Sysco (SYY) Beats Q1 Earnings and Revenue Estimates

Core Insights - Sysco reported quarterly earnings of $1.15 per share, exceeding the Zacks Consensus Estimate of $1.12 per share, and showing an increase from $1.09 per share a year ago, resulting in an earnings surprise of +2.68% [1] - The company generated revenues of $21.15 billion for the quarter ended September 2025, surpassing the Zacks Consensus Estimate by 0.23% and increasing from $20.48 billion year-over-year [2] - Sysco's stock has underperformed the market, gaining about 2% since the beginning of the year compared to the S&P 500's gain of 16.9% [3] Earnings Outlook - The current consensus EPS estimate for the upcoming quarter is $0.98 on revenues of $20.86 billion, and for the current fiscal year, it is $4.57 on revenues of $84.56 billion [7] - The estimate revisions trend for Sysco was mixed ahead of the earnings release, resulting in a Zacks Rank 3 (Hold) for the stock, indicating expected performance in line with the market [6] Industry Context - The Zacks Industry Rank for Food - Miscellaneous is currently in the bottom 27% of over 250 Zacks industries, suggesting that the industry outlook may negatively impact stock performance [8] - Empirical research indicates a strong correlation between near-term stock movements and trends in earnings estimate revisions, which can be tracked by investors [5]