Dentsply Sirona initiated with a Buy at Needham

Needham initiated coverage of Dentsply Sirona with a Buy rating and $35 price target. The analyst says management’s focus on improving commercial execution should allow the company to capitalize on its competitive portfolio. While the macro environment will be a headwind to revenue growth in the near-term, much of Dentsply’s margin expansion potential is tied to factors independent of top-line performance, the analyst tells investors in a research note. As such, Needham believes the company can see double-digit earnings growth over the next few years despite a challenging macro environment.