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RISK CONCERN
Investment Strategy, Risk Analysis, and Insights by Chartered Professionals
Dentsply Sirona Inc. (XNAS:XRAY) In-Depth Stock/Fundamental/Options Analysis Today
Primary Facts
XRAY
Name:
DENTSPLY SIRONA INC. (XNAS:XRAY)
Sector:
49.00M
Industry:
Medical Instruments & Supplies
CEO:
Mr. Donald Casey
Total Employees:
15,000
Our Technological Advancement Rating
Our Rating:
A+
Technological advancement compared to industry is 3210.71% higher
ANALYSIS OF ALL CRITICAL FACTORS & RISKS RELATED TO THE STOCK & FUNDAMENTAL/LONG-TERM ANALYSIS OF DENTSPLY SIRONA INC.(XRAY) AS PER DATA ANALYSIS OF LAST 3 YEARS AND COMPARISON WITH COMPETITORS/PEERS, AND MEDICAL INSTRUMENTS & SUPPLIES INDUSTRY. DATE: 07/09/2022
Primary Targets/Price Insights
Previous Close ($) :
31.8
One Month Price Target:
$31.96
Six Month Price Target :
$32.79
Likely Price in One Year's Time:
Ticker:
$33.77
Likely Trading Range Today Under (Normal Volatility)
$31.65
Price Upper limit ($) :
$31.91
Price Lower limit ($) :
Crash Risk Prep/Key Price Levels (High Volatility/Risk)
Price, as per data analysis, isn't likely to fall below:
Today:
$30.23
This week:
$28.29
This month :
$24.77
Other Primary facts
Market Cap:
6.69B
Market Cap Classification:
Mid Cap
Number of Shares
IPO Date:
215.45M
Best/Worst Daily Performance (Last 3+ Years)
Highest Daily Appreciation:
12.57%
-13.38%
Worst Daily Decline:
Our Options Trading Entry Points
Iron Condor entry points for options expiring in 1 week's time
Low risk (<2%) entry points
Buy Call:
Sell Call:
Buy Put:
Sell Put:
$39.10
$35.82
$24.50
$27.78
Medium risk (<10%) entry points
Buy Call
Sell Call
$34.76
Buy Put:
Sell Put:
$34.06
$28.83
$29.54
These entry points can be used for other strategies, such as butterflies, straddles, etc.
Risk-Adjusted returns (Sharpe Ratio) of
XRAY
Sharpe Ratio:
-2.73%
Comparison:
XRAY, is amongst the top 40% stocks with lowest risk-adjusted returns
Sharpe ratio is -270.31% lower than the industry
& is -219.64% lower than the market/S&P 500 average
Average Returns/Yield of
XRAY
Daily returns:
-0.06%
Weekly returns:
-0.28%
Monthly returns:
-1.12%
Yearly returns:
14.68%
Comparison of returns:
Average annual returns/yield (last 3 years) is -191.57% below industry average
Classification:
XRAY, is amongst the top 40% lowest yielding stocks in terms of daily returns
Results of T-Test of Returns:
0.44
Statistical test of Returns:
XRAY has yielded returns statistically similar to the market
Volatility (measured by Standard Deviation)
Daily Volatility:
2.38%
Weekly Volatility:
5.32%
Monthly Volatility:
10.64%
Yearly Volatility:
36.85%
Volitlilty of last five days (Measured by Standard Deviation)
Average Volatility of this Week:
0.65%
Volatility in last five trading days has been -72.56% below long-term volatility
Value at Risk Analysis (VaR)
Daily VaR:
-4.94%
Weekly VaR:
-11.05%
Monthly VaR:
-22.10%
How Much Can the price of
XRAY
Decline in a Recession?
Likely price decline in a recession:
Base case (decline):
-20%
Worst case (decline):
-76.55%
This translates to price declining to:
$25.38
This translates to price declining to:
$7.46
Severe Crash Probability
Risk of crash in next 6/12 months: Low (<25%)
What is Value at Risk (VaR)?
