Back to top

Analyst Blog

DENTSPLY SIRONA Inc. (XRAY - Free Report) reported adjusted earnings per share (EPS) of 66 cents in the third quarter of 2016, beating the Zacks Consensus Estimate by 3 cents. Earnings were flat on a year-over-year basis.

Notably, DENTSPLY repurchased an additional $100 million of shares and paid $18 million in dividends during the third quarter.

Quarter Details

Net sales increased to $954.2 million from $648.9 million in the year-ago period. However, the figure came below the Zacks Consensus Estimate of $960.0 million. Sales (excluding precious metals) of the combined businesses grew 49.2% at constant currency (cc) exchange rates. Net sales, excluding precious metal content, were positively impacted by approximately 40 basis points due to the weakening of the U.S. dollar over the prior-year period.

Sales (excluding precious metals) of the combined businesses grew 49.2% at constant currency (cc) exchange rates.

In the quarter, U.S. sales surged 33.9% to $334.2 million, while net sales in Europe increased 41.3% to $348.3 million. Sales (excluding precious metals) of the combined business fell 3.1% at cc in the U.S., while European sales rose 1.6%.

Net sales in Rest of World increased 92.6% to $256.7 million. Sales (excluding precious metals) in Rest of World of the combined businesses improved 3.8% at cc.

Segment Details

Post completion of the DENTSPLY-SIRONA merger, the business has been organized into two reporting segments: Dental & Healthcare Consumables and Technologies.
Dental & Healthcare Consumables comprises preventive, restorative, instruments, endodontic and laboratory dental products, as well as consumable medical device products. Sales increased 7% to $497.2 million. At cc, sales of the combined entity were flat year over year in the quarter.

Technologies consist of dental implants, CAD/CAM systems, imaging systems, treatment centers and orthodontic products. Net sales increased 168.5% to $442 million. At cc, sales of the combined business climbed 0.9% in the quarter. Internal sales growth of the combined business was 0.2%.

DENTSPLY SIRONA Price, Consensus and EPS Surprise

DENTSPLY SIRONA Price, Consensus and EPS Surprise | DENTSPLY SIRONA Quote


For full-year 2016, the company raised the bottom end of its previous EPS guidance range of $2.70 to $2.80 and now anticipates adjusted EPS in the range of $2.75 to $2.80.

Zacks Rank & Key Picks

Currently, DENTSPLY carries a Zacks Rank #4 (Sell).

Better-ranked stocks in the broader medical space include Cardiovascular Systems Inc. (CSII - Free Report) , Exelixis, Inc. (EXEL - Free Report) and IDEXX Laboratories, Inc. (IDXX - Free Report) . Notably, all the companies sport a Zacks Rank #1 (Strong Buy). You can see the complete list of today’s Zacks #1 Rank stocks here.

Cardiovascular Systems represents a stellar one-year return of 55.1%. Notably, the company has an expected long-term growth rate of 22.5%.

Exelis has a stupendous one-year return of 66.1%. In the last reported quarter, the company registered an impressive earnings surprise of 40.74%.

IDEXX Laboratories represents a promising one-year return of 48.6%. The company has a long-term expected growth rate of almost 14.8%.

Confidential from Zacks

Beyond this Analyst Blog, would you like to see Zacks' best recommendations that are not available to the public? Our Executive VP, Steve Reitmeister, knows when key trades are about to be triggered and which of our experts has the hottest hand. Click to see them now>> 

In-Depth Zacks Research for the Tickers Above

Normally $25 each - click below to receive one report FREE:

IDEXX LABS INC (IDXX) - free report >>

CARDIOVASCLR SY (CSII) - free report >>

EXELIXIS INC (EXEL) - free report >>

DENTSPLY SIRONA (XRAY) - free report >>