SYY (Sysco Corporation, $72.83) is one of America’s leading foodservice distributor. Found in the “Consumer Defensive” sector on the NYSE, this powerhouse controls more than 17%, approx. $300 billion in its market. From servicing educational facilities to hospitals, the company stays on top by staying committed to one of the things they see most important, goals.
— Jim Cramer (@jimcramer) August 13, 2018
(Even Jim Cramer has his own humble opinion on SYY)
SYY has consistently created and completed their goals and keep a 3-year plan to hold themselves accountable to. This year they have a plan to finish strong with only three goals in mind:
- “Enriching the Customer Experience,”
- “Delivering Operational Excellence,”
- “Optimizing the Business and Activating the Power of Our People.”
Improving the company from the inside out, the company also set strong goals for the year 2020:
- Sales growth of increased 4% or 4.5%.
- Adjusted income growth of 9%.
- Adjusted net earnings of 9%.
- Adjusted diluted earnings per share in the range of $3.40 to $3.50, and an increase of approximately 12%.
- Reaching $600 million to $700 million of adjusted operating expenses.
- Achieving 16% in adjusted return on invested capital for existing businesses.
SYY is prepared to carry through with the action of accelerating locally managed customer case growth and driving leverage between the growth of gross profit and expense growth.
.@Sysco Announces 2025 Corporate Social Responsibility Goals. Themed Delivering A Better Tomorrow, Sysco’s 2025 goals are aligned to three focus areas: People, Products and Planet. https://t.co/uTYpn8Jl1r pic.twitter.com/MH5SchWEcj
— Sysco Corporation (@Sysco) August 13, 2018
SYY’s achieved $0.94 quarterly earnings (pers hare) from analysts estimates of $0.72 per share last year. Revenue growth grew to $15.32 billion for the quarter ending in July of 2018 and sales increased by 6.1%. The company has now passed consensus EPS estimates three times, great stuff SYY.
Many investors compare SYY to other stocks such as KR (The Kroger Corp.), UNFI (United Natural Foods Inc.), CORE (Core-Mark Holding Co., Inc), or SVU (SUPERVALU Inc.). However, investors enjoy investing in SYY for their history of consistent dividends cash payments- recent cash payment amount was $0.36 cents, effective date 10/4/2018)
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