Last Updated: 14 Nov 2024
Executive Summary
Envista Holdings Corp. (NVST) is a dental equipment and supplies company with a market capitalization of $3.53 billion. Despite strong revenue growth in recent quarters, the company has been impacted by supply chain disruptions and rising costs, resulting in negative earnings. Analysts maintain a neutral outlook on the stock, with a consensus Hold rating. The stock's current price of $20.08 is below its 52-week high of $25.64 and above its 52-week low of $15.14.
Company Overview
Envista Holdings develops, manufactures, and markets dental products worldwide. The company's products include dental implants, restorative materials, endodontic instruments, and infection control products. Envista serves dental professionals, laboratories, and dental distributors.
Fundamental Analysis
Revenue: Revenue has grown steadily in recent quarters, reaching $2.50 billion in the trailing twelve months. However, the company has been impacted by supply chain disruptions and rising costs, resulting in a decline in gross profit margin.
Earnings: Envista has reported negative earnings per share in recent quarters due to the aforementioned factors.
Profitability: The company's profit margins have been impacted by rising costs, resulting in a negative operating margin and return on assets.
Balance Sheet: Envista has a strong balance sheet with a low level of debt.
Technical Analysis
Technical Indicators: The stock's 50-day and 200-day moving averages are converging, indicating a potential breakout. The stock is currently trading below its 200-day moving average.
Support and Resistance: The stock has support at $19.03 (50-day moving average) and resistance at $21.55 (analyst target price).
Short Term Outlook
Analysts expect Envista to continue to face challenges in the short term due to supply chain disruptions and rising costs. The stock's price is likely to remain range-bound until these factors improve.
Long Term Outlook
Analysts are more optimistic about Envista's long-term prospects. The company has a strong market position and a growing product portfolio. However, the company's ability to execute its growth strategy will be key to its long-term success.
Analyst Recommendations
Analysts have a consensus Hold rating on Envista Holdings Corp. Three analysts recommend Buy, while ten recommend Hold. No analysts recommend Strong Buy, Sell, or Strong Sell. The average analyst target price is $21.55.
