Danaher Corp. (DHR)
NYSE:DHR
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Danaher
(NYSE:DHR)
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Rating:67Neutral
Price Target:
$200.00
▲(3.63% Upside)
Action:ReiteratedDate:02/18/26
The score is driven primarily by solid financial quality (durable margins, strong free cash flow, and improving leverage), tempered by weaker recent growth/returns. Near-term technicals are notably soft (below key moving averages with negative MACD), and valuation is expensive (high P/E, low yield). Earnings call guidance and the Masimo deal add moderate support but include meaningful execution and end-market uncertainty.
Positive Factors
Recurring consumables & services pull-through
Danaher’s installed instrument base creates durable recurring revenue from consumables, reagents and service contracts. That annuity-like stream supports predictable cash flows and margin resilience across cycles, reducing revenue volatility and underpinning long-term profitability and reinvestment capacity.
Negative Factors
Choppy revenue and earnings momentum
Danaher’s top-line and EPS progress has been uneven across multiple years, reducing visibility into trend growth. Persistent volatility in end-market demand makes it harder to sustainably return to prior growth rates and complicates long-range planning, forecasting and capital allocation decisions.
Read all positive and negative factors
Positive Factors
Negative Factors
Recurring consumables & services pull-through
Danaher’s installed instrument base creates durable recurring revenue from consumables, reagents and service contracts. That annuity-like stream supports predictable cash flows and margin resilience across cycles, reducing revenue volatility and underpinning long-term profitability and reinvestment capacity.
Read all positive factors
Danaher (DHR) vs. SPDR S&P 500 ETF (SPY)
Market Cap
$136.47B
Dividend Yield0.53%
Average Volume (3M)3.79M
Price to Earnings (P/E)44.8
Beta (1Y)0.89
Revenue Growth2.90%
EPS Growth-4.81%
CountryUS
Employees61,000
SectorHealthcare
Sector Strength45
IndustryMedical - Diagnostics & Research
Share Statistics
EPS (TTM)2.23
Shares Outstanding707,139,340
10 Day Avg. Volume3,549,675
30 Day Avg. Volume3,793,596
Financial Highlights & Ratios
PEG Ratio-9.18
Price to Book (P/B)3.08
Price to Sales (P/S)6.59
P/FCF Ratio30.78
Enterprise Value/Market Cap1.10
Enterprise Value/Revenue6.12
Enterprise Value/Gross Profit10.04
Enterprise Value/Ebitda21.64
Forecast
1Y Price Target
$262.38Price Target Upside35.96% Upside
Rating ConsensusStrong Buy
Number of Analyst Covering15
EPS Forecast (FY)8.41
Revenue Forecast (FY)$25.62B
Danaher Business Overview & Revenue Model
Company Description
Danaher Corporation designs, manufactures, and markets professional, medical, industrial, and commercial products and services worldwide. The company operates through three segments: Life Sciences, Diagnostics, and Environmental & Applied Solution...
How the Company Makes Money
Danaher makes money primarily by selling products and services across its Biotechnology and Diagnostics businesses. In Biotechnology, revenue is generated from tools and consumables used in bioprocessing (e.g., filtration, chromatography, single-u...
Danaher Key Performance Indicators (KPIs)
Any
Revenue by Geography
Breaks down revenue across different regions, revealing where the company is strongest and where it may face risk or growth potential due to local economic conditions or market share shifts.
Breaks down revenue across different regions, revealing where the company is strongest and where it may face risk or growth potential due to local economic conditions or market share shifts.
Data provided by:
The Fly
The FlyDanaher Earnings Call Summary
Earnings Call Date:Jan 28, 2026
(Q4-2025)
| % Change Since: |
Next Earnings Date:Apr 21, 2026
Earnings Call Sentiment Positive
The call emphasized durable strengths: robust free cash flow ($5.3B), consecutive EPS and margin resilience, strong product innovation (new product revenue ~+25% YoY), and clear momentum in bioprocessing and diagnostics (Cepheid, Beckman, Leica, Radiometer). Management acknowledged Q4 margin compression (-130 bps) and pockets of weakness in life sciences consumables, academic funding, equipment orders (still below historical levels) and China policy headwinds, and set conservative FY2026 guidance (3%–6% core growth, EPS $8.35–$8.50). On balance, the company presented improving end-market momentum, disciplined cost actions (~$250M) and strong balance sheet flexibility to pursue M&A, while remaining appropriately cautious on near-term variability and execution risks.Positive Updates
Strong full-year financial performance
FY2025 sales of $24.6B; core revenue +2% YoY; adjusted operating profit margin 28.2%; adjusted diluted EPS $7.80, up 4.5% YoY; free cash flow $5.3B and FCF-to-net-income conversion ~145% (34th consecutive year >100%).
