ET 13:13

Sysco (SYY) lags S&P 500 as analysts cite weak volume growth and cash flow

IMP3.0
SNT-0.4
CONF40%
Narrative

Sysco Corp. (SYY) traded at $72.71 on May 13, 2026, after falling 3.7% over the prior six months, trailing the S&P 500’s 7.1% gain, according to a StockStory analysis that urged caution on the food distributor’s shares. The report cited three concerns: average unit sales growth of 1.1% year over year over the past two years, a trailing 12-month free cash flow margin of 2.2% that analysts expect to remain unchanged over the next year, and declining return on invested capital. Sysco’s ROIC has fallen by an average of 2.6 percentage points annually in recent years, the report said. Sysco trades at 15.2 times forward earnings, a valuation the analysis described as reasonable but not enough to offset weaker operating trends. The report said investors may find better opportunities in digital advertising stocks, though it did not name a specific alternative.

EditorTan Wei Jie