Henry Schein, Inc. (HSIC): A Bull Case Theory

Core Thesis - Henry Schein, Inc. (HSIC) is viewed positively due to its potential growth catalysts, including the appointment of a new CEO, private-label expansion, cost optimization, and AI-driven growth opportunities in its dental software business [2][4][5] Financial Metrics - As of December 1st, HSIC's share price was $73.11, with trailing and forward P/E ratios of 23.06 and 13.95 respectively [1] - The stock trades at approximately 13 times EPS, indicating a depressed valuation due to stagnant end-market growth and disappointing organic growth and margins [2] Growth Potential - The company is expected to achieve consensus EPS of over $7 within the next two to three years, suggesting a potential stock valuation of under 10 times earnings if execution aligns with expectations [3] - Ongoing share repurchase programs and strategic initiatives are seen as levers to drive future earnings growth [3][4] Market Position - HSIC holds a dominant market position as the largest dental distributor in the U.S., supported by a robust distribution network [2][4] - The company is currently undervalued relative to its earnings trajectory and the strategic opportunities that may arise under new leadership, presenting a favorable risk/reward profile for investors [4]