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Henry Schein, Inc. (HSIC), headquartered in Melville, New York, provides health care products and services to dental practitioners, laboratories, physician practices, and ambulatory surgery centers, government, institutional health care clinics, and other alternate care clinics. Valued at $9.2 billion by market cap, the company provides shop supplies, as well as dental and medical solutions and services to improve operational success and clinical outcomes. The world’s largest health care solutions provider is expected to announce its fiscal third-quarter earnings for 2024 before the market opens on Tuesday, Nov. 5.
Ahead of the event, analysts expect HSIC to report a profit of $1.17 per share on a diluted basis, down 11.4% from $1.32 per share in the year-ago quarter. The company beat or matched the consensus estimates in three of the last four quarters while missing the forecast on another occasion.
For the full year, analysts expect HSIC to report EPS of $4.74, up 5.3% from $4.50 in fiscal 2023. Its EPS is expected to rise 11% year over year to $5.26 in fiscal 2025.
HSIC stock has underperformed the S&P 500’s ($SPX) 38.5% gains over the past 52 weeks, with shares up 4.2% during this period. Similarly, it underperformed the Health Care Select Sector SPDR Fund’s (XLV) 18% gains over the same time frame.
HSIC's weaker performance can be linked to difficult economic conditions in specific markets and a slower rebound from the recent cyberattack the company experienced.
On Aug. 6, HSIC shares closed down more than 8% after reporting its Q2 results. Its adjusted EPS of $1.23 beat Wall Street expectations of $1.22. The company’s revenue was $3.1 billion, failing to meet Wall Street forecasts of $3.3 billion. HSIC expects full-year adjusted EPS to be between $4.70 and $4.82.
Analysts’ consensus opinion on HSIC stock is reasonably bullish, with a “Moderate Buy” rating overall. Out of 13 analysts covering the stock, five advise a “Strong Buy” rating, six give a “Hold” rating, one suggests a “Moderate Sell” rating, and one recommends a “Strong Sell.” HSIC’s average analyst price target is $74.25, indicating a potential upside of 4.3% from the current levels.
On the date of publication, Neha Panjwani did not have (either directly or indirectly) positions in any of the securities mentioned in this article. All information and data in this article is solely for informational purposes. For more information please view the Barchart Disclosure Policy here.
