Henry Schein (HSIC) AI Stock Analysis

• Market Cap: $9.14B
• Dividend Yield: N/A
• Average Volume (3M): 1.28M
• Price to Earnings (P/E): 24.1
• Beta (1Y): 0.30
• Revenue Growth: 3.51%
• EPS Growth: 29.65%
• Country: US
• Employees: 25,000
• Sector: Healthcare
• Sector Strength: 45
• Industry: Medical - Distribution
• EPS (TTM): 1.38
• Shares Outstanding: 117,724,810
• 10 Day Avg. Volume: 1,389,561
• 30 Day Avg. Volume: 1,278,409
• PEG Ratio: -7.28
• Price to Book (P/B): 2.63
• Price to Sales (P/S): 0.70
• P/FCF Ratio: 13.51
• Enterprise Value/Market Cap: 1.40
• Enterprise Value/Revenue: 0.99
• Enterprise Value/Gross Profit: 3.40
• Enterprise Value/Ebitda: 13.10
• 1Y Price Target: $76.78
• Price Target Upside: 0.85% Upside
• Rating Consensus: Moderate Buy
• Number of Analyst Covering: 10
• EPS Forecast (FY): N/A
• Revenue Forecast (FY): N/A

• Rating: 73 Outperform
• Price Target: $88.00 ▲(15.59% Upside)

The score is driven primarily by steady financial fundamentals with some margin and leverage/cash-conversion constraints, supported by strong technical momentum and a constructive earnings update (growth, margin improvement, reaffirmed/updated EPS guidance, and increased buybacks). Valuation is the main moderating factor due to the higher P/E and lack of dividend yield.

Positive Factors

Diversified healthcare distribution

Henry Schein’s multi-segment business model across dental, medical and animal health plus products, equipment, software and logistics creates multiple durable revenue streams and customer relationships. This reduces single-market cyclicality and supports steadier earnings and resilience over the next several quarters.

High-growth technology segment

Rapid growth in cloud-based practice management and the Global Technology Group signals a structural shift to higher-margin, recurring software revenues. Increasing SaaS adoption improves customer stickiness, predictable cash flows, and margin expansion potential over the medium term as software replaces some one-time product sales.

Operational improvement and capital return

The BOLD+1 program and $200M value-creation target reflect durable, management-led cost and productivity gains (procurement, centralization, automation). Coupled with a sizable repurchase increase, this shows disciplined capital allocation and focus on sustainable margin and EPS improvement over coming years.

Negative Factors

Thin net margin and modest top-line

A sub-4% net margin and only tepid revenue growth limit the company’s ability to absorb cost shocks or fund growth internally. Persistently low net margins constrain reinvestment and create sensitivity to input costs, making sustained margin recovery a critical medium-term execution risk.

Elevated leverage

A near-1.0 debt/equity ratio increases financial fixed-cost obligations and reduces balance-sheet flexibility. With margin pressure and mixed cash-conversion, higher leverage raises refinancing and covenant risk, limiting strategic optionality and increasing vulnerability to cyclical downturns over the next several quarters.

Product-mix and demand pressures

A shift toward lower-margin 'value' implants and weaker demand for some medical products (respiratory diagnostics, influenza vaccines) compresses specialty margins. Structural mix shifts towards lower-margin SKUs and uneven product demand can weigh on sustained margin improvement and cash generation absent pricing or mix remediation.

Henry Schein Business Overview & Revenue Model

Company Description

Henry Schein, Inc. provides health care products and services to dental practitioners and laboratories, physician practices, government, institutional health care clinics, and other alternate care clinics worldwide. It operates through two segments, Health Care Distribution, and Technology and Value-Added Services. The Health Care Distribution segment offers dental products, including infection-control products, handpieces, preventatives, impression materials, composites, anesthetics, teeth, dental implants, gypsum, acrylics, articulators, abrasives, dental chairs, delivery units and lights, X-ray supplies and equipment, personal protective equipment, and high-tech and digital restoration equipment, as well as equipment repair services. This segment also provides medical products comprising branded and generic pharmaceuticals, vaccines, surgical products, diagnostic tests, infection-control products, X-ray products, equipment, and vitamins. The Technology and Value-Added Services segment offers software, technology, and other value-added services that include practice management software systems for dental and medical practitioners. This segment also provides value-added practice solutions, which comprise financial services on a non-recourse basis, e-services, practice technology, network, and hardware services, as well as continuing education services for practitioners, and consulting and other services. Henry Schein, Inc. was founded in 1932 and is headquartered in Melville, New York.

