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Why Is Henry Schein (HSIC) Up 4.6% Since Last Earnings Report?
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It has been about a month since the last earnings report for Henry Schein (HSIC - Free Report) . Shares have added about 4.6% in that time frame, outperforming the S&P 500.
Will the recent positive trend continue leading up to its next earnings release, or is Henry Schein due for a pullback? Before we dive into how investors and analysts have reacted as of late, let's take a quick look at its most recent earnings report in order to get a better handle on the important catalysts.
Henry Schein Tops on Q1 Earnings and Revenues
Henry Schein, Inc. registered first-quarter 2026 adjusted earnings per share of $1.32, up 14.8% from the year-ago period’s figure. The bottom line also surpassed the Zacks Consensus Estimate by 10.3%.
Excluding adjustments, such as restructuring costs, acquisition intangible amortization and others, the company reported a GAAP earnings per share of 92 cents compared with the year-ago quarter’s 88 cents.
HSIC’s Revenues in Detail
Henry Schein reported first-quarter net sales of $3.37 billion, up 6.3% year over year. The metric also beat the Zacks Consensus Estimate by 1.15%.
Excluding 0.7% sales growth from acquisitions and a 3.1% increase from foreign currency exchange, internal sales growth was 2.5%.
HSIC’s Q1 Segmental Analysis
Sales in the Global Distribution and Value-Added Services segment was $2.84 billion, up 6.1% year over year on a reported basis and reflects 2.5% internal sales growth.Our model forecast was $2.77 billion.
Within this, Global Dental Distribution merchandise sales reflected 3% internal sales growth year over year, with continuing strong momentum in the United States.
Global Dental Distribution equipment sales witnessed 3.5% internal sales growth. Global Medical Distribution sales for the quarter saw 1.3% internal sales growth. Global Value-added Services sales highlighted 7.8% internal sales growth in the quarter.
The Global Specialty Products segment reported $397 million in sales, up 8.1% on a reported basis (1.7% internal sales growth). Our model forecast was $405.9 million.
Lastly, sales in Global Technology totaled $173 million, up 7% on a reported basis and reflected 6.9% internal sales growth. Our model projected $175.6 million for this segment.
HSIC’s Margin Performance
In the reported quarter, the gross profit totaled $1.07 billion, representing a 7% increase year over year. The gross margin expanded 20 basis points (bps) to 31.8% despite a 6% rise in the cost of sales.
SG&A expenses increased 9.6% to $809 million in the quarter under review. The adjusted operating profit was $261 million, down 0.4% year over year. The adjusted operating margin contracted 52 bps year over year to 7.7%.
Liquidity Position of HSIC
Henry Schein exited the first quarter of 2026 with cash and cash equivalents of $128 million compared with $156 million at the end of 2025.
Cumulative net cash used in operating activities at the end of the reported quarter was $97 million compared with cash inflow of $37 million a year ago.
During the reported quarter, HSIC repurchased nearly 1.6 million shares of its common stock at an average price of $77.64 per share for a total of approximately $125 million. At the end of the reported quarter, Henry Schein had $655 million authorized and available for future stock repurchases.
HSIC’s 2026 Guidance
The company continues to expect 2026 total sales growth to be between 3% and 5%. The Zacks Consensus Estimate for sales is currently pegged at $13.69 billion, indicating 3.9% year-over-year growth.
Non-GAAP diluted earnings per share for 2026 is expected to be in the band of $5.23-$5.37. The Zacks Consensus Estimate for earnings is pegged at $5.30.
How Have Estimates Been Moving Since Then?
Since the earnings release, investors have witnessed a flat trend in estimates revision.
VGM Scores
At this time, Henry Schein has a subpar Growth Score of D, though it is lagging a bit on the Momentum Score front with an F. However, the stock was allocated a score of B on the value side, putting it in the second quintile for this investment strategy.
Overall, the stock has an aggregate VGM Score of C. If you aren't focused on one strategy, this score is the one you should be interested in.
Outlook
Henry Schein has a Zacks Rank #3 (Hold). We expect an in-line return from the stock in the next few months.
Performance of an Industry Player
Henry Schein is part of the Zacks Medical - Dental Supplies industry. Over the past month, West Pharmaceutical Services (WST - Free Report) , a stock from the same industry, has gained 1.2%. The company reported its results for the quarter ended March 2026 more than a month ago.
West Pharmaceutical reported revenues of $844.9 million in the last reported quarter, representing a year-over-year change of +21%. EPS of $2.13 for the same period compares with $1.45 a year ago.
For the current quarter, West Pharmaceutical is expected to post earnings of $2.08 per share, indicating a change of +13% from the year-ago quarter. The Zacks Consensus Estimate has changed -0.2% over the last 30 days.
West Pharmaceutical has a Zacks Rank #1 (Strong Buy) based on the overall direction and magnitude of estimate revisions. Additionally, the stock has a VGM Score of F.
