Dentsply Sirona’s (XRAY) Long Road to Recovery Amid Economic Challenges

Soumya Eswaran

Mon, Jul 14, 2025, 7:33 AM 3 min read

Heartland Advisors, an investment management company, released its “Heartland Value Fund” second quarter 2025 investor letter. A copy of the letter can be downloaded here. The fund returned 8.85%, compared to the 4.97% return for the Russell 2000 Value Index. The fund outperformed the benchmark over the past 1, 3, 5, and 10 years since inception. Over the past three months, stock selection accounted for almost all of the outperformance, specifically strong in Energy, Consumer Discretionary, Utilities, and Financials. In addition, you can check the fund’s top 5 holdings to determine its best picks for 2025.

In its second quarter 2025 investor letter, Heartland Value Fund highlighted stocks such as Dentsply Sirona Inc. (NASDAQ:XRAY). Dentsply Sirona Inc. (NASDAQ:XRAY) is a global manufacturer and distributor of various dental products and technologies. The one-month return of Dentsply Sirona Inc. (NASDAQ:XRAY) was 1.76%, and its shares lost 36.58% of their value over the last 52 weeks. On July 11, 2025, Dentsply Sirona Inc. (NASDAQ:XRAY) stock closed at $16.21 per share, with a market capitalization of $3.231 billion.

Heartland Value Fund stated the following regarding Dentsply Sirona Inc. (NASDAQ:XRAY) in its second quarter 2025 investor letter:

Dentsply Sirona Inc. (NASDAQ:XRAY) is another small cap that happens to be an industry leader. The result of the merger of Dentsply International and Sirona Dental Systems nearly a decade ago, XRAY is a $13.3 billion company that is one of the world’s biggest suppliers of dental equipment and supplies, including consumables, lab products, and orthodontics and implants.

A doctor adjusting dental equipment in a modern dental clinic.

Dentsply Sirona Inc. (NASDAQ:XRAY) is not on our list of 30 Most Popular Stocks Among Hedge Funds. As per our database, 40 hedge fund portfolios held Dentsply Sirona Inc. (NASDAQ:XRAY) at the end of the first quarter, which was 38 in the previous quarter. Dentsply Sirona Inc. (NASDAQ:XRAY) reported $879 million in revenues in the first quarter of 2025, down 7.7% compared to Q1 2024. While we acknowledge the potential of XRAY as an investment, we believe certain AI stocks offer greater upside potential and carry less downside risk. If you're looking for an extremely undervalued AI stock that also stands to benefit significantly from Trump-era tariffs and the onshoring trend, see our free report on the best short-term AI stock.