How the Company Makes Money

Henry Schein generates revenue through several key streams: the sale of dental, medical, and animal health products, which includes consumables, equipment, and pharmaceuticals. Additionally, the company offers services such as practice management software, e-commerce solutions, and logistics services, which contribute significantly to its earnings. Henry Schein also benefits from partnerships with leading manufacturers and suppliers in the health care industry, allowing it to provide a comprehensive portfolio of products and solutions. The company's extensive distribution network and customer loyalty programs further enhance its revenue generation capabilities.

Henry Schein Financial Statement Overview

Summary

Henry Schein demonstrates a stable financial position with consistent revenue and profit margins. The balance sheet is solid with manageable leverage, but there is a need to enhance cash flow generation. The company should focus on improving operational efficiency and cash flow management to strengthen its financial health further.

Income Statement

Henry Schein's income statement shows a stable revenue base with a slight growth in the TTM period. The gross profit margin is healthy at 31.1%, indicating efficient cost management. However, the net profit margin is relatively low at 3.2%, suggesting room for improvement in operational efficiency. The EBIT and EBITDA margins are moderate, reflecting stable operational performance but with potential for enhanced profitability.

Balance Sheet

The balance sheet reveals a balanced financial structure with a debt-to-equity ratio of 0.97, indicating manageable leverage. The return on equity is reasonable at 11.9%, showing effective use of equity capital. The equity ratio stands at 31.6%, suggesting a solid equity base relative to total assets, though there is room for strengthening equity further.

Cash Flow

Cash flow analysis indicates challenges with a significant decline in free cash flow growth. The operating cash flow to net income ratio is low at 0.24, highlighting potential cash generation issues. The free cash flow to net income ratio is decent at 0.75, but the negative growth trend in free cash flow is a concern that needs addressing.

Breakdown	TTM	Dec 2024	Dec 2023	Dec 2022	Dec 2021	Dec 2020
Income Statement
Total Revenue	12.94B	12.67B	12.34B	12.65B	12.40B	10.12B
Gross Profit	3.78B	3.77B	3.65B	3.65B	3.67B	2.81B
EBITDA	980.00M	941.00M	877.00M	977.00M	1.07B	726.81M
Net Income	391.00M	390.00M	416.00M	538.00M	623.91M	402.22M
Balance Sheet
Total Assets	11.10B	10.22B	10.57B	8.61B	8.48B	7.77B
Cash, Cash Equivalents and Short-Term Investments	136.00M	122.00M	171.00M	117.00M	118.00M	421.19M
Total Debt	3.44B	2.87B	2.74B	1.50B	1.22B	1.00B
Total Liabilities	6.20B	5.38B	5.42B	3.94B	3.81B	3.46B
Stockholders Equity	3.36B	3.39B	3.65B	3.45B	3.42B	3.35B
Cash Flow
Free Cash Flow	382.00M	661.00M	353.00M	506.00M	630.57M	550.00M
Operating Cash Flow	535.00M	848.00M	500.00M	602.00M	709.58M	599.00M
Investing Cash Flow	-317.00M	-430.00M	-1.14B	-276.00M	-677.22M	-115.00M
Financing Cash Flow	-180.00M	-510.00M	701.00M	-315.00M	-332.96M	-187.00M

Henry Schein Technical Analysis

• Technical Analysis Sentiment: Neutral
• Last Price: 76.13
• 50DMA: Positive
• 100DMA: Positive
• 200DMA: Positive
• MACD: Positive
• RSI: Neutral
• STOCH: Neutral

Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For HSIC, the sentiment is Neutral. The current price of 76.13 is below the 20-day moving average (MA) of 77.08, above the 50-day MA of 74.07, and above the 200-day MA of 69.76, indicating a neutral trend. The MACD of 1.04 indicates Positive momentum. The RSI at 50.15 is Neutral, neither overbought nor oversold. The STOCH value of 54.04 is Neutral, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Neutral sentiment for HSIC.