Risk Fundamentals
XRAY is a 55.97% riskier investment compared to the market/S&P 500 & is 33.62% riskier than Nasdaq (IXIC)
Risk (measured by volatility) is -18.06% below industry average
Overall, it is amongst the top 50% most risky stocks
Beta Examination of
XRAY
Beta in relation to market/S&P 500--0.92
Expected beta in 1 year's time:
0.677
Expected beta in 3 year's time:
0.958
Unlevered (debt free) Beta:
0.705
Beta in relation to Nasdaq (XNAS):
0.592
Beta in relation to all global stocks::
0.673
Beta Comparison & Analysis
Beta of competitors/peers::
1.194
Beta is -22.67% lower than peers
Average Industry Beta:
0.989
Beta is -6.64% below industry average
Sustainable Growth Rate Analysis
Sustainable growth rate for this stock/firm:
6.44%
Sustainable growth rate is -56.17% below industry average
Alpha provided | Alpha Analysis
Alpha provided:
-0.229
Alpha is -581.95% below industry average alpha yield
Alpha is -1459% below the market average
Analysis of Cost of Capital of
XRAY
Equity cost of capital:
0.095
Equity cost of capital is -4.53% below industry mean WACC
Unlevered (without debt) cost of capital:
7.24%
Before-tax cost of debt:
2.23%
After-tax cost of debt:
1.76%
Overall debt rating:
Highest AAA investment grade
Weighted average cost of capital (WACC):
1.76%
WACC is -14.30% below industry mean WACC
Key Per-Share Metrics & Analysis
Revenue per share:
$19.44
Revenue growth rate per share of (3Y):
1.4
Annual revenue growth rate is -82.12% below industry average
EPS:
$1.68
Expected Annual growth rate of EPS (3Y):
17.41%
Expected future EPS growth rate is 50.58% higher than the Medical Instruments & Supplies industry
Free cash flow (FCF) per share:
$2.47
Balance sheet equity growth per share: 19.77%
Equity growth rate per share is 7536.10% higher than the industry
Debt per share
$9.42
EBITDA per share
$4.12
Valuation Analysis Today of
XRAY
P/E Ratio:
18.92
P/E Ratio of Competitors/Peers:
187.82
P/E ratio is -89.92% lower than main peers & is -62.07% lower than the industry
Stock price/value with industry average P/E ratio: $83.81
XRAY is -62.06% undervalued if valued using industry average P/E ratio
Share value as per dividend discount (DDM) model: $60.98
Present value of the expected future dividends only: $6.76
P/S (Price to Sales ratio):
1.64
Price to sales ratio is -77.95% below the industry mean
P/B (Price to book value ratio):
1.4
Price to free cash flow: 12.89
Price to free cash flow ratio is -67.80% lower than the industry
Net income growth rate (3Y):
-142.61%
Net income growth rate is 34.95% higher than the average industry net income growth rate
Dividend Analysis
Dividend payout rate: 6.50%
Dividend yeild: 1.48%
Previous Dividend: $0.13
Previous adjusted dividend: $0.13
Previous Dividend: $0.47
Expected next dividend best case: $0.13
Expected next dividend worst case: $0.12
Average dividend payment (long-term): $0.11
Average dividend increase/decrease (growth rate) % per period: 2.36%
Expected next dividend payment date: 10/06/2022
Expected next dividend record date: 22/09/2022
-
Previous dividend payment date: 07/08/2022
Previous dividend record date: 24/06/2022
-
Dividend History:
2022-06-23--$0.13
2021-12-30--$0.11
2021-06-24--$0.11
2022-03-24--$0.13
2021-09-23--$0.11
2021-03-25--$0.10
Dividend growth rate is -219.47% lower than the industry average
In-depth Debt & Leverage Analysis
Debt to equity ratio:
41.36%
Net debt to equity ratio:
40.81%
Debt to assets ratio:
22.15%
Net debt to assets ratio:
21.86%
Debt-to-asset ratio is -38.29% below industry average
Ability to repay debt:
Interest coverage ratio:
16.75
Interest coverage ratio is -76.38% less than industry average
Looking forward:
Debt growth rate:
-1.51%
Annual debt growth is -101% lower than industry average debt growth rate
Debt repayment rate in last quarter: 0.10%
Analysis of Key Statistics
Correlation of price movement with the market:
0.573
Statistical significance of correlation:
XRAY has a statistically significant correlation with the market
Average Correlation of the industry with the market:
0.505
Stock price is 13.57% more correlated with the market, compared to the industry average correlation
R Squared (percentage of price movement explained by movement of the market):
0.505
Correlation of price movement with Nasdaq (^IXIC):
0.002
Covariance of price movement with the market:
0.003
Kurtosis
6.473
Returns have a significant fat-tails (leptokurtic), i.e., returns considerably higher or lower than the mean returns are more probable, compared to assets with normally distributed returns
Skewness of returns:
0.029
Returns are, approximately, symmetrical
