DENTSPLY SIRONA (XRAY) Stock Forecast & Price Target

Dentsply Sirona demonstrated significant growth in its orthodontics segment, achieving a double-digit percentage increase in revenue, despite challenges faced by the Byte clear aligner product. The company's Essential Dental Solutions (EDS) generated $372 million in revenue, reflecting a 7.8% increase on a reported basis and a 4.0% rise on a constant currency basis. Furthermore, the company experienced strong sales growth in Europe, with a reported increase of 9.9% and a constant currency growth of 2.6%, indicating positive performance across key markets.

Dentsply Sirona has revised its sales outlook downward, now projecting a decline of -4% to -5% in constant currency sales, compared to earlier estimates of -2% to -4%. The company is expecting a significant decrease in its GAAP gross margin and adjusted EBITDA margins, forecasting a decline to 17.5% for 2026 from 18.1% in FY/25, alongside a concerning cash generation performance that fell meaningfully short of expectations. Furthermore, the connected technology solutions segment reported a 3.9% revenue decline, exacerbated by anticipated headwinds in the orthodontics and implants segment, which is expected to decline by 15%.