Henry Schein Peers Comparison

Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
HSIC	73 Outperform	$9.14B	24.05	11.39%	―	3.51%	29.65%
COR	70 Neutral	$65.12B	42.16	144.31%	0.66%	9.31%	5.92%
CAH	66 Neutral	$47.78B	30.36	―	0.98%	4.37%	28.48%
PBH	66 Neutral	$3.09B	16.20	11.29%	―	-0.02%	-1.87%
MCK	62 Neutral	$100.72B	25.41	―	0.37%	17.23%	66.17%
Sector *	51 Neutral	$7.86B	-0.30	-43.30%	2.27%	22.53%	-2.21%

Henry Schein Corporate Events

Henry Schein appoints new CEO amid governance changes

On January 10, 2026, Henry Schein’s board appointed Frederick M. Lowery as chief executive officer effective March 2, 2026, expanding the board from 14 to 15 members to add him as a director while long-serving CEO Stanley M. Bergman, who has led the company for 35 years, transitions to the role of non-CEO chairman to oversee a managed leadership handover. Lowery, a 54-year-old industry veteran with more than two decades of healthcare distribution and operational experience at Thermo Fisher Scientific and earlier roles at Maytag and General Motors, has been brought in to drive Henry Schein’s next phase of growth and execution of its BOLD+1 strategy, supported by a substantial employment package, inclusion in an expanded executive severance plan, and by-law changes that formally separate the CEO role from the positions of president and chairman—moves that together signal a deliberate modernization of the company’s governance and leadership structure with potential implications for shareholder value and strategic execution.

The most recent analyst rating on (HSIC) stock is a Buy with a $87.00 price target. To see the full list of analyst forecasts on Henry Schein stock, see the HSIC Stock Forecast page.

Henry Schein Board Advances CEO Succession and Transition

On December 23, 2025, Henry Schein announced that its board expects to appoint a new chief executive officer by mid-January 2026, marking the final phase of a succession process closely watched by investors given the company’s size and role in global health care distribution. Until the successor takes over, long-serving CEO and chairman Stanley M. Bergman will remain in his roles under an extended employment agreement, a move designed to ensure leadership continuity and a smooth transition while the board completes its evaluation of a strong slate of candidates, signaling stability in the company’s strategic direction for customers, employees, and other stakeholders.

The most recent analyst rating on (HSIC) stock is a Buy with a $86.00 price target. To see the full list of analyst forecasts on Henry Schein stock, see the HSIC Stock Forecast page.

Henry Schein Extends Private Placement Facilities to 2028

On December 19, 2025, Henry Schein, Inc. amended multiple existing private placement shelf facilities with institutional investors including Prudential, New York Life, MetLife, and Corebridge to extend their scheduled facility termination dates from prior maturities to December 19, 2028 and to adjust certain financial definitions and covenants. These amendments are designed to preserve and extend the company’s access to long-term private financing, supporting balance sheet flexibility and potentially strengthening its funding position within the health care products distribution sector, with implications for the stability and predictability of its capital structure for lenders and other stakeholders.

The most recent analyst rating on (HSIC) stock is a Buy with a $86.00 price target. To see the full list of analyst forecasts on Henry Schein stock, see the HSIC Stock Forecast page.

Henry Schein Extends Strategic Partnership with KKR

On December 7, 2025, Henry Schein, Inc. announced that KKR Hawaii Aggregator L.P., acting as Investor Representative, has exercised its Extension Election under their Strategic Partnership Agreement. As a result, the company’s Board of Directors will renominate the Investor’s designees, Max Lin and William K. “Dan” Daniel, for election at the 2026 Annual Meeting, with their terms set to expire at the 2027 annual meeting of stockholders.

The most recent analyst rating on (HSIC) stock is a Buy with a $82.00 price target. To see the full list of analyst forecasts on Henry Schein stock, see the HSIC Stock Forecast page.