Henry Schein price target lowered to $78 from $84 at Piper Sandler

Piper Sandler lowered the firm’s price target on Henry Schein to $78 from $84 and keeps an Overweight rating on the shares. The firm notes the company reported Q3 results that missed slightly on the top line but posted adjusted EPS that finished in line with consensus. More in focus for investors, though, are the cyberattack updates, including the anticipated financial impact and operational update. These updates won’t fully remove the uncertainties of what lasting impacts the cyberattack has left on Henry Schein’s customer base or whether the level of spend on IT infrastructure/additional security needs to permanently rise, which therefore leaves the outlook for 2024 and beyond an open debate, Piper says. But from the firm’s perspective, it believes the goodwill built by Henry Schein over the years coupled with the sizable large account/contracted business should limit any sizable material reset lower of future financials.