美国医疗技术与分销：列清单并仔细检查：开始覆盖医疗技术与分销

Making a List and Checking itTwice: Initiating Coverage on HCTechnology & Distribution U.S. Healthcare Technology & DistributionNEUTRALfrom Not Rated We initiate coverage on the U.S. Healthcare Tech &Distribution industry with a Neutral industry view. Ourcoverage includes 18 companies (16 new and 2 assumptionsof coverage). Lead coverage responsibilities in this industryare split between Glen Santangelo and Peter Warendorf. U.S. Healthcare Technology &DistributionGlen Santangelo+1 212 526 7364glen.santangelo@barclays.comBCI, US Peter Warendorf+1 212 526 3891peter.warendorf@barclays.comBCI, US Glen Santangelo will provide lead coverage on: MCK, COR, CAH, ALGN, HSIC, NVST, XRAY,DOCS, HIMS, WAY, PHR, GDRX, and DH. Peter Warendorf will provide lead coverage on: HQY, PGNY, LFST, TALK, and TDOC. Our ratings: Overweight:MCK, COR, CAH, HSIC, NVST, DOCS, WAY, PHR, HIMS, HQY, LFST, PGNY;Equal Weight:ALGN, TDOC, TALK,Underweight:XRAY, GDRX, DH. With this report, primary coverage of Definitive Health (DH) is transferred to Glen Santangelo, whoalso assumes lead coverage of Waystar (WAY). Industry View – Neutral:The Technology & Distribution industry has always presented achallenge in having a “sector view” as it is broadly comprised of smaller sub-segments. We seedifferentiatedperformance across these sub-sectors, with tighter correlations within thedifferentsub-sectors. Within the broader sector, we are most bullish on the drug distributorsand have a more mixed view on our Dental and HCIT coverage. See below for some high-levelthoughts on each of the three sub-sectors. (Best ideas: CAH, COR, MCK and DOCS). Drug Distribution:The stocks in this sub-sector are like a farmer’s favorite tractor – theymay not look like much, but they are workhorses and get the (investing) job done!It’s beena great ride in 2025, and we believe it can continue into 2026. Having first launched on thisgroup back in 1999, it is amazing to see how far this industry has evolved. Back in the late1990s/early 2000s in the “hay day” of pharma, life science investors used to snub their noses atthe paltry margins in the distribution channel. In hindsight, many underestimated the strengthof this oligopoly and thedifferentways in which these companies have been able to grow (i.e.,brands, generics, specialty, biosimilars, etc.). It is as if the drug distributors are aneffectiveETFon biopharma growth and innovation. Separately, with our coverage now expanded intoSpecialty Pharmaceuticals and generic manufacturers, we feel like we have even better insightinto the growth opportunities in the channel. We fully appreciate (and don’t love) the fact thedistributors are well-liked by the investment community, and valuations are above historicalaverages, but we are positive on this group as we believe consensus estimates across the groupbroadly remain at beatable levels. We view COR and MCK as core holdings, while CAH feels to usto have the most understated consensus estimates. Healthcare Information Technology:We are seeing a large variation in the business modelsand strategies across the sector – durable revenue growth with expanding margins andcash flow have become the bare minimum to pique investor interest.In the nearly threedecades that we've been following the group, there have been numerous boom & bust cycles(i.e., dot-com bubble, HITECH Act, Covid, etc.) and significant standard deviations in theperformance of the individual companies. In this report we are launching on 11 companies thatwe loosely define as “HCIT” and note that none of them was publicly traded back in 2010. Mostentered the public markets in or around the Covid boom. With that said, this crop of companieshasofferedsome very interesting business models, and some that have been vulnerable tocompetition and commoditization. Our best ideas in this sub-sector are DOCS, PHR, and HQY. Dental:The maturation of this sub-sector is forcing companies in the sub-sector to double-click on theefficiencyfront as they wait for an improvement in the macro-economic environment.The dental sector has gone through a significant transformation in the pastdecade. First, for reasons hard to explain, dental visit growth is not as automatic as it was in thedecade or two prior to Covid. Second, the equipment innovation cycle has largely playedthrough the revenue lines of the respective companies, with incremental innovation moreevolutionary at this point as opposed to revolutionary. The growth and DSOs have changed theface of dentistry while consolidating a fragmented customer base. Global expansions have beensignificant, but as the expansions mature, they do notofferthe same level of opportunity thatthey have in the past. Put all these pieces together and we areleftwith less predictable growthfor the industry going forward. Obviously, the companies have not stood still and arerestructuring themselves to compete more aggressively in the new environment. We fullyappreciate these are excellent cash flow gener