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Why Is Henry Schein (HSIC) Up 4.6% Since Last Earnings Report?
It has been about a month since the last earnings report for Henry Schein (HSIC - Free Report) . Shares have added about 4.6% in that time frame, outperforming the S&P 500.
Will the recent positive trend continue leading up to its next earnings release, or is Henry Schein due for a pullback? Before we dive into how investors and analysts have reacted as of late, let's take a quick look at its most recent earnings report in order to get a better handle on the important catalysts.
Henry Schein Tops on Q1 Earnings and Revenues
Henry Schein, Inc. registered first-quarter 2026 adjusted earnings per share of $1.32, up 14.8% from the year-ago period’s figure. The bottom line also surpassed the Zacks Consensus Estimate by 10.3%.
Excluding adjustments, such as restructuring costs, acquisition intangible amortization and others, the company reported a GAAP earnings per share of 92 cents compared with the year-ago quarter’s 88 cents.
HSIC’s Revenues in Detail
Henry Schein reported first-quarter net sales of $3.37 billion, up 6.3% year over year. The metric also beat the Zacks Consensus Estimate by 1.15%.
Excluding 0.7% sales growth from acquisitions and a 3.1% increase from foreign currency exchange, internal sales growth was 2.5%.
HSIC’s Q1 Segmental Analysis
Sales in the Global Distribution and Value-Added Services segment was $2.84 billion, up 6.1% year over year on a reported basis and reflects 2.5% internal sales growth.Our model forecast was $2.77 billion.
Within this, Global Dental Distribution merchandise sales reflected 3% internal sales growth year over year, with continuing strong momentum in the United States.
Global Dental Distribution equipment sales witnessed 3.5% internal sales growth. Global Medical Distribution sales for the quarter saw 1.3% internal sales growth. Global Value-added Services sales highlighted 7.8% internal sales growth in the quarter.
The Global Specialty Products segment reported $397 million in sales, up 8.1% on a reported basis (1.7% internal sales growth). Our model forecast was $405.9 million.
Lastly, sales in Global Technology totaled $173 million, up 7% on a reported basis and reflected 6.9% internal sales growth. Our model projected $175.6 million for this segment.
HSIC’s Margin Performance
In the reported quarter, the gross profit totaled $1.07 billion, representing a 7% increase year over year. The gross margin expanded 20 basis points (bps) to 31.8% despite a 6% rise in the cost of sales.
SG&A expenses increased 9.6% to $809 million in the quarter under review. The adjusted operating profit was $261 million, down 0.4% year over year. The adjusted operating margin contracted 52 bps year over year to 7.7%.
Liquidity Position of HSIC
Henry Schein exited the first quarter of 2026 with cash and cash equivalents of $128 million compared with $156 million at the end of 2025.
Cumulative net cash used in operating activities at the end of the reported quarter was $97 million compared with cash inflow of $37 million a year ago.
During the reported quarter, HSIC repurchased nearly 1.6 million shares of its common stock at an average price of $77.64 per share for a total of approximately $125 million. At the end of the reported quarter, Henry Schein had $655 million authorized and available for future stock repurchases.
HSIC’s 2026 Guidance
The company continues to expect 2026 total sales growth to be between 3% and 5%. The Zacks Consensus Estimate for sales is currently pegged at $13.69 billion, indicating 3.9% year-over-year growth.
Non-GAAP diluted earnings per share for 2026 is expected to be in the band of $5.23-$5.37. The Zacks Consensus Estimate for earnings is pegged at $5.30.
How Have Estimates Been Moving Since Then?
Since the earnings release, investors have witnessed a flat trend in estimates revision.
VGM Scores
At this time, Henry Schein has a subpar Growth Score of D, though it is lagging a bit on the Momentum Score front with an F. However, the stock was allocated a score of B on the value side, putting it in the second quintile for this investment strategy.
Overall, the stock has an aggregate VGM Score of C. If you aren't focused on one strategy, this score is the one you should be interested in.
Outlook
Henry Schein has a Zacks Rank #3 (Hold). We expect an in-line return from the stock in the next few months.
Performance of an Industry Player
Henry Schein is part of the Zacks Medical - Dental Supplies industry. Over the past month, West Pharmaceutical Services (WST - Free Report) , a stock from the same industry, has gained 1.2%. The company reported its results for the quarter ended March 2026 more than a month ago.
West Pharmaceutical reported revenues of $844.9 million in the last reported quarter, representing a year-over-year change of +21%. EPS of $2.13 for the same period compares with $1.45 a year ago.
For the current quarter, West Pharmaceutical is expected to post earnings of $2.08 per share, indicating a change of +13% from the year-ago quarter. The Zacks Consensus Estimate has changed -0.2% over the last 30 days.
West Pharmaceutical has a Zacks Rank #1 (Strong Buy) based on the overall direction and magnitude of estimate revisions. Additionally, the stock has a VGM Score of F.