Sysco Corporation (SYY)

FairStock Score: 45/100 — MIXED

Key Financials

AI Analysis

AI-generated, general educational analysis — not personal investment advice.

At the 2026-10-26 close of $82.16, FairStock's calculations show a P/E of 22.45, P/B of 14.75, EV/EBITDA of 12.66, FCF yield of 4.9%, and Graham Number of $21.42—so the price is far above a Graham-style value and offers no margin of safety. Sysco is a scale distributor: in fiscal 2026, ended 2026-06-27, revenue was $84.6B versus $81.4B in fiscal 2025, ended 2025-06-28, yet net income was $1.8B in both years and diluted EPS fell to $3.66 from $3.73. In fiscal Q3 2026, the quarter ended 2026-03-28, revenue was $20.5B versus $19.6B in fiscal Q3 2025, the quarter ended 2025-03-29, but net income fell to $340.0M from $401.0M and diluted EPS to $0.71 from $0.82. That tells me the top line can grow while thin distributor margins absorb pressure. The business has advantages in scale, purchasing, and customer relationships, but food distribution is competitive and thin-margin. Piotroski 7/9 and $1.9B trailing FCF are constructive, and the 2.78% dividend yield with beta 0.63 fits a defensive profile. Still, ROE is 77.69%, but that is flattered by a D/E of 5.65; ROCE is only 7.97%, Altman Z is 2.60, and FairStock Score is 43/100. FairStock labels it a FAST GROWER based on five-year profit and revenue growth, but fiscal 2026 diluted EPS fell from $3.73 to $3.66. I see a decent business, not a cheap one.

In plain English: Sysco sells and delivers food and related products to restaurants, hospitals, schools and other foodservice customers. In the fiscal year ended 2026-06-27, sales rose from fiscal 2025, but net income was about flat and profit per share slipped. At the 2026-10-26 closing price, the stock looks expensive versus basic value measures and not clearly cheap versus its earnings and cash flow.

The full AI analysis, bull and bear case and key monitorables are in FairStock Pro.

Data as of 2026-10-26 close · note generated 2026-10-28 · model deepseek-flash

Sources (SEC EDGAR): fiscal Q3 2026 10-Q (period ended 2026-03-28) · fiscal Q2 2026 10-Q (period ended 2025-12-27) · fiscal Q1 2026 10-Q (period ended 2025-09-27) · fiscal Q3 2025 10-Q (period ended 2025-03-29) · FY2026 10-K (period ended 2026-06-27) · FY2025 10-K (period ended 2025-06-28) · FY2024 10-K (period ended 2024-06-29)

Fundamentals from company filings and market-data providers; prices are end-of-day, not real-time. AI-generated analysis is general and educational — not personal investment advice. Scoring methodology · Score test · Disclaimer