The Screen · Consumer Defensive · Food Distribution
Sysco
SYY · a US exchange · USD · Market cap $39.1B · 75,000 employees
Sysco Corporation, through its subsidiaries, engages in the marketing and distribution of various food and related products to the foodservice or food-away-from-home industry in the United States, Canada, the United King…
FAIL · Does not pass the screen
81.69 USD
At the last full screen 2026-07-19
Screened 2026-07-19 · the tape above runs as of 22:40 UTC · 24 Jul · two dates, stated on purpose · verdict and workings shown in full · never trimmed
The Label · The Season, Not the Day
This name holds its markdown label.
Sysco holds its Markdown at $81.69. Consolidating, no directional conviction, held for 19 days.
As held on the ledger · 2026-07-19
Phase
Markdown · caution
Quantitative state
Consolidating, no directional conviction, held for 19 days
Price at the screen
$81.69
Valuation
22.69 trailing · 16.49 forward price to earnings
Values screen
FAIL· score 10.0
Beta
0.64
The Workings
Five Screens, Shown in Full
Does not pass. Debt ratio
Test
Figure
Limit
What it means
Status
Business activity
Permissible
Core business clean
Its core business isn't built on prohibited lines: no gambling, alcohol, tobacco, weapons, or interest-based lending.
Pass
Debt load
54.13%
Below 33%
Interest-bearing debt is 54.1% of its assets, above the one-third ceiling the screen allows.
Fail
Interest-bearing cash
0.00%
Below 33%
Cash held in interest-bearing accounts and securities is 0.0% of assets, under the one-third limit.
Pass
Receivables
24.55%
Below 49%
Money owed to the company is 24.5% of assets, under the 49% limit.
Pass
Revenue purity
0.00%
Below 5%
Only 0.0% of revenue comes from non-compliant sources, under the 5% line.
Pass
Five checks adapted from AAOIFI screening standards: business activity plus four balance-sheet ratios. All five must pass for ethical clearance. Every figure is arithmetic on public accounts, not judgement.
The Conscience Overlay
Conscience flag · Supply chain campaigns
The quantitative screen above is arithmetic. Separately, community boycott lists cite this company: Cited in supply chain boycott campaigns for food distribution links to companies operating in Israeli settlements. The desk records that flag here without folding it into the verdict: the screen measures the balance sheet, the overlay informs the conscience, and they are different judgements that belong to different owners. The second one is yours.
What the Numbers Say It Is Worth
The Fair Value Range
Our framework reads AVOID: it trades at roughly a 14% discount to our $93.28 fair value, weak competitive moat, 4.70% revenue growth.
Fair value range in USD, drawn from the 2026-07-19 screen. The gold marker is the market price at the same screen. A 14.2% margin of safety to the base estimate.
Third-party analyst targets: 14 covering, consensus Buy. The average target sits +7% from the screen price.
Reading the gap · Both our model and the analysts see meaningful upside from here.
Price History & Projections
Where it has been, where the models see it going. History from market close data; projection points are our fair-value estimates and third-party analyst targets, dated to the 2026-07-19 screen.
Fair value and rating are our own model estimates; the Street's range reflects third-party analyst estimates. Analysis, not advice.
The Business, in Plain Words
Restaurant kitchens run on this supply chain
Think of the trucks that stock every restaurant kitchen from Texas diners to London pubs. Sysco moves the food yet we pass because the business carries too much debt, its moat looks weak and revenue grows just 5 percent a year.
Return on equity hits 82 percent and the forward multiple sits at 16.5 times, but a 2 percent profit margin and an ethical screen that fails on leverage tell a different story. The market prices it below our fair value yet the debt load keeps us away.
The risks · The things to watch: it carries a real debt load, which raises the stakes if revenue slips.
Plain-English interpretation of our own screen data. Analysis, not advice.
Where & How to Trade
SYY trades on a US exchange. As a listed security it is accessible through almost any international broker offering its home market. New to this, or investing from abroad? Our guide to accessing global markets covers brokers, currencies and the practical steps.
The Dated Journal · Newest First, Never Edited
Every Entry, As Written
2026-07-18Markdown$76.29+0.0%Entry 3
The framework reads markdown. Price is trending lower. Sellers are in control and the prior trend has reversed. Price has moved down 0.0% since our last review. Ethical screening: FAIL. This security does not pass our values-based screening criteria. The risk-adjusted return profile shows modest positive risk-adjusted returns. Our composite framework grades it B, carrying a low risk profile. Technically it is momentum reading bullish. Over the past year the shares are up 7%. Our forward projection puts the odds of a 10% gain over the next month near 14%. The street (15 analysts) rates it buy, with a mean price target of $87.
2026-07-03Markdown$76.29+0.0%Entry 2
The framework reads markdown. Price is trending lower. Sellers are in control and the prior trend has reversed. Price has moved down 0.0% since our last review. Ethical screening: FAIL. This security does not pass our values-based screening criteria. The risk-adjusted return profile shows modest positive risk-adjusted returns.
2026-07-02Markdown$76.29Entry 1
The framework reads markdown. Price is trending lower. Sellers are in control and the prior trend has reversed. Ethical screening: FAIL. This security does not pass our values-based screening criteria. The risk-adjusted return profile shows modest positive risk-adjusted returns.
Each entry above was written on its date, before the outcome. A journal you can prune is not a journal.
