SodexoCHIX:SWP 70 5-Year Yield-on-Cost % is 5.39 as of Jun. 30, 2026, which is 44% above its 10-year median of 3.74. GuruFocus rates CHIX:SWP with a GF Score™ of 70/100 and a GF Value™ of €74.53 (Significantly Undervalued). The stock has 9 warning signs investors should review. Among 599 Business Services companies, Sodexo ranks better than 58.93% on this metric.
Sodexo's yield on cost for the quarter that ended in Feb. 2026 was 5.39.
The historical rank and industry rank for Sodexo's 5-Year Yield-on-Cost % or its related term are showing as below:
CHIX:SWp'
s 5-Year Yield-on-Cost % Range Over the Past 10 Years
Min: 2.34 Med: 3.74 Max: 7.23
Current: 5.39
During the past 13 years, Sodexo's highest Yield on Cost was 7.23. The lowest was 2.34. And the median was 3.74.
CHIX:SWp's 5-Year Yield-on-Cost % is ranked better than 58.93% of 599
companies
in the Business Services industry
Industry Median: 4.17
vs CHIX:SWp: 5.39
Of course the risk here is that the company may not raise its dividends as it did before. The key is to select the companies that can consistently raise its dividends. Usually companies with long history of raising dividends tend to do so.
Sodexo 5-Year Yield-on-Cost % Related Terms
CHIX:SWP vs CTAS, CPRT, ULS: 5-Year Yield-on-Cost % Comparison
For the Specialty Business Services subindustry, Sodexo's 5-Year Yield-on-Cost %, along with its competitors' market caps and 5-Year Yield-on-Cost % 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.
Sodexo 5-Year Yield-on-Cost % vs Business Services Industry
For the Business Services industry and Industrials sector, Sodexo's 5-Year Yield-on-Cost % distribution charts can be found below:
* The bar in red indicates where Sodexo's 5-Year Yield-on-Cost % falls into.
Dividend Yield % and dividend growth of a stock is an important factor for income investors. But if company A raises its dividend constantly faster than company B, company A's future dividend yield might be much higher than Company B's even if their yields are the same now and their stock prices do not change.
Yield on Cost assumes that you buy and the stock today, and hold it for 5 years. If the company raises it dividends at the same rate as it did over the past 5 years, the dividends investors receive annually in 5 years relative to the stock price today.
Therefore, Yield-on-Cost of Sodexo is calculated as
Sodexo (CHIX:SWP) has a 5-Year Yield-on-Cost % of 5.39 as of Jun. 30, 2026. 5-Year Yield on Cost measures the expected yield based on a company's current yield and 5-year dividend growth. View historical data on Sodexo and its competitors. This is 44% above median its historical median of 3.74. Over the past decade, Sodexo's 5-Year Yield-on-Cost % has ranged from 2.34 to 7.23. According to the industry distribution chart, Sodexo ranks #246 out of 599 companies in the Business Services industry, placing it in the top 41.1%.
Is Sodexo's 5-Year Yield-on-Cost % too high?
Sodexo's current 5-Year Yield-on-Cost % of 5.39 is 44% above median its 10-year median of 3.74. Over the past 10 years, this metric has ranged from a low of 2.34 to a high of 7.23. The Business Services industry median 5-Year Yield-on-Cost % is 4.17. Sodexo's value of 5.39 is 29.3% above this industry median. Based on the distribution chart, Sodexo ranks #246 out of 599 companies in the Business Services industry, which is above the industry midpoint. Overall, Sodexo has a GF Score™ of 70/100 and is considered Significantly Undervalued, reflecting its overall financial health beyond just this single metric.
How does Sodexo's 5-Year Yield-on-Cost % compare to CTAS and CPRT?
According to the Business Services industry distribution chart, Sodexo ranks #246 out of 599 companies for 5-Year Yield-on-Cost %. This puts Sodexo in the upper half of its industry. The industry median 5-Year Yield-on-Cost % is 4.17. Sodexo's value of 5.39 is 29.3% above this benchmark. Historically, Sodexo's own 5-Year Yield-on-Cost % has ranged from 2.34 to 7.23 over the past decade. While the company's 10-year median is 3.74 vs. the industry median of 4.17, Sodexo has consistently been above 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 5-Year Yield-on-Cost % for a Business Services company?
The median 5-Year Yield-on-Cost % among Business Services companies is 4.17, based on 599 companies in the industry. Companies in the top quartile (top 25%) have a 5-Year Yield-on-Cost % significantly above this median, while those in the bottom quartile fall well below. However, 5-Year Yield-on-Cost % should not be evaluated in isolation — investors should consider it alongside profitability, growth, and financial strength metrics. Sodexo's current 5-Year Yield-on-Cost % of 5.39 is 29.3% above 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 5-Year Yield-on-Cost % mean?
A high 5-Year Yield-on-Cost % can signal that a stock is expensive relative to its fundamentals. 5-Year Yield on Cost measures the expected yield based on a company's current yield and 5-year dividend growth. View historical data on Sodexo and its competitors. For the Business Services industry, the median 5-Year Yield-on-Cost % is 4.17 — values significantly above this may indicate overvaluation, while values below may suggest a bargain or underlying issues. Sodexo's current 5-Year Yield-on-Cost % is 5.39, which is 44% above median its own 10-year median of 3.74. However, context matters — high-growth companies often justify higher valuations. Always evaluate alongside other metrics like GF Score™ and GF Value™.
Is Sodexo stock overvalued right now?
Based on GuruFocus' analysis, Sodexo (CHIX:SWP) is currently considered Significantly Undervalued. The stock's GF Value™ is €74.53, compared to a current price of €50.10 — trading 32.8% below its estimated fair value. The current 5-Year Yield-on-Cost % is 5.39, which is 44% above median its 10-year median of 3.74 and 29.3% above the Business Services industry median of 4.17. Sodexo's overall GF Score™ is 70/100 with 9 warning signs to review. Investors should evaluate multiple metrics — including profitability, growth, and financial strength — before making a decision.
How is 5-Year Yield-on-Cost % calculated?
5-Year Yield-on-Cost % is calculated from a company's financial statements. For Sodexo (CHIX:SWP), the current 5-Year Yield-on-Cost % is 5.39 as of Jun. 30, 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 Sodexo (CHIX:SWP) Overvalued in 2026?
Based on GuruFocus' analysis, Sodexo stock appears to be undervalued.
The current stock price of €50.10 is trading 32.8% below its estimated GF Value™ of €74.53.
GuruFocus considers Sodexo to be Significantly Undervalued.
Key valuation signals for CHIX:SWP:
5-Year Yield-on-Cost %: 5.39 (44% above median its 10-year median of 3.74)
GF Value™: €74.53 vs. price of €50.10 (32.8% below fair value)
Industry Position: 29.3% above the Business Services median (#246 of 599)
No single metric tells the full story. See the CHIX:SWP stock analysis page for a complete view including 30-year financials, guru trades, and insider activity.
Sodexo is one of the largest foodservice companies globally, operating in 45 countries with annual sales exceeding EUR 24 billion. Sodexo's model rests on operating on-premises catering facilities, rather than centralized industrial kitchens. Foodservice remains the largest business segment, contributing 66% of revenue in 2024. Sodexo has its own group purchasing organization, Entegra, with annual purchasing of over EUR 37 billion. The company spun off its benefits and services business, Pluxee, and now focuses on foodservice and its second business, facilities management.
70GF Score
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