Sysco Corp. SYY Stock Analysis

Sysco Corp. stock trades under the ticker SYY & has shown recent bullishness that traders & investors should research further.

SYY stock closed at $85.57/share on 6/24/2022.

Sysco Corp. SYY Stock’s Technical Performance Broken Down

Sysco Corp. SYY Stock's Technical Performance Over The Last Year

SYY Stock Prive: $85.57

10 Day Moving Average: $80.45

50 Day Moving Average: $83.65

200 Day Moving Average: $79.65

RSI: 58.62

MACD: -0.538

On Friday, SYY stock completed a bullish MACD crossover, gapping up 5.86% to break out above its 50 day moving average.

Their recent trading volume has been below average & their RSI is on the higher end of neutral, signaling that there may still be some near-term momentum.

SYY needs to break out above the $85.99 & $86.06 resistance levels as it continues to climb.

Sysco Corp. SYY Stock As A Long-Term Investment

Long-term oriented investors may find SYY stock’s valuation metrics to be a bit higher than they’d like, with a 41.27 P/E (ttm) & a P/B (mrq) of 30.87.

They recently reported 42.9% Quarterly Revenue Growth Y-o-Y, with 241.1% Quarterly Earnings Growth Y-o-Y.

Their balance sheet also will require a closer examination, with $876.14M of Total Cash (mrq) & $11.93B of Total Debt (mrq).

SYY stock pays a 2.33% dividend yield, which may not be sustainable in the long-run, as their payout ratio is 96.91%.

85.94% of SYY stock’s outstanding share float is owned by institutional investors.

Sysco Corp. SYY Stock As A Short-Term Trade Using Options

Short-term oriented traders can use options to profit from SYY stock’s price movements, while protecting themselves from external market volatility.

I am looking at the contracts with the 7/15 expiration date.

The $85, $83 & $84 call options are all in-the-money, listed in order of highest to lowest open interest.

The $90 & $86 puts are also in the money, with the most liquid strike being the $85 contracts, which are not in the money.

As they have weekly expirations, there should be more liquidity in their options contracts as weekly expirations pass & new contracts are written.

Tying It All Together

Sysco Corp. stock has many interesting characteristics that traders & investors may find appealing.

Investors will like their growth, but may be disappointed by their valuation metrics & balance sheet structure.

Traders will like their current momentum, but may be disappointed with the liquidity of their mid-range dated options.

Overall, it is worth taking a closer look at SYY stock to see how it fits into your portfolio strategy.

*** I DO NOT OWN SHARES OF SYY STOCK AT THE TIME OF PUBLISHING THIS ARTICLE ***