Henry Schein (HSIC) Stock Forecast & Price Target

Henry Schein Inc. has demonstrated robust revenue growth across various segments, with medical products revenue increasing by 4.7% as reported and 3.0% on a local internal basis, reflecting solid demand in the healthcare market. The global technology segment also showed strong performance, generating $173 million in revenue, marking a growth of 9.7% as reported and 9.0% on a local internal basis, indicating a positive trend in technology adoption within healthcare settings. Additionally, the forecast for adjusted EBITDA growth in the mid-single digits for 2025 highlights the company's solid financial foundation and operational efficiency moving forward.

Henry Schein Inc reported a gross margin of 31.4% for the quarter, which represented a 110-basis point decline compared to the previous year and fell short of expectations by 60 basis points, indicating significant profitability challenges for the company. Additionally, the company's U.S. dental merchandise revenue decreased by 1.2% due to pricing pressures, while its international revenue showed minor improvements but ultimately reflected a decline on a local internal basis. The forecast for adjusted EBITDA for FY/25 has been revised downward to $1.090 billion, suggesting ongoing struggles to achieve financial targets, further contributing to a negative outlook on the stock.