Sysco CorporationSYY
NYSE•Consumer Defensive•Food Distribution
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. The company distributes frozen food, such as meat, seafood, fully prepared entrées, fruits, vegetables, and desserts; canned and dry food products; fresh meat and seafood products; dairy products; beverages; imported specialties; and fresh produce products. It also supplies various non-food items, including paper products comprising disposable napkins, plates, and cups; tableware consisting of glassware and silverware; cookware, such as pots, pans, and utensils; restaurant and kitchen equipment and supplies; and cleaning supplies. It serves restaurants, hospitals and nursing facilities, schools and colleges, hotels and motels, industrial caterers, and other foodservice venues. Sysco Corporation was incorporated in 1969 and is headquartered in Houston, Texas.
Sysco Corporation (SYY) reported trailing twelve months revenue of $83.57B as of March 2026, a 3.4% increase year-over-year. Quarterly revenue reached $20.52B, reflecting continued top-line momentum.
Sysco Corporation generated $1.74B in TTM net income, with quarterly EBITDA of $870.00M. The operating margin contracted from 3.5% to 3.0%, suggesting rising cost pressures or pricing headwinds.
The spread between operating margin (3.0%) and net margin (1.7%) indicates tight cost control with minimal non-operating drag. Net margin has narrowed from 2.0% a year ago, reflecting increased costs or interest expense.
SYY trades at a P/E of 22.6x (in line with broad market averages) and a P/S of 0.5x. The price-to-book ratio of 17.1x indicates a significant premium over book value.
The company generated $691.00M in free cash flow over the trailing twelve months, a 11.5% increase year-over-year, indicating cash generation ability. The balance sheet shows $27.98B in total assets with $12.82B in long-term debt against $2.30B in stockholders equity for a debt-to-equity ratio of 5.6, a relatively leveraged position. Data based on the most recent quarterly reports.
Competitive analysis based on 21 quarters of fundamental data
Operating margins are positive at ~3.8% on average, but show some variability — pricing power may be sensitive to market conditions.
Consistently high ROE averaging 91.3% suggests a durable competitive advantage and efficient capital allocation.
6 of the last 8 quarters generated positive FCF. The company generally funds itself but has occasional cash consumption quarters.
TTM revenue has grown consistently (7 of 7 quarters up), with ~6.0% growth over the period. Strong demand durability.
Data-driven red flags and warnings across 21 quarters
Operating margins declined 8.7% — watch for continued compression, which may signal competitive or cost pressure.
FCF/Net Income has dropped below 0.7x in 3 quarters — monitor for earnings quality deterioration.
D/E ratio is 5.6 — dangerously high. The company is heavily leveraged and vulnerable to rising rates or cash flow dips.
Revenue is stable or growing over recent quarters — demand appears durable.
FCF turned negative in 2 of the last 8 quarters — occasional cash consumption.
Shares decreased 3.3% — net buybacks are reducing shares outstanding and boosting per-share value.
Quarterly standardized metrics.
Stock price and market valuation
Revenue and earnings growth across quarters
Assets, cash, debt, and leverage
Price multiples and return ratios
Operating efficiency and return metrics
Free cash flow, earnings quality, and capital allocation