Stock analysts lower FY2025 earnings forecast for Henry Schein in recent research note

November 13, 2024

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The recent research note from Leerink Partners has raised concerns about HENRY SCHEIN ($NASDAQ:HSIC)’s future financial performance. In particular, stock analysts have lowered their earnings forecast for the company in fiscal year 2025. This is a significant shift from previous projections and has caused some investors to reevaluate their positions in the company. The company has been heavily affected by supply chain disruptions, reduced demand for non-essential services, and increased costs related to safety measures and protective equipment. These challenges have led to a decrease in revenue and profitability, which has ultimately influenced the analysts’ outlook for the company’s future earnings. In addition to the immediate impact of the pandemic, HENRY SCHEIN is also facing potential long-term consequences. As healthcare systems around the world continue to adapt to new ways of delivering care, there may be a shift towards virtual consultations and online purchasing of medical supplies.

This could potentially reduce the demand for traditional physical medical products, which could further impact HENRY SCHEIN’s future earnings. Furthermore, competition within the healthcare industry is also a factor that needs to be considered when evaluating HENRY SCHEIN’s future performance. As more players enter the market and offer innovative solutions, it may become increasingly challenging for the company to maintain its dominant position. This could also contribute to a decrease in projected earnings for FY2025 and beyond. In conclusion, the recent research note from Leerink Partners highlights some potential challenges that HENRY SCHEIN may face in the coming years. It will be interesting to see how HENRY SCHEIN adapts and navigates these challenges in the years to come.

Price History

This announcement has caused some concern among investors, as evidenced by the stock’s performance on Friday. HENRY SCHEIN stock opened at $69.2 and closed at $68.0, showing a decrease of 2.06% from the previous closing price of $69.43. Analysts have likely adjusted their projections based on current market trends and company performance, leading to a lower expectation for future earnings. This news may have caused some uncertainty among investors, resulting in the decline in stock price. It is worth noting that this revised forecast is for FY2025, which is still several years away. It is important to keep in mind that forecasts can change over time as market conditions and company performance evolve. Therefore, it may be premature to make any significant conclusions about the long-term prospects of Henry Schein based on this recent research note alone.

However, it is also important to acknowledge that analyst forecasts play a significant role in shaping investor sentiment and can have an impact on stock performance. As such, it will be crucial for Henry Schein to closely monitor their performance and work towards meeting or exceeding expectations in the upcoming years. Despite the lowered forecast, Henry Schein remains a strong player in the healthcare industry with a solid reputation and track record. With their commitment to providing high-quality products and services, along with their strong financial standing, they are well-positioned to navigate any challenges and continue to thrive in the market. While it is important to keep an eye on future developments and performance, it is also crucial to consider the company’s strong reputation and financial standing. As always, it is recommended for investors to conduct thorough research and consult with a financial advisor before making any investment decisions. Live Quote…

About the Company

  • Industry Classification
  • Key Executives
  • Ownership (Institutional/ Fund Holdings)
  • News Feed
  • Income Snapshot

    Below shows the total revenue, net income and net margin for Henry Schein. More…

    Total Revenues Net Income Net Margin
    12.34k 416 3.9%
  • Income Statement Reports (Yearly/ Quarterly/ LTM)
  • Income Supplement
  • Growth Performance
  • Cash Flow Snapshot

    Below shows the cash from operations, investing and financing for Henry Schein. More…

    Operations Investing Financing
    500 -1.14k 701
  • Cash Flow Statement (Yearly/ Quarterly/ LTM)
  • Cash Flow Supplement
  • Balance Sheet Snapshot

    Below shows the total assets, liabilities and book value per share for Henry Schein. More…

    Total Assets Total Liabilities Book Value Per Share
    10.57k 5.42k 28.28
  • Balance Sheet (Yearly/ Quarterly)
  • Balance Sheet Supplement
  • Key Ratios Snapshot

    Some of the financial key ratios for Henry Schein are shown below. More…

    3Y Rev Growth 3Y Operating Profit Growth Operating Margin
    6.8% 7.0% 5.1%
    FCF Margin ROE ROA
    2.5% 10.8% 3.7%
  • Income Statement Ratios
  • Balance Sheet Ratios
  • Cash Flow Ratios
  • Valuation Ratios
  • Other Ratios
  • Other Supplementary Items
  • Analysis

    After conducting a thorough analysis of HENRY SCHEIN‘s wellbeing, I have concluded that it falls under the category of an “elephant” company. This means that it is rich in assets after deducting off liabilities. This is a positive sign for potential investors, as it indicates that the company has a strong foundation and is capable of withstanding financial challenges. When looking at HENRY SCHEIN’s financials, it is evident that the company is strong in profitability, with medium levels of assets and weak dividends and growth. This suggests that investors who are looking for a stable and established company with a steady income stream may be interested in HENRY SCHEIN. On the other hand, investors seeking high growth and dividend potential may not find this company as appealing. One important aspect to consider when looking at a company’s financial health is its debt and cash flow. In the case of HENRY SCHEIN, it has a high health score of 8/10. This indicates that the company is capable of paying off its debt and funding future operations. This is reassuring for investors, as it shows that the company is financially stable and has the ability to weather any financial challenges that may arise. In conclusion, HENRY SCHEIN is a well-established company with a strong foundation and stable profitability. It may be attractive to investors who are looking for a reliable and financially sound investment. However, those seeking high growth and dividends may need to look elsewhere. Overall, I believe that HENRY SCHEIN has the potential to be a good investment choice for the right type of investor. More…

  • Star Chart Analysis
  • Valuation Analysis




  • Peers

    Henry Schein Inc is one of the largest companies in the dental supplies industry.

    However, it faces stiff competition from Healthlead PCL, Patterson Companies Inc, and Alfresa Holdings Corp. All four companies are large, international players in the dental supplies industry.

    – Healthlead PCL ($SET:HL)

    LeadPCL is a Thailand-based company engaged in the manufacture and sale of lead products. The Company offers lead ingots, lead sheets, lead pipes, lead wires, lead oxides and other lead products. It also provides lead recycling services. The Company’s products are used in a range of applications, including in the automotive, electronics, construction and medical industries.

    – Patterson Companies Inc ($NASDAQ:PDCO)

    Patterson Companies Inc is a leading provider of animal health and dental products and services. The company has a market cap of 2.61B as of 2022 and a return on equity of 16.53%. Patterson Companies Inc operates in the United States, Canada, and Europe. The company’s products and services include veterinary supplies, dental supplies, and diagnostic imaging. Patterson Companies Inc is headquartered in Minneapolis, Minnesota.

    – Alfresa Holdings Corp ($TSE:2784)

    Alfresa Holdings Corp is a Japanese pharmaceutical and medical equipment company with a market cap of 280.99B as of 2022. The company has a Return on Equity of 6.23%. Alfresa Holdings Corp is engaged in the research, development, manufacture, and sale of pharmaceuticals and medical equipment. The company’s products include drugs for the treatment of cancer, infectious diseases, and cardiovascular diseases; and medical devices for use in surgery, diagnosis, and treatment.

    Summary

    Leerink Partners, a leading stock analyst firm, has recently reduced their future earnings estimates for Henry Schein, Inc. This decision was made after conducting thorough research and analysis on the company’s financial performance. The revised estimates are for the fiscal year 2025, signaling potential challenges or changes that may impact the company’s growth in the coming years. This news may be of interest to investors who are following Henry Schein’s stock and are looking for insights on its long-term prospects. It is important to note that this analysis does not provide any background information on the company, but rather focuses solely on its financial outlook.

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