Earnings Beat: DENTSPLY SIRONA Inc. Just Beat Analyst Forecasts, And Analysts Have Been Updating Their Models

DENTSPLY SIRONA Inc. (NASDAQ:XRAY) just released its latest first-quarter results and things are looking bullish. The company beat forecasts, with revenue of US$879m, some 2.9% above estimates, and statutory earnings per share (EPS) coming in at US$0.10, 900% ahead of expectations. Following the result, the analysts have updated their earnings model, and it would be good to know whether they think there's been a strong change in the company's prospects, or if it's business as usual. We've gathered the most recent statutory forecasts to see whether the analysts have changed their earnings models, following these results.

We've discovered 1 warning sign about DENTSPLY SIRONA. View them for free.

Following the recent earnings report, the consensus from 17 analysts covering DENTSPLY SIRONA is for revenues of US$3.64b in 2025. This implies a perceptible 2.2% decline in revenue compared to the last 12 months. DENTSPLY SIRONA is also expected to turn profitable, with statutory earnings of US$0.67 per share. Yet prior to the latest earnings, the analysts had been anticipated revenues of US$3.57b and earnings per share (EPS) of US$0.61 in 2025. The analysts seems to have become more bullish on the business, judging by their new earnings per share estimates.

See our latest analysis for DENTSPLY SIRONA

There's been no major changes to the consensus price target of US$18.07, suggesting that the improved earnings per share outlook is not enough to have a long-term positive impact on the stock's valuation. Fixating on a single price target can be unwise though, since the consensus target is effectively the average of analyst price targets. As a result, some investors like to look at the range of estimates to see if there are any diverging opinions on the company's valuation. Currently, the most bullish analyst values DENTSPLY SIRONA at US$25.00 per share, while the most bearish prices it at US$14.00. Note the wide gap in analyst price targets? This implies to us that there is a fairly broad range of possible scenarios for the underlying business.

Of course, another way to look at these forecasts is to place them into context against the industry itself. We would highlight that revenue is expected to reverse, with a forecast 2.9% annualised decline to the end of 2025. That is a notable change from historical growth of 1.1% over the last five years. By contrast, our data suggests that other companies (with analyst coverage) in the same industry are forecast to see their revenue grow 8.2% annually for the foreseeable future. It's pretty clear that DENTSPLY SIRONA's revenues are expected to perform substantially worse than the wider industry.

The Bottom Line

The most important thing here is that the analysts upgraded their earnings per share estimates, suggesting that there has been a clear increase in optimism towards DENTSPLY SIRONA following these results. On the plus side, there were no major changes to revenue estimates; although forecasts imply they will perform worse than the wider industry. The consensus price target held steady at US$18.07, with the latest estimates not enough to have an impact on their price targets.

Following on from that line of thought, we think that the long-term prospects of the business are much more relevant than next year's earnings. At Simply Wall St, we have a full range of analyst estimates for DENTSPLY SIRONA going out to 2027, and you can see them free on our platform here..

You should always think about risks though. Case in point, we've spotted 1 warning sign for DENTSPLY SIRONA you should be aware of.

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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.