Why DENTSPLY SIRONA Is Back on Watchlists

DENTSPLY SIRONA (XRAY) is drawing fresh attention after recent share price moves, with the stock up about 9.1% over the past month while remaining lower over the past year.

Recent trading points to rebuilding interest, with a 10.65% year to date share price return and a 9.10% 1 month share price return. This contrasts with a 33.81% 1 year total shareholder return decline and suggests sentiment is stabilising after a tougher period.

If DENTSPLY SIRONA has caught your eye, it could be a good moment to widen the lens and scan other healthcare stocks that might fit your watchlist next.

With XRAY trading at $12.47, an intrinsic value estimate implying roughly a 59% discount, and only a small gap to analyst targets, you have to ask: is this a genuine mispricing, or is the market already looking through to future growth?

Most Popular Narrative: 3.8% Undervalued

The most followed narrative pegs DENTSPLY SIRONA's fair value at about $12.97, only slightly above the last close at $12.47, which points to a fairly tight valuation gap built on detailed cash flow assumptions.

Active cost reduction programs, operational streamlining, and supply chain optimization are in progress, with management indicating a stronger urgency to go "deeper and faster," potentially boosting EBITDA margin and cash flow generation through both lower SG&A and more efficient manufacturing.

Curious what kind of margin rebuild and earnings path need to play out for that fair value to hold up? The key levers are profit recovery, modest revenue growth and a future earnings multiple that looks conservative beside many medical equipment names. The full narrative lays out how those pieces fit together and what would have to go right over the next few years.

Result: Fair Value of $12.97 (UNDERVALUED)

However, the fair value story can be tested quickly if revenue softness persists, or if tariffs and higher costs keep margins under more pressure than expected.

Build Your Own DENTSPLY SIRONA Narrative

If you see the numbers differently or want to stress test your own assumptions, you can build a custom view of XRAY in just a few minutes, starting with Do it your way.

A great starting point for your DENTSPLY SIRONA research is our analysis highlighting 3 key rewards and 2 important warning signs that could impact your investment decision.

Looking for more investment ideas?

If you stop with just one company, you could miss opportunities sitting in plain sight. Take a few minutes to widen your watchlist with fresh ideas.

• Target potential mispricings by scanning these 868 undervalued stocks based on cash flows that align with your return and risk preferences.
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• Strengthen your income watchlist by reviewing these 14 dividend stocks with yields > 3% that offer higher yields with supporting fundamentals.

This article by Simply Wall St is general in nature. We provide commentary based on historical data and analyst forecasts only using an unbiased methodology and our articles are not intended to be financial advice. It does not constitute a recommendation to buy or sell any stock, and does not take account of your objectives, or your financial situation. We aim to bring you long-term focused analysis driven by fundamental data. Note that our analysis may not factor in the latest price-sensitive company announcements or qualitative material. Simply Wall St has no position in any stocks mentioned.