Fundamental Analysis & Dupont Analysis of
XRAY
Gross Profit Margin Ratio:
219%
Operating Profit Margin Ratio:
13.39%
Operating profit margin is 0.05% higher than the industry
Net Profit Margin Ratio:
219%
Effective Tax Rate:
25.15%
Effective tax rate is -23.47% lower than the industry
Dupont Method
Net Profit Margin
Return on Equity Ratio (ROE):
×
ROA
=
×
7.52%
Return on equity (ROE) is -116.50% lower than the industry
Financial Leverage
Asset Turnover Ratio (ROA):
4.03%
Return on assets (ROA) is -43.75% lower than the industry
Financial Leverage:
1.3x
Current Ratio:
1.45
Current ratio is -60.36% below industry average
Cash Conversion Cycle (days):
36.4
Cash conversion cycle is -30.99% below industry average
The remaining useful life of property plant & equipment is: 0.0 years
Stock based compensation to net income ratio:
2.98%
In-depth Efficiency Analysis
Revenue generated per employee:
279.3K
Each employee generates -21% less revenue than industry average revenue per employee
EBITDA generated per employee:
59.2K
Each employee generates -47% less EBITDA than industry average revenue per employee
Profit generated per employee:
24.6K
Each employee generates -68% less net income/profit than industry average revenue per employee
Free cash flow (FCF) generated per employee:
3.3K
Each employee generates -157% less free cash flow than industry average revenue per employee
Assets/Capital per employee
484.9K
Each employee generates -157% less free cash flow than industry average revenue per employee
Research & Development (R&D) Analysis
-
-
Competitors/Peer firms of
XRAY
EXACT SCIENCES CORPORATION (XNAS:EXAS)
REPLIGEN CORPORATION (XNAS:RGEN)
BRUKER CORPORATION (XNAS:BRKR)
XLRN
Grifols SA (XNAS:GRFS)
MASIMO CORPORATION (XNAS:MASI)
GOODRX HOLDINGS, INC. (XNAS:GDRX)
10X GENOMICS, INC. (XNAS:TXG)
ABIOMED, INC. (XNAS:ABMD)
Current Analyst Ratings
Strong buy�21%
Buy�13%
Hold�17%
Sell�4%
Strong sell�0%
Overall analyst sentiment is: Strong buy
Income Statement
Period:
TTM
Date:
3/31/22
Revenue:
4.19B
Cost of Revenue:
Gross Profit:
R&D Expense
General & Admin Expenses:
Selling, General & Admin Expenses
Sales and Marketing Expenses
Other Expenses :
Operating Expenses :
Cost & Expenses :
Interest Income:
Interest Expenses:
Depreciation & Amortization:
EBITDA:
Operating Income:
Other Income Expenses:
Income Before Tax:
Income Tax Expense:
Net Income:
Balance Sheet
Date:
Calendar Year:
Period:
Cash & Cash Equivalents:
Short Term Investments:
Cash & Short Term Investments:
Net Receivables:
Inventory:
Other Current Assets:
Total Current Assets:
PP&E:
Goodwill:
Intangible Assets:
Long Term Investments:
Tax Assets:
Other Non-Current Assets:
Total Non-Current Assets:
Other Assets:
Total Assets:
Accounts Payable:
Short Term Debt:
Tax Payables:
Deferred Revenue:
Other Current Liabilities:
Total Current Liabilities:
Long Term Debt:
Other Non-Current Liabilities:
Total Non Current Liabilities:
Other Liabilities:
Total Liabilities:
Common Stock:
Retained Earnings:
Accumulated Other Comprehensive Loss:
Other Total Stockholders' Equity:
Total Stockholders' Equity:
Total Liabilities and Stockholders' Equity:
Total Investments:
Total Debt:
Net Debt:
1.89B
2.30B
179.00M
-
1.54B
-
-
1.72B
-
53.00M
342.00M
888.00M
561.00M
369.00M
493.00M
124.00M
369.00M
Statement of Cash Flow
Date:
Period:
84.00M
Differed Income Tax :
- 13000.00K
Stock Based Compensation :
11.00M
Change in Working Capital :
- 54000.00K
Accounts Receivables:
32.00M
Other Working Capital:
-
Other Non-Cash Items:
-
Net Cash Provided by Operating Activities:
93.00M
Investments in PP&E:
-
Net Acquisitions:
-
Purchases of Investments:
-
Sales/Maturities of Investments:
Other Investing Activities:
Net Cash Used for Investing Activities:
Debt Repayment:
Common Stock Issued:
Common Stock Repurchased:
Dividend Paid:
Other Financing Activities:
Net Cash Used Provided by Financing Activities:
Effect of FOREX on Changes in Cash:
Net Changes in Cash:
Cash at End of Period:
Cash at Beginning of Period:
Operating Cash Flow:
Capital Expenditure:
Free Cash Flow (FCF):
3/31/22
2022
Q1
374.00M
-
374.00M
707.00M
541.00M
264.00M
1.89B
975.00M
3.94B
2.23B
-
-
127.00M
7.27B
-
9.16B
285.00M
347.00M
53.00M
-
671.00M
1.30B
2.03B
516.00M
2.95B
-
4.25B
-
1.65B
-
3.26B
March 31, 2022 at 6:00:00 AM
3.61B
4.91B
9.16B
-
2.38B
2.0B
-
- 43000.00K
- 43000.00K
- 2000.00K
-
-
- 24000.00K
16.00M
- 10000.00K
- 5000.00K
35.00M
374.00M
339.00M
93.00M
- 44000.00K
49.00M
Our Proprietary Portfolio Rating
Our Rating:
D
Price Forecast/Expected Price in Next 5 Years of
XRAY
2023
2024
2025
2026
2027
$33.94
$130.69
$138.81
$147.42
$156.57