Small-cap stock Henry Schein (NASDAQ: $HSIC) is soaring after reporting strong financial results for this year’s third quarter.
The New York City-based company specializes in making instruments used by dentists around the world, as well as assorted other medical and healthcare products.
We profiled the stock at the start of this year. But since then, it hadn’t done much and was down slightly in 2025.
What a difference an earnings report can make. After delivering the Q3 print, HSIC stock rose 10% and is now up 15% on the week.
Henry Schein reported Q3 earnings per share of $1.38 U.S., beating Wall Street forecasts of $1.28 U.S. a share. Quarterly sales were up 5.2% to $3.3 billion U.S.
The company also raised its full-year earnings guidance to between $4.88 U.S. and $4.96 U.S. The previous guidance called for $4.80 U.S. to $4.94 U.S. per share.
Also during the third quarter, Henry Schein bought back 3.3 million shares at an average price of $68.62 U.S. for a total of $229 million U.S.
HSIC stock is also getting a lift from reports that it is working with private-equity firm KKR & Co. (NYSE: $KKR) to enhance shareholder value.
KKR has taken a 12% stake in Henry Schein and is working to help turnaround the company and stock after years of underperformance.
This a friendly arrangement and Henry Schein has given KKR permission to increase its ownership stake to 19.9%.
A market capitalization of $8.73 billion U.S. makes Henry Schein a small-cap stock and a price-earnings (P/E) ratio of 22 makes the stock attractive at its present valuation.
There’s currently no dividend offered by the company, but that could change as KKR helps the company improve its sales and profits.
In the past five years, HSIC stock has risen only 17%. But the company’s revival is still in the early innings and looks promising.
