prior year, the firm posted $0.74 earnings per share.
A number of analysts have recently issued reports on SYY shares. ValuEngine lowered shares of SYSCO from a “buy” rating to a “hold” rating in a research note on Tuesday. Argus boosted their target price on shares of SYSCO from $67.00 to $86.00 and gave the company a “buy” rating in a research note on Thursday, August 16th. Jefferies Financial Group set a $68.00 target price on shares of SYSCO and gave the company a “hold” rating in a research note on Monday, August 13th. Zacks Investment Research lowered shares of SYSCO from a “hold” rating to a “sell” rating in a research note on Monday, July 23rd. Finally, Wells Fargo & Co upped their price objective on shares of SYSCO from $71.00 to $80.00 and gave the stock a “$70.32” rating in a research note on Wednesday, July 18th. They noted that the move was a valuation call. One equities research analyst has rated the stock with a sell rating, six have given a hold rating and six have given a buy rating to the company’s stock. The stock presently has an average rating of “Hold” and a consensus price target of $73.15.
In other SYSCO news, SVP Brian R. Todd sold 9,147 shares of the business’s stock in a transaction dated Wednesday, August 15th. The shares were sold at an average price of $73.82, for a total value of $675,231.54. Following the completion of the transaction, the senior vice president now directly owns 11,747 shares in the company, valued at $867,163.54. The sale was disclosed in a filing with the Securities & Exchange Commission, which is accessible through the SEC website. Also, Director Trian Fund Management, L.P. sold 2,115,358 shares of the business’s stock in a transaction dated Wednesday, September 12th. The stock was sold at an average price of $74.81, for a total transaction of $158,249,931.98. Following the completion of the transaction, the director now owns 4,005 shares of the company’s stock, valued at $299,614.05. The disclosure for this sale can be found here. Over the last ninety days, insiders sold 3,969,811 shares of company stock valued at $297,370,093. 7.88% of the stock is owned by insiders.
Institutional investors have recently made changes to their positions in the business. MUFG Securities EMEA plc bought a new position in SYSCO in the second quarter worth about $14,719,000. Homrich & Berg raised its holdings in SYSCO by 12.7% in the second quarter. Homrich & Berg now owns 13,659 shares of the company’s stock worth $933,000 after purchasing an additional 1,538 shares in the last quarter. Spears Abacus Advisors LLC bought a new position in SYSCO in the second quarter worth about $212,000. NumerixS Investment Technologies Inc bought a new position in SYSCO in the second quarter worth about $1,008,000. Finally, Golub Group LLC raised its holdings in SYSCO by 4.6% in the second quarter. Golub Group LLC now owns 34,278 shares of the company’s stock worth $2,341,000 after purchasing an additional 1,512 shares in the last quarter. Institutional investors and hedge funds own 80.11% of the company’s stock.
The firm has a market capitalization of $37.12 billion, a P/E ratio of 20.53, a PEG ratio of 1.93 and a beta of 0.56. The company has a current ratio of 1.21, a quick ratio of 0.74 and a debt-to-equity ratio of 3.01.
TRADEMARK VIOLATION WARNING: “Traders Buy SYSCO (SYY) on Weakness on Disappointing Earnings” was posted by Enterprise Leader and is owned by of Enterprise Leader. If you are reading this news story on another website, it was illegally stolen and reposted in violation of U.S. and international trademark & copyright law. The legal version of this news story can be read at https://theenterpriseleader.com/2018/11/07/traders-buy-sysco-syy-on-weakness-on-disappointing-earnings.html.
SYSCO Company Profile (NYSE:SYY)
Sysco Corporation, through its subsidiaries, markets and distributes a range of food and related products primarily to the foodservice or food-away-from-home industry. It operates through three segments: U.S. Foodservice Operations, International Foodservice Operations, and SYGMA. The company distributes a line of frozen foods, such as meats, seafood, fully prepared entrees, fruits, vegetables, and desserts; a line of canned and dry foods; fresh meats and seafood; dairy products; beverage products; imported specialties; and fresh produce.
See Also: Why do companies engage in swaps?
Receive News & Ratings for SYSCO Daily - Enter your email address below to receive a concise daily summary of the latest news and analysts' ratings for SYSCO and related companies with MarketBeat.com's FREE daily email newsletter.