Last Updated: 07 Nov 2024
Executive Summary
Henry Schein Inc. (HSIC) is a leading global distributor of healthcare products and services. The company has a strong financial position with a market capitalization of $9.17 billion, EBITDA of $887 million, and EPS of $2.59. HSIC trades at a P/E ratio of 26.64, which is above the industry average. The company has a strong track record of revenue and earnings growth, and analysts expect this trend to continue in the future.
Company Overview
Henry Schein was founded in 1932 and is headquartered in Melville, New York. The company distributes a wide range of healthcare products, including dental, medical, surgical, and laboratory supplies. HSIC also provides a variety of services, such as equipment leasing, repair, and training. The company has a global presence with operations in 32 countries.
Fundamental Analysis
HSIC has a strong financial position with a healthy balance sheet and strong cash flow. The company has a low debt-to-equity ratio and a high return on equity. HSIC has a track record of consistent revenue and earnings growth. In the past five years, the company's revenue has grown at a CAGR of 5.5% and its EPS has grown at a CAGR of 10.2%.
Technical Analysis
HSIC's stock price has been in a downtrend since early 2023. The stock is currently trading below its 50-day and 200-day moving averages. The relative strength index (RSI) is also below 50, which indicates that the stock is oversold.
Short Term Outlook
The technical analysis suggests that HSIC's stock price is likely to continue to decline in the short term. The stock is trading below its moving averages and the RSI is oversold. However, the company's strong fundamentals could provide support for the stock price.
Long Term Outlook
The long-term outlook for HSIC is positive. The company has a strong financial position and a track record of consistent growth. Analysts expect the company to continue to grow its revenue and earnings in the future. The company's global presence and its focus on providing a wide range of healthcare products and services should help it to continue to grow in the long term.
Analyst Recommendations
Analysts have a consensus rating of "Buy" on HSIC. The average analyst target price is $74.6, which represents a potential upside of 6.5% from the current stock price. Three analysts have a "Strong Buy" rating on the stock, two have a "Buy" rating, seven have a "Hold" rating, two have a "Sell" rating, and none have a "Strong Sell" rating.
