PATTERSON COMPANIES, INC. (PDCO) Jun 2024 Earnings Report

Patterson Companies, Inc.: Investment Report

Overview

Patterson Companies, Inc. is a leading distributor of dental and animal health products in the United States, the United Kingdom, and Canada. With a market capitalization of $2.12 billion, the company operates through three segments: Dental, Animal Health, and Corporate. As a dominant player in the healthcare industry, Patterson Companies has a significant presence in the dental and animal health markets, making it an attractive investment opportunity. This report provides an in-depth analysis of the company's financial performance, growth prospects, and recent news and updates to help investors make informed decisions.

Core Metrics

  • Current price: $24.14
  • 52-week high: $34.53
  • 52-week low: $22.29
  • Market Cap: $2.12 billion
  • P/E Ratio: 12.19
  • Earnings per Share: $1.98
  • 50-day average: $24.94
  • 200-day average: $27.90
  • Analyst Recommendations: Hold (10 analysts)

Financial Performance

Patterson Companies reported fourth-quarter fiscal 2024 adjusted earnings per share (EPS) of $0.82, missing the Zacks Consensus Estimate of $0.83 by 1.2%. The bottom line also declined 2% year-over-year. However, the company's revenue growth was 0.001%, indicating a sluggish market. Patterson Companies' gross margins stood at 0.21014, while its EBITDA margins were 0.05404. The company's operating cash flow was -$789,377,984, while its free cash flow was $158,968,368.

Growth Prospects

Despite the current challenges, Patterson Companies has growth prospects in the dental and animal health markets. The company's subsidiary, Patterson Dental Supply, Inc., recently announced new integrations available with DentalXChange, which is expected to boost insurance workflow. Additionally, the company's efforts to expand its product portfolio and strengthen its distribution network are expected to drive growth in the future.

News and Updates

Patterson Companies recently reported its fourth-quarter fiscal 2024 earnings, which missed estimates. Piper Sandler analyst Jason Bednar maintained a Hold rating on the company, setting a price target of $28.00. The company's subsidiary, Patterson Dental Supply, Inc., announced new integrations available with DentalXChange, which is expected to boost insurance workflow.

Upgrades and Downgrades

According to recent analyst recommendations, Morgan Stanley reaffirmed its Equal-Weight rating on Patterson Companies, while JP Morgan maintained a Neutral rating. Piper Sandler analyst Jason Bednar also maintained a Hold rating on the company, setting a price target of $28.00.

Summary

In conclusion, Patterson Companies, Inc. is a leading distributor of dental and animal health products with a strong presence in the healthcare industry. While the company's recent earnings report was disappointing, its growth prospects in the dental and animal health markets are promising. With a Hold rating from most analysts, investors should exercise caution and monitor the company's performance closely before making any investment decisions.

Disclosures

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