Analyst Allen Lutz of Bank of America Securities reiterated a Hold rating on DENTSPLY SIRONA (XRAY – Research Report), reducing the price target to $19.00.
Allen Lutz has given his Hold rating due to a combination of factors impacting DENTSPLY SIRONA’s current and future performance. The company is actively working on reducing costs as it faces broader market challenges, particularly in its key segments like Connected Technology Solutions and Orthodontic and Implant Solutions. Despite some positive developments, such as improving equipment trends in Germany, the overall growth outlook remains uncertain, with limited visibility into a near-term recovery.
While the focus on cost savings and restructuring efforts is helping to improve earnings per share, the lack of significant revenue growth poses a challenge for sustainable margin expansion in the long run. The valuation of the stock is considered relatively fair at current levels, which supports the Hold rating. The company’s ongoing internal changes and strategic initiatives will take time to translate into growth, and until there is clearer visibility on revenue improvements, a cautious stance is maintained.
According to TipRanks, Lutz is a 5-star analyst with an average return of 10.7% and a 67.39% success rate. Lutz covers the Healthcare sector, focusing on stocks such as Teladoc, Hims & Hers Health, and Cardinal Health.
In another report released yesterday, Evercore ISI also maintained a Hold rating on the stock with a $20.00 price target.
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