SyscoFRA:SYY +1.78%88 Interest Coverage is 3.68 as of Mar. 2026, which is 33% below its 10-year median of 5.53. GuruFocus rates FRA:SYY with a GF Score™ of 88/100 and a GF Value™ of €72.99 (Fairly Valued). The stock has 3 warning signs investors should review. Among 254 Retail - Defensive companies, Sysco ranks worse than 69.29% on this metric.
Interest Coverage is a ratio that determines how easily a company can pay interest expenses on outstanding debt. It is calculated by dividing a company's
Operating Income
by its Interest Expense. Sysco's
Operating Income
for the
three
months ended in Mar. 2026 was €535 Mil. Sysco's Interest Expense for the
three
months ended in Mar. 2026 was €-145 Mil.
Sysco's interest coverage for the quarter that ended in Mar. 2026 was 3.68.
The higher the ratio, the stronger the company's financial strength is.
The historical rank and industry rank for Sysco's Interest Coverage or its related term are showing as below:
FRA:SYY'
s Interest Coverage Range Over the Past 10 Years
Min: 1.64 Med: 5.53 Max: 6.78
Current: 4.42
FRA:SYY's Interest Coverage is ranked worse than 69.29% of 254
companies
in the Retail - Defensive industry
Industry Median: 8.795
vs FRA:SYY: 4.42
Ben Graham requires that a company has a minimum interest coverage of 5 with the companies he invested. If the interest coverage is less than 2, the company is burdened by debt. Any business slow or recession may drag the company into a situation where it cannot pay the interest on its debt.
Interest Coverage is an important factor when GuruFocus ranks a company's overage Financial Strength .
Sysco Interest Coverage Related Terms
Sysco Interest Coverage Historical Data
* Premium members only.
The historical data trend for Sysco's Interest Coverage can be seen below:
* For Operating Data section: All numbers are indicated by the unit behind each term and all currency related amount are in USD. * For other sections: All numbers are in millions except for per share data, ratio, and percentage. All currency related amount are indicated in the company's associated stock exchange currency.
Note: For Interest Coverage, "No debt" indicates no long-term debt. An indication of "No Debt" does not necessarily mean that the company has no long-term debt obligations; it could be due to missing data in the quarterly or annual report. Use caution when interpreting this information.
FRA:SYY vs USFD, PFGC, CHEF: Interest Coverage Comparison
For the Food Distribution subindustry, Sysco's Interest Coverage, along with its competitors' market caps and Interest Coverage data, can be viewed below:
* Competitive companies are chosen from companies within the same industry, with headquarter located in same country, with closest market capitalization; x-axis shows the market cap, and y-axis shows the term value; the bigger the dot, the larger the market cap. Note that "N/A" values will not show up in the chart.
Sysco Interest Coverage vs Retail - Defensive Industry
For the Retail - Defensive industry and Consumer Defensive sector, Sysco's Interest Coverage distribution charts can be found below:
* The bar in red indicates where Sysco's Interest Coverage falls into.
Interest Coverage is a ratio that determines how easily a company can pay interest expenses on outstanding debt. It is calculated by dividing a company's Operating Income (EBIT) by its Interest Expense:
* For Operating Data section: All numbers are indicated by the unit behind each term and all currency related amount are in USD. * For other sections: All numbers are in millions except for per share data, ratio, and percentage. All currency related amount are indicated in the company's associated stock exchange currency.
Sysco (FRA:SYY) has a Interest Coverage of 3.68 as of Mar. 2026. Interest Coverage measures a company's capability to pay interest expenses on its debt. View historical data on Sysco and its competitors. This is 33% below median its historical median of 5.53. Over the past decade, Sysco's Interest Coverage has ranged from 1.64 to 6.78. According to the industry distribution chart, Sysco ranks #176 out of 254 companies in the Retail - Defensive industry, placing it in the top 69.3%.
Is Sysco's Interest Coverage too high?
