Sysco Co. (NYSE:SYY) to Issue Quarterly Dividend of $0.51

Sysco Co. (NYSE:SYY) declared a quarterly dividend on Tuesday, November 19th,Wall Street Journal reports. Shareholders of record on Friday, January 3rd will be given a dividend of 0.51 per share on Friday, January 24th. This represents a $2.04 annualized dividend and a yield of 2.74%. The ex-dividend date is Friday, January 3rd.

Sysco has increased its dividend by an average of 3.2% per year over the last three years and has increased its dividend annually for the last 56 consecutive years. Sysco has a payout ratio of 44.6% indicating that its dividend is sufficiently covered by earnings. Analysts expect Sysco to earn $4.94 per share next year, which means the company should continue to be able to cover its $2.04 annual dividend with an expected future payout ratio of 41.3%.

Sysco Stock Performance

Shares of SYY stock traded down $1.36 during midday trading on Tuesday, hitting $74.40. The company had a trading volume of 2,811,832 shares, compared to its average volume of 3,150,721. The company’s 50 day simple moving average is $75.87 and its 200 day simple moving average is $74.75. Sysco has a 52-week low of $69.03 and a 52-week high of $82.89. The stock has a market cap of $36.55 billion, a price-to-earnings ratio of 19.23, a PEG ratio of 1.97 and a beta of 1.20. The company has a debt-to-equity ratio of 5.38, a current ratio of 1.26 and a quick ratio of 0.73.

Sysco (NYSE:SYY) last announced its quarterly earnings data on Tuesday, October 29th. The company reported $1.09 earnings per share for the quarter, missing analysts’ consensus estimates of $1.13 by ($0.04). Sysco had a return on equity of 101.04% and a net margin of 2.44%. The business had revenue of $20.48 billion for the quarter, compared to analyst estimates of $20.47 billion. During the same period in the prior year, the company earned $1.07 EPS. The company’s revenue was up 4.4% on a year-over-year basis. Research analysts anticipate that Sysco will post 4.57 earnings per share for the current fiscal year.

Analyst Upgrades and Downgrades

Several analysts have weighed in on the company. Jefferies Financial Group upped their target price on Sysco from $91.00 to $92.00 and gave the company a “buy” rating in a report on Wednesday, September 25th. Wells Fargo & Company reduced their target price on Sysco from $87.00 to $82.00 and set an “overweight” rating on the stock in a research report on Wednesday, October 30th. Barclays increased their target price on Sysco from $85.00 to $88.00 and gave the company an “overweight” rating in a research note on Wednesday, July 31st. JPMorgan Chase & Co. increased their target price on Sysco from $85.00 to $88.00 and gave the company an “overweight” rating in a research note on Monday, September 16th. Finally, StockNews.com lowered Sysco from a “strong-buy” rating to a “buy” rating in a research note on Monday, October 21st. Two analysts have rated the stock with a hold rating and twelve have issued a buy rating to the company. According to data from MarketBeat.com, the company currently has an average rating of “Moderate Buy” and a consensus price target of $85.77.

Insider Activity at Sysco

In related news, SVP Eve M. Mcfadden sold 4,036 shares of the business’s stock in a transaction dated Friday, November 1st. The stock was sold at an average price of $75.10, for a total transaction of $303,103.60. Following the transaction, the senior vice president now directly owns 48,451 shares in the company, valued at $3,638,670.10. The trade was a 7.69 % decrease in their ownership of the stock. The sale was disclosed in a legal filing with the SEC, which is available at this link. Corporate insiders own 0.54% of the company’s stock.

About Sysco

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.