Undervalued-Stock.com issues BUY rating for Sysco Corp (SYY $26.70)
Undervalued-Stock.com issues BUY rating for Sysco Corp (SYY $26.70)
Undervalued-Stock.com stock ratings use the following factors:
Sysco Corporation (SYY) is the global leader in marketing and distributing food products to restaurants, healthcare and educational facilities, hotels and inns, and other foodservice and hospitality businesses. The company is headquartered in the Energy Corridor district of Houston, Texas. Sysco, an acronym for Systems and Services Company, servicing over 400,000 customers which include a wide array of clientele, is the world's largest broadline food distributor. Management consulting is also an integral part of their services. As of July 2, 2005, the company operated 170 facilities throughout the United States and Canada. Most recently, Sysco expanded its operation into Ireland with the purchase of a local food distribution firm. The company was founded by Herbert Irving and John F. Baugh in 1969. The company became public on March 3, 1970. On July 20, 2009, Fortune magazine ranked Sysco #204 in the annual Fortune 500 companies in world based on sales volume. On May 3, 2010, Fortune Magazine ranked Sysco as the 7th largest Fortune 500 Company in Texas and 55th largest in the US by total revenue. Sysco competes with national distributors U.S. Foodservice, Performance Food Group, and Edward Don and Company, as well as regional companies such as Gordon Food Service, Ben E. Keith, Maines Food and Paper, and local foodservice distributors. Sysco is also the largest non-oil related company in Houston and the 3rd largest non-oil related company in Texas (Behind AT&T and Dell). Source: Wikipedia
ANNUAL REPORT (10-K) EXCERPT
Overview
Sysco Corporation, acting through its subsidiaries and divisions, is the largest North American distributor of food and related products primarily to the foodservice or food-away-from-home industry. We provide products and related services to approximately 400,000 customers, including restaurants, healthcare and educational facilities, lodging establishments and other foodservice customers.
Founded in 1969, Sysco commenced operations as a public company in March 1970 when the stockholders of nine companies exchanged their stock for Sysco common stock. Since our formation, we have grown from $115.0 million to $39.3 billion in annual sales, both through internal expansion of existing operations and through acquisitions.
Undervalued-Stock.com stock ratings use the following factors:
- a stable earnings history
- price to earnings (P/E) ratio is below 10-year average
- earnings growth over the past 10 years
- credit rating
- recession performance
- price to book ratio is below historical average
- competitive position
- market share
- successful business executions
- business type and size
Sysco Corporation (SYY) is the global leader in marketing and distributing food products to restaurants, healthcare and educational facilities, hotels and inns, and other foodservice and hospitality businesses. The company is headquartered in the Energy Corridor district of Houston, Texas. Sysco, an acronym for Systems and Services Company, servicing over 400,000 customers which include a wide array of clientele, is the world's largest broadline food distributor. Management consulting is also an integral part of their services. As of July 2, 2005, the company operated 170 facilities throughout the United States and Canada. Most recently, Sysco expanded its operation into Ireland with the purchase of a local food distribution firm. The company was founded by Herbert Irving and John F. Baugh in 1969. The company became public on March 3, 1970. On July 20, 2009, Fortune magazine ranked Sysco #204 in the annual Fortune 500 companies in world based on sales volume. On May 3, 2010, Fortune Magazine ranked Sysco as the 7th largest Fortune 500 Company in Texas and 55th largest in the US by total revenue. Sysco competes with national distributors U.S. Foodservice, Performance Food Group, and Edward Don and Company, as well as regional companies such as Gordon Food Service, Ben E. Keith, Maines Food and Paper, and local foodservice distributors. Sysco is also the largest non-oil related company in Houston and the 3rd largest non-oil related company in Texas (Behind AT&T and Dell). Source: Wikipedia
ANNUAL REPORT (10-K) EXCERPT
Overview
Sysco Corporation, acting through its subsidiaries and divisions, is the largest North American distributor of food and related products primarily to the foodservice or food-away-from-home industry. We provide products and related services to approximately 400,000 customers, including restaurants, healthcare and educational facilities, lodging establishments and other foodservice customers.
Founded in 1969, Sysco commenced operations as a public company in March 1970 when the stockholders of nine companies exchanged their stock for Sysco common stock. Since our formation, we have grown from $115.0 million to $39.3 billion in annual sales, both through internal expansion of existing operations and through acquisitions.
| Item 6. | Selected Financial Data |
| Fiscal Year | ||||||||||||||||||||
| 2010 |
||||||||||||||||||||
| 2011 | (53 Weeks) | 2009 | 2008 | 2007 | ||||||||||||||||
| (In thousands except for per share data) | ||||||||||||||||||||
|
Sales |
$ | 39,323,489 | $ | 37,243,495 | $ | 36,853,330 | $ | 37,522,111 | $ | 35,042,075 | ||||||||||
|
Operating income |
1,931,502 | 1,975,868 | 1,872,211 | 1,879,949 | 1,708,482 | |||||||||||||||
|
Earnings before income taxes
|
1,827,454 | 1,849,589 | 1,770,834 | 1,791,338 | 1,621,215 | |||||||||||||||
|
Income taxes |
675,424 | 669,606 | 714,886 | 685,187 | 620,139 | |||||||||||||||
|
Net earnings |
$ | 1,152,030 | $ | 1,179,983 | $ | 1,055,948 | $ | 1,106,151 | $ | 1,001,076 | ||||||||||
|
Net earnings: |
||||||||||||||||||||
|
Basic earnings per share
|
$ | 1.96 | $ | 1.99 | $ | 1.77 | $ | 1.83 | $ | 1.62 | ||||||||||
|
Diluted earnings per share
|
1.96 | 1.99 | 1.77 | 1.81 | 1.60 | |||||||||||||||
|
Dividends declared per share
|
$ | 1.03 | $ | 0.99 | $ | 0.94 | $ | 0.85 | $ | 0.74 | ||||||||||
|
Total assets |
$ | 11,385,555 | $ | 10,313,701 | $ | 10,148,186 | $ | 10,010,615 | $ | 9,475,365 | ||||||||||
|
Capital expenditures
|
636,442 | 594,604 | 464,561 | 515,963 | 603,242 | |||||||||||||||
|
Current maturities of long-term
debt |
$ | 207,031 | $ | 7,970 | $ | 9,163 | $ | 4,896 | $ | 3,568 | ||||||||||
|
Long-term debt |
2,279,517 | 2,472,662 | 2,467,486 | 1,975,435 | 1,758,227 | |||||||||||||||
|
Total long-term debt
|
2,486,548 | 2,480,632 | 2,476,649 | 1,980,331 | 1,761,795 | |||||||||||||||
|
Shareholders’ equity
|
4,705,242 | 3,827,526 | 3,449,702 | 3,408,986 | 3,278,400 | |||||||||||||||
|
Total capitalization
|
$ | 7,191,790 | $ | 6,308,158 | $ | 5,926,351 | $ | 5,389,317 | $ | 5,040,195 | ||||||||||
|
Ratio of long-term debt to
capitalization |
34.6 | % | 39.3 | % | 41.8 | % | 36.8 | % | 35.0 | % | ||||||||||
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