Henry Schein Consensus Valuation Trimmed by Over 12% Amid Mixed Market Signals

Wall Street is pulling back on its near-term outlook for Henry Schein. The updated consensus price target for shares of the medical supplies distributor (trading as 1HSIC) now stands at €65.12 per share, marking a notable downward revision. Compared to analyst estimates from mid-January at €74.31, this represents a trimming of roughly one-eighth, or 12.37% below previous expectations.

Yet the revised target still implies meaningful upside. At the current trading price of €57.92, the consensus goal represents a potential gain of 12.43%—suggesting lingering optimism despite the pullback. Notably, analyst projections now range from as low as €48.10 to as high as €77.60, reflecting the varied views within the investment community about the company’s trajectory.

What’s Behind the Revised Valuation?

The shift in analyst sentiment reflects evolving perceptions about Henry Schein’s near-term prospects. The consensus approach—averaging targets from multiple Wall Street firms—typically adjusts when new data emerges around revenue trends, profitability, or competitive pressures. The wide band between low and high targets (€48.10 to €77.60) underscores the uncertainty still present around Schein’s business outlook.

The price-target framework matters because it signals how much near-term upside or downside investors should reasonably expect. A 12% haircut in collective estimates suggests analysts grew more cautious but didn’t dramatically abandon their bullish thesis—the new target still implies modest gains from current levels.

The Shift in Fund Positioning

Institutional investor appetite tells another part of the story. According to data from Fintel’s research platform, approximately 998 funds and institutions maintain documented positions in Henry Schein. This count declined by 103 holders (9.36%) in the latest quarter, hinting at reduced participation among certain fund managers.

More telling is the change in average portfolio weighting. While the number of institutional holders fell, the average allocation to 1HSIC among all funds rose to 0.25% of portfolios—up 6.81% quarter-over-quarter. This suggests that funds sticking with Schein are actually increasing their conviction, even as others exited entirely.

However, the total institutional ownership in terms of share count contracted. Holdings fell by 6.33% to 145,153K shares over the three-month period, indicating net selling pressure from the institutional base despite pockets of growing commitment.

Who’s Leading the Major Stakes?

Among the largest stakeholders in Henry Schein, several prominent names shape the narrative:

Kohlberg Kravis Roberts & Co. maintains the largest documented position with 15,652K shares (13.30% ownership), with no changes reported in the past quarter. The stability of KKR’s stake suggests confidence or at least a hold-and-watch approach.

Artisan Partners Limited Partnership holds 6,833K shares for 5.80% ownership. The firm expanded its Schein holdings by 5.43% quarter-over-quarter (from 6,462K shares), but nonetheless reduced its overall portfolio allocation to 1HSIC by 6.91%—a seemingly contradictory move that may reflect broader portfolio rebalancing needs.

JPMorgan Chase controls 6,209K shares representing 5.27% of the company. The mega-bank trimmed its stake slightly by 0.71% (from 6,253K shares) while cutting its portfolio weight in Schein by 17.34%, indicating a more decisive shift away from overweighting the position.

Invesco and American Century Companies round out the top holders with 4,732K and 4,512K shares respectively (4.02% and 3.83% ownership). Both reduced their portfolio allocations to Schein substantially—Invesco by 89.78% and American Century by 15.78%—suggesting these managers are deprioritizing the equity in their wider holdings despite maintaining their baseline stakes.

The divergence between share-count movements and portfolio-weight adjustments reveals nuance: some institutions are adding shares to Schein while simultaneously shrinking its importance within their overall portfolios, likely reflecting either profit-taking or strategic shifts toward other opportunities.

Henry Schein’s story thus emerges as one of modest pullback in analyst sentiment paired with selective institutional retrenchment. The consensus remains constructive on valuations, but the reduced enthusiasm and mixed ownership moves hint at heightened scrutiny around the business.

Data sourced from Fintel, an investment research platform. Past performance and analyst opinions do not guarantee future results.