Below we presented the list of 5 Best Dental Stocks to Buy Now. For our detailed discussion and a more comprehensive list please see 10 Best Dental Stocks to Buy Now.
5. Envista Holdings Corporation (NYSE:NVST)
No of HFs: 20
Total Value of HF Holdings: $417 Million
The 5th best dental stock to buy now is NVST. The top hedge fund holder of this stock is Natixis Global Asset Management’s Harris Associates which had $199 million invested in the stock at the end of September. An insider recently purchased 2,000 shares at around $22 in September 2019. The stock is up 63% since then. NVST provides dental consumables, equipment, and services to dental professionals. During the third quarter of 2020, the company reported a net income of $35.6 million or $0.22 per share.
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4. DENTSPLY International, Inc. (NASDAQ:XRAY)
No of HFs: 25
Total Value of HF Holdings: $946 Million
The top hedge fund holder of this stock is David Blood And Al Gore’s Generation Investment Management which had $845 million invested in the stock at the end of September. An insider recently purchased 2,720 shares at around $55 in June 2019. The stock is down 3% since then. On January 4, 2021, the company announced they have acquired Byte, a rapidly growing clear aligner company in an all-cash deal for $1.04 billion. Don Casey, Chief Executive Officer of Dentsply Sirona mentioned that they will utilize their collective strengths to expand patient access to quality care
“Over the past two years, we have executed against our restructuring plan, strengthening the R&D, supply chain and commercial platforms, positioning Dentsply Sirona for long-term growth. We are excited to take the next step in our evolution by bringing Byte into our organization. We have been pleased with the growth of our SureSmile clear aligner business and we are confident that adding the innovative platform of Byte adds scale for us in the important clear aligner market. We look forward to working with the talented team at Byte as we utilize our collective strengths to expand patient access to quality care and support the success of our dental partners around the world.”
3. SmileDirectClub, Inc. (NASDAQ:SDC)
No of HFs: 28
Total Value of HF Holdings: $157 Million
The 3rd best dental stock to buy now is SDC. An insider recently purchased 15,000 shares at around $8. The stock is up 62% since then. In an article, Miller Value Partners mentioned a few of their comments on the stock in their Q2 2020 investor letter.
“We sold SmileDirect to fund our other ideas. We didn’t end up holding the name long. While there are many interesting things about the business, we think the business is significantly challenged by the pandemic. Their product is highly discretionary with a high price point and certain distribution outlets closed down. The company loses money and had a challenged balance sheet. Given the risks, we preferred to deploy the capital elsewhere.”
2. Henry Schein (NASDAQ:HSIC)
No of HFs: 40
Total Value of HF Holdings: $1.23 Billion
An insider recently purchased 2,000 shares at around $60 in February 2019. The stock is up 15% since then. The company is known for its worldwide distribution of medical and dental supplies including vaccines. They recently announced their acquisition of a majority ownership position in Prism Medical Products, LLC. (PRISM), Stanley M. Bergman, Chairman of the Board and Chief Executive Officer of Henry Schein said that the partnership will allow HSIC to move closer and to interact directly with patients.
“Expanding beyond our core base of office-based physicians and entering the home health market has been a long-standing strategic goal of Henry Schein’s medical business, and with PRISM we have the ideal partner with a strong brand and a complementary business model. This partnership expands Henry Schein Medical’s continuum-of-care delivery model and allows us to move closer and to interact directly with patients. It also strengthens our relationships with the physicians who prescribe home medical supplies.
1. Align Technology, Inc. (NASDAQ:ALGN)
No of HFs: 47
Total Value of HF Holdings: $2.16 Billion
ALGN is the top dental stock to buy now. The top hedge fund holder of this stock is Principal Global Investor’s Columbus Circle Investors which had $19 million invested in the stock at the end of December. An insider recently purchased 564 shares at around $177 in August 2019. The stock is up 204% since then. In an article, RiverPark Advisors mentioned that they are expecting ALGN to grow cases by another roughly 200% over the next five years.
“For Align Technology, the story is a similar one. As we discussed in our letter from the second quarter of 2018, Align is the inventor of and the dominant player in the orthodontic clear aligner market with its Invisalign product. The roughly 1.2 million cases Align did last year – which represented the vast majority of clear aligner cases done in the world – represented only 10% of the global orthodontia market (yet was up nearly 200% from 5 years earlier). We believe that over the coming decade, the majority of global orthodontia will be done with clear aligners (and the market of orthodontia will also grow given the less invasive product and patient experience) and that Align will be the major beneficiary of this shift away from metal braces. We expect Align to grow cases another roughly 200% over the next five years resulting in a near doubling of revenue and a 250% rise in EPS.”
Please also see 12 Best Large Biotech Stocks to Buy Now and 10 Best Insurance Stocks to Buy Now.
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