📊 HSIC Key Takeaways
Is HSIC a Good Investment? Thesis Analysis
HSIC demonstrates solid operational cash generation ($573M FCF) and quality earnings with net income growing faster than revenue (+5.3% vs +4.0%), but thin operating margins (5.0%) and modest revenue growth in a mature market limit upside potential. The company maintains acceptable leverage (0.71x Debt/Equity) and adequate interest coverage, though low cash reserves ($156M) constrain financial flexibility.
Why Buy HSIC? Key Strengths
- Strong free cash flow generation ($573M, 4.3% FCF margin) with OCF exceeding net income
- Operating leverage improving with net income growth outpacing revenue growth
- Reasonable debt-to-equity ratio (0.71x) with adequate interest coverage (4.4x)
- Established market position in recession-resistant healthcare supplies sector
- Consistent mid-single digit revenue growth in mature markets
HSIC Investment Risks to Consider
- Thin operating margins (5.0%) and net margins (3.0%) limit profitability and upside
- Weak quick ratio (0.76x) indicates liquidity pressure and inventory-dependent cash conversion
- Low cash position ($156M) relative to $13.2B revenue constrains strategic flexibility
- Modest revenue growth (+4.0%) reflects mature market saturation and competitive pricing pressure
- Asset-heavy business model with low ROA (3.5%) and dependence on healthcare spending trends
Key Metrics to Watch
- Free cash flow sustainability and working capital trends
- Gross margin expansion/compression from pricing and product mix
- Revenue growth acceleration in core medical/dental segments
- Debt reduction pace and cash balance improvement
- Operating margin expansion potential through operational efficiency
HSIC Financial Metrics
💡 AI Analyst Insight
The relatively thin 4.3% FCF margin may limit capital allocation flexibility.
HSIC Profitability Ratios
HSIC vs Healthcare Sector
How HENRY SCHEIN INC compares to Healthcare sector averages
Sector benchmarks are approximate industry averages. Actual sector performance may vary.
Is HSIC Overvalued or Undervalued?
Based on fundamental analysis, HENRY SCHEIN INC has mixed fundamental signals relative to the Healthcare sector in 2026.
Note: This is a fundamental analysis based on SEC filings. For P/E ratio, price targets, and market-based valuation, consult financial data providers. This is not investment advice.
HSIC Balance Sheet & Liquidity
HSIC 5-Year Financial Trend & Growth Analysis
5-Year Trend Summary: HENRY SCHEIN INC's revenue has shown modest growth of 6% over the 5-year period. The most recent EPS of $3.16 reflects profitable operations.
HSIC Growth Metrics (YoY)
HSIC Quarterly Performance
| Quarter | Revenue | Net Income | EPS |
|---|---|---|---|
| Q3 2025 | $3.2B | $99.0M | $0.78 |
| Q2 2025 | $3.1B | $86.0M | $0.70 |
| Q1 2025 | $3.2B | $93.0M | $0.72 |
| Q3 2024 | $3.2B | $99.0M | $0.78 |
| Q2 2024 | $3.1B | $104.0M | $0.80 |
| Q1 2024 | $3.1B | $93.0M | $0.72 |
| Q3 2023 | $3.1B | $137.0M | $1.05 |
| Q2 2023 | $3.0B | $140.0M | $1.06 |
Data sourced from SEC EDGAR 10-Q quarterly filings. Figures may represent quarterly or cumulative values.
HSIC Capital Allocation
HSIC SEC 10-K & 10-Q Filing Analysis
Access official SEC EDGAR filings for HENRY SCHEIN INC (CIK: 0001000228)
📋 Recent SEC Filings
❓ Frequently Asked Questions about HSIC
What is the AI rating for HSIC?
HENRY SCHEIN INC (HSIC) has an AI rating of HOLD with 75% confidence, based on fundamental analysis of SEC EDGAR filings.
What are HSIC's key strengths?
Claude: Strong free cash flow generation ($573M, 4.3% FCF margin) with OCF exceeding net income. Operating leverage improving with net income growth outpacing revenue growth.
What are the risks of investing in HSIC?
Claude: Thin operating margins (5.0%) and net margins (3.0%) limit profitability and upside. Weak quick ratio (0.76x) indicates liquidity pressure and inventory-dependent cash conversion.
What is HSIC's revenue and growth?
HENRY SCHEIN INC reported revenue of $13.2B.
Does HSIC pay dividends?
HENRY SCHEIN INC does not currently pay dividends.
Where can I find HSIC SEC filings?
Official SEC filings for HENRY SCHEIN INC (CIK: 0001000228) including 10-K, 10-Q, and 8-K reports are available on SEC EDGAR.
What is HSIC's EPS?
HENRY SCHEIN INC has a diluted EPS of $3.27.
How is the AI analysis conducted?
Two independent AI systems — Claude (Anthropic) and ChatGPT (OpenAI) — analyze SEC EDGAR filings including 10-K annual reports and 10-Q quarterly reports. Each AI evaluates financial health, profitability ratios, balance sheet strength, and growth metrics. The combined rating reflects both perspectives for balanced insights.
Is HSIC a good stock to buy right now?
Based on our AI fundamental analysis in April 2026, HENRY SCHEIN INC has a HOLD rating with 75% confidence. Review the strengths and risks sections above before making a decision. This is not investment advice.
Is HSIC stock overvalued or undervalued?
Valuation metrics for HSIC: ROE of 12.3% (sector avg: 15%), net margin of 3.0% (sector avg: 12%). Compare these metrics with sector averages to assess valuation.
Should I buy HSIC stock in 2026?
Our dual AI analysis gives HENRY SCHEIN INC a combined HOLD rating for 2026. Revenue is data pending, with profitability at or below sector average. Always conduct your own research.
What is HSIC's free cash flow?
HENRY SCHEIN INC's operating cash flow is $712.0M, with capital expenditures of $139.0M. FCF margin is 4.3%.
How does HSIC compare to other Healthcare stocks?
Vs Healthcare sector averages: Net margin 3.0% (avg: 12%), ROE 12.3% (avg: 15%), current ratio 1.38 (avg: 2).