Earning Passive Income with Sysco Stock: A Promising Opportunity
Upcoming Earnings Report
Sysco Corporation (NYSE:SYY), a leading food distributor, is set to release its Q2 2025 earnings on January 28. Analysts expect the company to post an EPS of $0.93, a significant increase from $0.89 in the previous year. Quarterly revenue is projected to reach $20.11 billion, up from $19.29 billion in the same period last year.
Dividend Yield and Growth
Sysco’s dividend yield stands at 2.79%, with the company paying $2.04 per share in dividends over the past 12 months. The 52-week range of Sysco stock price is $69.03 to $82.89. With a strong track record of dividend payments, Sysco stock presents an attractive option for income-focused investors.
Q1 2025 Earnings Review
On October 29, 2024, Sysco announced its Q1 2025 earnings, posting an adjusted EPS of $1.09, slightly missing the street view of $1.13. However, quarterly sales of $20.50 billion exceeded analyst consensus, with a 4.4% increase in sales and a 2.7% rise in U.S. Foodservice volume. Operating income grew modestly by 0.5% to $808 million, while adjusted operating income increased by 2.2% to $873 million.
Investing for Passive Income
To generate a passive income of $100 per month, or $1,200 annually, from Sysco dividends, an investment value of approximately $43,011 is required, equivalent to around 589 shares at $73.07 each. By understanding the dividend yield calculations, investors can make informed decisions about their investment portfolios.
Calculating Dividend Yield
Dividend yield is calculated by dividing the annual dividend payments by the stock’s current price. As stock prices and dividend payments fluctuate, the dividend yield changes over time. For instance, if a stock pays $2 as an annual dividend and is priced at $50, its dividend yield would be 4%. If the stock price rises to $60, the dividend yield drops to 3.33%, and if it falls to $40, the dividend yield increases to 5%.
Alternative Investment Opportunities
For investors seeking diversification, Arrived offers a unique opportunity to invest in shares of rental properties for as little as $100, providing potential monthly rental income and long-term appreciation without the hassles of being a landlord. With over $1 million in dividends paid out last quarter and a growing selection of properties across various markets, Arrived presents an attractive alternative for investors seeking to build a diversified real estate portfolio.
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