HF FOODS GROUP INC. (HFFG) vs Sysco Corporation (SYY)

HF FOODS GROUP INC. and Sysco Corporation are both Food Distribution companies. Sysco Corporation is the larger, with a market value of $38.5B against $85.2M — 451.6× the size. HF FOODS GROUP INC. has negative trailing earnings, so its P/E is not meaningful; Sysco Corporation trades at 21.4×. Sysco Corporation grew revenue faster over the last twelve months: 3.91% against 2.78%. Sysco Corporation has the higher net margin (2.08% vs −2.77%) and the higher return on invested capital (13.4% vs −5.50%). Across the 21 metrics below, Sysco Corporation leads on 14 and HF FOODS GROUP INC. on 7.

Valuation

Metric HFFG SYY Food Distribution median
P/E n/m 21.44 32.99
P/S 0.07 0.44 0.21
P/B 0.41 14.10 1.70
Price to free cash flow 99.71 17.78 19.69
EV/EBITDA 7.95 11.55 11.13
EV/Sales 0.21 0.58 0.31
Earnings yield (40.88%) 4.66% 2.88%
Free cash flow yield 1.00% 5.62% 3.78%

Profitability

Metric HFFG SYY Food Distribution median
Gross margin 16.55% 18.50% 16.55%
Operating margin (2.75%) 3.66% 1.79%
Net margin (2.77%) 2.08% 0.53%
Free cash flow margin 0.07% 2.50% 1.37%
Return on equity (15.42%) 78.16% 6.48%
Return on assets (6.02%) 6.37% 1.55%
Return on invested capital (5.50%) 13.44% 4.16%

Growth

Metric HFFG SYY Food Distribution median
Revenue growth (TTM) 2.78% 3.91% 3.83%
EPS growth (last fiscal year) 20.65% (1.88%) —
Revenue growth, 5-year CAGR 16.73% 10.51% 10.51%
Net income growth, 5-year CAGR 0.00% 27.37% 0.00%

Health

Metric HFFG SYY Food Distribution median
Debt to equity 0.97 5.07 0.97
Current ratio 1.11 1.28 1.51
Net debt to EBITDA 5.22 2.75 2.90

Dividend

Metric HFFG SYY Food Distribution median
Dividend yield — 2.55% 2.55%
Payout ratio 0.00 0.57 0.00

Size

Metric HFFG SYY Food Distribution median
Market cap 85.17m 38.46b 1.71b

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