Henry Schein Inc. is the world's largest provider of health-care products and services to office-based dental, animal health and medical practitioners. The company was founded in 1932 and is based in Melville, New York.
HSIC Price Forecast Based on DCF Valuation
DCF Fair Value Target:
We started the process of determining a valid price forecast for Henry Schein Inc with a discounted cash flow analysis -- the results of which can be found in the table below. To summarize, we found that Henry Schein Inc ranked in the 47th percentile in terms of potential gain offered. As for the metrics that stood out in our discounted cash flow analysis of Henry Schein Inc, consider:
HSIC's estimated cost of debt, based largely on its market capitalization and its interest coverage ratio, is 2%; for context, that number is higher than 32.44% of tickers in our DCF set.
Henry Schein Inc's interest coverage rate -- a measure of gross earnings relative to interest payments -- comes in at 21.64. This coverage rate is greater than that of 87.16% of stocks we're observing for the purpose of forecasting via discounted cash flows.
The weighted average cost of capital for the company is 7. This value is greater than only 19.91% stocks in the Healthcare sector that generate free cash flow.
Terminal Growth Rate in Free Cash Flow
Return Relative to Current Share Price
ACIU, GILD, HCSG, LH, and ADMT can be thought of as valuation peers to HSIC, in the sense that they are in the Healthcare sector and have a similar price forecast based on DCF valuation.
In this article you are going to find out whether hedge funds think Henry Schein, Inc. (NASDAQ:HSIC) is a good investment right now. We like to check what the smart money thinks first before doing extensive research on a given stock. Although there have been several high profile failed hedge fund picks, the consensus picks […]
With me on the call today are Stanley Bergman, chairman of the board and chief executive officer of Henry Schein; and Steven Paladino, executive vice president and chief financial officer. Before we begin, I would like to state that certain comments made during this call will include information that is forward looking.