Is Strong Q3 Results And Raised EPS Guidance Altering The Investment Case For Henry Schein (HSIC)?

• Earlier this quarter, Henry Schein reported strong Q3 2025 results, with adjusted EPS and revenue exceeding analyst expectations and management lifting full-year 2025 adjusted EPS guidance alongside projected sales growth.
• The guidance upgrade suggests management sees the current mix of higher-margin products and services as supportive of stronger profitability than previously anticipated.
• With management now raising full-year guidance, we’ll examine how this confidence reshapes Henry Schein’s investment narrative and earnings outlook.

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Henry Schein Investment Narrative Recap

To own Henry Schein, you need to believe its shift toward higher margin specialty products, technology and services can offset pricing pressure in core distribution and uneven dental volumes. The Q3 beat and upgraded 2025 EPS guidance support that thesis in the near term, but do not eliminate execution risk around cost savings programs and technology investments, which remains one of the biggest swing factors for the stock.

The recent decision to lift 2025 total sales growth guidance to approximately 3% to 4% ties directly into this catalyst, as it leans on momentum in higher margin segments to support both revenue and earnings. As we look at how this upgraded outlook interacts with ongoing cost initiatives and competitive pressures, it becomes more important to understand where the earnings power is really coming from and how durable it might be.

But against this stronger guidance, investors should still be aware of the execution risk around the multi year leadership transition and cost saving initiatives...

Read the full narrative on Henry Schein (it's free!)

Henry Schein's narrative projects $14.4 billion revenue and $614.4 million earnings by 2028. This requires 4.0% yearly revenue growth and a $225.4 million earnings increase from $389.0 million today.

Uncover how Henry Schein's forecasts yield a $77.64 fair value, in line with its current price.

Exploring Other Perspectives

Two fair value estimates from the Simply Wall St Community span a wide range, from about US$77.64 up to US$174.11, showing how far apart individual views can be. When you set those opinions against Henry Schein’s growing mix of higher margin products and technology services, it underlines why many readers may want to compare several perspectives before judging the company’s longer term earnings potential.

Explore 2 other fair value estimates on Henry Schein - why the stock might be worth just $77.64!

Build Your Own Henry Schein Narrative

Disagree with existing narratives? Create your own in under 3 minutes - extraordinary investment returns rarely come from following the herd.

• A great starting point for your Henry Schein research is our analysis highlighting 4 key rewards and 1 important warning sign that could impact your investment decision.
• Our free Henry Schein research report provides a comprehensive fundamental analysis summarized in a single visual - the Snowflake - making it easy to evaluate Henry Schein's overall financial health at a glance.

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This article by Simply Wall St is general in nature. We provide commentary based on historical data and analyst forecasts only using an unbiased methodology and our articles are not intended to be financial advice. It does not constitute a recommendation to buy or sell any stock, and does not take account of your objectives, or your financial situation. We aim to bring you long-term focused analysis driven by fundamental data. Note that our analysis may not factor in the latest price-sensitive company announcements or qualitative material. Simply Wall St has no position in any stocks mentioned.

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