| 2014 | 2015 | 2017 | 2018 | 2019 (projected) | Henry Schein Long Term Debt to Equity | 0.16 | 0.26 | 0.34 | 0.31 | 0.25 | Henry Schein Interest Coverage | 56.14 | 41.44 | 13.09 | 15.05 | 30.23 |
Should I hold on to my Henry Schein position and sell AmerisourceBergen?
 | By Ellen Johnson | Macroaxis Story |
Is Henry Schein valuation justified? Here I will cover the organisation prospective on valuation to give you a better outlook on taking a position in this stock. What is Henry Schein Target Price Odds to finish over Current Price? Depending on normal probability distribution, the odds of Henry Schein to move above current price in 30 days from now is about 79.08%. The Henry Schein probability density function shows the probability of Henry Schein Stock to fall within a particular range of prices over 30 days . Given the investment horizon of 30 days, Henry Schein has beta of 0.5458 . This indicates as returns on market go up, Henry Schein average returns are expected to increase less than the benchmark. However during bear market, the loss on holding Henry Schein will be expected to be much smaller as well. Additionally, the company has a negative alpha implying that the risk taken by holding this equity is not justified. Henry Schein is significantly underperforming S&P 500.
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Reviewed by Raphi Shpitalnik
Henry Schein currently holds 1.54B in liabilities with Debt to Equity (D/E) ratio of 41.5 indicating the company may have difficulties to generate enough cash to satisfy its financial obligations. The firm dividends can provide a clue to current valuation of the stock. The entity is not expected to issue dividends this year as it trying to preserve or re-invest any of the funds available for distribution to stakeholders. Earning per share calculations of Henry Schein is based on official Zacks consensus of 7 analysts regarding the entity future annual earnings. Given the historical accuracy of 97.81%, the future earnings per share of the company is estimated to be 3.454 with lowest and highest values of 3.41 and 3.5 respectively. Please note that this consensus of annual earnings estimates for the stock is an estimate of EPS before non-recurring items and including employee stock options expenses. We determine the current worth of Henry Schein using both absolute as well as relative valuation methodologies to arrive at its intrinsic value. In general, an absolute valuation paradigm, as applied to this company, attempts to find the value of Henry Schein based exclusively on its fundamental and basic technical indicators. By analyzing Henry Schein's financials, quarterly and monthly indicators, and related drivers such as dividends, operating cash flow, and various types of growth rates, we attempt to find the most accurate representation of Henry Schein's intrinsic value. In some cases, mostly for established, large-cap companies, we also incorporate more traditional valuation methods such as dividend discount, discounted cash flow, or asset-based models. As compared to an absolute model, our relative valuation model uses a comparative analysis of Henry Schein. We calculate exposure to Henry Schein's market risk, different technical and fundamental indicators, relevant financial multiples and ratios, and then comparing them to Henry Schein's related companies.
Henry Schein Investment Alerts
Henry investment alerts and warnings help investors to get more proficient at understanding not only critical technical and fundamental signals but also the significant portfolio-centered indicators. These indicators include beta, alpha, and other risk-related measures that will help you in monitoring Henry Schein performance across your portfolios.Please check all investment alerts for HenryHenry Schein Valuation Ratios as Compared to Competition
Our valuation model uses many indicators to compare Henry value to that of its competitors to determine the firm's financial worth. You can analyze the relationship between different fundamental ratios across Henry Schein competition to find correlations between indicators driving the intrinsic value of Henry.Henry Schein Gross Profit
Henry Schein Gross Profit growth is one of the most critical measures in evaluating the company. The Gross Profit growth rate is calculated simply by comparing Henry Schein previous period's values with its current period's values. Each time period you're measuring should be of equal lengths the increase or decrease, in a company's Gross Profit between two periods. Here we show Henry Schein Gross Profit growth over the last 10 years. Please check Henry Schein's gross profit and other fundamental indicators for more details.
Breaking down the case for Henry Schein
Henry Schein harnesses its working resources almost 7.51 (percent), generating $0.0751 for each dollar of working resources held by the corporation. An expanding assets utilization attests that the company is being more effective with each dollar of working resources it retains. In other words assets utilization of Henry Schein shows how effective it operates for each dollar spent on its working resources. The current investor indifference towards the small price fluctuations of Henry Schein may raise some interest from investors. The Stock closed today at a share price of 66.97 on 748700.000 in trading volume. The company executives did not add any value to Henry Schein investors in June. However, most investors can still diversify their portfolios with Henry Schein to hedge your portfolio against high-volatility market scenarios. The stock standard deviation of daily returns for 30 days (very short) investing horizon is currently 1.0199. The below-average Stock volatility is a good sign for a longer term investment options and for buy-and-hold investors. Henry Schein preserves 604.2m of working capital. Henry Schein is trading at 67.39 which is 0.35 percent decrease. Started trading at 67.39. Henry Schein Total Assets Per Share is increasing over the last 5 years. Further, Henry Schein Total Liabilities is somewhat stable at the moment.
To sum up, we belive that Henry Schein is currently fairly valued with very small probability of bankruptcy in the next two years. Our final buy vs hold vs sell advice on the company is Strong Hold.
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