SYYSysco Corporation
Is the business good?
The checks split: earnings fully cash-backed (1.1×), but returns that lean on debt.
Mixed fundamental signals. Nine pass/fail tests of year-over-year health from the filings.
Operating profit is fully backed by cash.
Operating profit is falling even as sales grow, costs are outrunning the top line.
Leverage-amplified, a high assets-to-equity ratio does much of the work. ROE 77% = margin × turnover × leverage.
Unless marked, from derived.
Against the whole market›
Percentile against every name Ryufin tracks. Higher is better; the tick marks the middle of the market. Context, not one of the checks above.
Where this answer is blind. The F-score rewards improvement, so an already-elite company can score mid-pack.
How good a business is SYY?
Sysco Corporation earns 17% on the capital it employs against a 9.0% cost of capital, so the business is worth more the bigger it gets.
Return on invested capital · cost of capital 9.0% · 8.0 points above what the capital costs: growth creates value
- Operating margin
- 3.7%
Operating margin · Food Distribution median 2.5% · 12 months to Q4 2026
- Cash conversion
- 1.10×
Cash conversion · 1.07× a year ago · operating cash flow covers the operating profit after tax
- Gross margin
- 19%
Gross margin
| Year | Operating margin |
|---|---|
| FY2021 | 2.8% |
| FY2022 | 3.4% |
| FY2023 | 4.0% |
| FY2024 | 4.1% |
| FY2025 | 3.8% |
| FY2026 | 3.7% |
Details›
- Gross margin12 months to Q4 2026
- 19%
- Operating margin12 months to Q4 2026
- 3.7%
- Net margin12 months to Q4 2026
- 2.1%
- Free cash flow margin
- 2.3%
- Revenue, trailing twelve months
- $84.6B
- Free cash flow, trailing twelve months
- $1.94B
- Net income, trailing twelve months
- $1.76B
- Return on invested capitaloperating profit after tax ÷ debt + equity − cash
- 17%
Margins, capital and share counts from the statements as filed with the SEC; cash conversion is operating cash flow over operating profit after tax.
Customers and suppliers
Who buys from SYY and who it buys from, as the companies report it.
- HCSGHealthcare Services Group, Inc.50%
SYY is 50% of its purchases · FY2025 10-K
None disclosed.
A company has to disclose every customer behind 10% or more of its revenue. Each share comes from the latest annual report of the company that states it and shows on both companies’ pages; SYY’s own figures are from its FY2026 10-K. Smaller customers and suppliers go unreported.