Henry Schein logged a 3.6% change during today's afternoon session, and is now trading at a price of $79.86 per share.
Over the last year, Henry Schein logged a 1.9% change, with its stock price reaching a high of $85.75 and a low of $60.01. Over the same period, the stock underperformed the S&P 500 index by -25.9%. AThe company's 50-day average price was $74.78. Henry Schein, Inc. provides health care products and services to dental practitioners and laboratories, physician practices, ambulatory surgery centers, government, institutional health care clinics, and other alternate care clinics worldwide. Based in Melville, NY, the Large-Cap Health Care company has 24,000 full time employees. Henry Schein has not offered a dividend during the last year.
Slight Revenue Growth but Slimmer Gross Margins to the Industry Average of 57.74%:
| 2018 | 2019 | 2020 | 2021 | 2022 | 2023 | |
|---|---|---|---|---|---|---|
| Revenue (M) | $13,202 | $9,986 | $10,119 | $12,401 | $12,647 | $12,693 |
| Gross Margins | 22% | 31% | 28% | 30% | 30% | 31% |
| Net Margins | 4% | 7% | 4% | 5% | 4% | 4% |
| Net Income (M) | $536 | $695 | $404 | $631 | $538 | $445 |
| Net Interest Expense (M) | $76 | $51 | $41 | $28 | $44 | $79 |
| Depreciation & Amort. (M) | $144 | $185 | $186 | $210 | $182 | $197 |
| Diluted Shares (M) | 154 | 149 | 143 | 142 | 138 | 131 |
| Earnings Per Share | $3.49 | $4.65 | $2.82 | $4.45 | $3.91 | $3.38 |
| EPS Growth | n/a | 33.24% | -39.35% | 57.8% | -12.13% | -13.55% |
| Avg. Price | $59.99 | $64.34 | $62.01 | $74.18 | $82.4 | $79.86 |
| P/E Ratio | 17.09 | 13.69 | 21.91 | 16.45 | 20.86 | 23.35 |
| CAPEX (M) | $71 | $76 | $49 | $79 | $96 | $137 |
| EV / EBITDA | 13.61 | 11.48 | 12.62 | 10.61 | 13.17 | 14.36 |
| Total Debt (M) | $989 | $733 | $626 | $822 | $1,046 | $1,815 |
| Net Debt / EBITDA | 1.22 | 0.69 | 0.28 | 0.66 | 1.0 | 1.95 |
| Current Ratio | 1.3 | 1.58 | 1.66 | 1.67 | 1.79 | 1.97 |
Henry Schein has weak revenue growth and increasing reinvestment in the business, a decent current ratio of 1.97, and healthy leverage levels. However, the firm has slimmer gross margins than its peers. Finally, we note that Henry Schein has flat EPS growth.
Henry Schein Is Potentially Undervalued and Trades Below Its Graham Number:
Henry Schein has a trailing twelve month P/E ratio of 22.1, compared to an average of 30.21 for the Health Care sector. Based on its EPS guidance of $5.11, the company has a forward P/E ratio of 14.6. The 5.6% compound average growth rate of Henry Schein's historical and projected earnings per share yields a PEG ratio of 3.95. This suggests that these shares are overvalued. In contrast, the market is likely undervaluing Henry Schein in terms of its equity because its P/B ratio is 2.84 while the sector average is 4.08. The company's shares are currently trading -42.4% below their Graham number.
Henry Schein Has an Average Rating of Hold:
The 11 analysts following Henry Schein have set target prices ranging from $65.0 to $82.0 per share, for an average of $75.36 with a hold rating. The company is trading 6.0% away from its average target price, indicating that there is an analyst consensus of little upside potential.
Henry Schein has an average amount of shares sold short because 4.5% of the company's shares are sold short. Institutions own 99.9% of the company's shares, and the insider ownership rate stands at 0.94%, suggesting a small amount of insider investors. The largest shareholder is Vanguard Group Inc, whose 12% stake in the company is worth $1,211,593,124.