Sysco's current Interest Coverage of 3.68 is 33% below median its 10-year median of 5.53. Over the past 10 years, this metric has ranged from a low of 1.64 to a high of 6.78. The Retail - Defensive industry median Interest Coverage is 8.80. Sysco's value of 3.68 is 58.2% below this industry median. Based on the distribution chart, Sysco ranks #176 out of 254 companies in the Retail - Defensive industry, which is below the industry midpoint. Overall, Sysco has a GF Score™ of 88/100 and is considered Fairly Valued, reflecting its overall financial health beyond just this single metric.
How does Sysco's Interest Coverage compare to USFD and PFGC?
According to the Retail - Defensive industry distribution chart, Sysco ranks #176 out of 254 companies for Interest Coverage. This places Sysco in the lower half of its industry. The industry median Interest Coverage is 8.80. Sysco's value of 3.68 is 58.2% below this benchmark. Historically, Sysco's own Interest Coverage has ranged from 1.64 to 6.78 over the past decade. While the company's 10-year median is 5.53 vs. the industry median of 8.80, Sysco has consistently been below the industry average. See the competitive comparison table and distribution chart on this page for a detailed peer-by-peer breakdown.
What is a good Interest Coverage for a Retail - Defensive company?
The median Interest Coverage among Retail - Defensive companies is 8.80, based on 254 companies in the industry. Companies in the top quartile (top 25%) have a Interest Coverage significantly above this median, while those in the bottom quartile fall well below. However, Interest Coverage should not be evaluated in isolation — investors should consider it alongside profitability, growth, and financial strength metrics. Sysco's current Interest Coverage of 3.68 is 58.2% below the industry median. Use the industry distribution chart on this page to see where any company falls relative to its peers.
What does a high Interest Coverage mean?
A high Interest Coverage can signal that a stock is expensive relative to its fundamentals. Interest Coverage measures a company's capability to pay interest expenses on its debt. View historical data on Sysco and its competitors. For the Retail - Defensive industry, the median Interest Coverage is 8.80 — values significantly above this may indicate overvaluation, while values below may suggest a bargain or underlying issues. Sysco's current Interest Coverage is 3.68, which is 33% below median its own 10-year median of 5.53. However, context matters — high-growth companies often justify higher valuations. Always evaluate alongside other metrics like GF Score™ and GF Value™.
Is Sysco stock overvalued right now?
Based on GuruFocus' analysis, Sysco (FRA:SYY) is currently considered Fairly Valued. The stock's GF Value™ is €72.99, compared to a current price of €72.22 — trading 1.1% below its estimated fair value. The current Interest Coverage is 3.68, which is 33% below median its 10-year median of 5.53 and 58.2% below the Retail - Defensive industry median of 8.80. Sysco's overall GF Score™ is 88/100 with 3 warning signs to review. Investors should evaluate multiple metrics — including profitability, growth, and financial strength — before making a decision.
How is Interest Coverage calculated?
Interest Coverage is calculated from a company's financial statements. For Sysco (FRA:SYY), the current Interest Coverage is 3.68 as of Mar. 2026. GuruFocus calculates this using data sourced from SEC filings and annual reports. See the calculation section and 30-year financial data on this page for the full breakdown.
Is Sysco (FRA:SYY) Overvalued in 2026?
Based on GuruFocus' analysis, Sysco stock appears to be undervalued.
The current stock price of €72.22 is trading 1.1% below its estimated GF Value™ of €72.99.
GuruFocus considers Sysco to be Fairly Valued.
Key valuation signals for FRA:SYY:
Interest Coverage: 3.68 (33% below median its 10-year median of 5.53)
GF Value™: €72.99 vs. price of €72.22 (1.1% below fair value)
Industry Position: 58.2% below the Retail - Defensive median (#176 of 254)
No single metric tells the full story. See the FRA:SYY stock analysis page for a complete view including 30-year financials, guru trades, and insider activity.
Sysco is the largest US foodservice distributor with 18% share of the highly fragmented $377 billion domestic market. It distributes roughly 500,000 food and nonfood products to restaurants (60% of fiscal 2025 revenue), education and government buildings (8%), healthcare facilities (8%), travel and leisure (7%), and other locations (17%) where individuals consume away-from-home meals. In fiscal 2025, 70% of the firm's revenue was derived from its US foodservice operations, while its international (18%), quick-service logistics (10%), and other (2%) segments contributed the rest.
88GF Score
Get the complete analysis for FRA:SYY
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