Negative Updates
Margin compression in Q4
Adjusted gross profit margin (58.2%) and adjusted operating profit margin (28.3%) each declined by 130 basis points YoY in Q4 as cost pressures and investments offset volume leverage.
Read all updates
Q4-2025 Updates
Positive
Negative
Strong full-year financial performance
FY2025 sales of $24.6B; core revenue +2% YoY; adjusted operating profit margin 28.2%; adjusted diluted EPS $7.80, up 4.5% YoY; free cash flow $5.3B and FCF-to-net-income conversion ~145% (34th consecutive year >100%).
Read all positive updates
Company Guidance
Management's 2026 guidance calls for full‑year core revenue growth of 3%–6% and adjusted diluted EPS of $8.35–$8.50, with Q1 core revenue up low single digits and Q1 adjusted operating profit margin of ~28.5%. They expect bioprocessing to grow high single‑digits in 2026 (consumables leading, equipment improving to ~flat), and assume respiratory revenue of approximately $1.8 billion for FY26 (Q4 respiratory was ~ $500M and Q1 respiratory is expected to be about $500M). In constructing the EPS range management said it modeled to the low end of growth (~3%–4%), a 35%–40% fall‑through rate, and roughly $0.30 of benefit from $250M of 2025 cost actions (FX assumed roughly neutral); longer term they reiterate an objective of returning to high‑single‑digit core growth with differentiated margins and cash flow.Danaher Financial Statement Overview
Summary
Income Statement
74
Positive
Balance Sheet
78
Positive
Cash Flow
76
Positive
| Breakdown | Dec 2025 | Dec 2024 | Dec 2023 | Dec 2022 | Dec 2021 |
|---|---|---|---|---|---|
Income Statement | |||||
| Total Revenue | 24.57B | 23.88B | 23.89B | 26.64B | 29.45B |
| Gross Profit | 14.97B | 14.21B | 14.03B | 16.19B | 17.95B |
| EBITDA | 6.95B | 7.28B | 7.50B | 9.48B | 10.01B |
| Net Income | 3.61B | 3.90B | 4.76B | 7.21B | 6.43B |
Balance Sheet | |||||
| Total Assets | 83.46B | 77.54B | 84.49B | 84.35B | 83.18B |
| Cash, Cash Equivalents and Short-Term Investments | 4.62B | 2.08B | 5.86B | 6.00B | 2.59B |
| Total Debt | 18.42B | 17.15B | 19.54B | 20.62B | 23.27B |
| Total Liabilities | 30.93B | 27.99B | 31.00B | 34.26B | 38.01B |
| Stockholders Equity | 52.53B | 49.54B | 53.49B | 50.08B | 45.17B |
Cash Flow | |||||
| Free Cash Flow | 5.26B | 5.30B | 5.78B | 7.37B | 7.06B |
| Operating Cash Flow | 6.42B | 6.69B | 7.16B | 8.52B | 8.36B |
| Investing Cash Flow | -1.20B | -1.98B | -7.08B | -2.23B | -12.99B |
| Financing Cash Flow | -2.96B | -8.38B | -273.00M | -2.57B | 1.29B |
Danaher Technical Analysis
Neutral
192.99
Price Trends
202.06
Negative
215.72
Negative
208.99
Negative
Market Momentum
-2.73
Negative
48.05
Neutral
77.65
Neutral
Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For DHR, the sentiment is Neutral. The current price of 192.99 is above the 20-day moving average (MA) of 189.56, below the 50-day MA of 202.06, and below the 200-day MA of 208.99, indicating a neutral trend. The MACD of -2.73 indicates Negative momentum. The RSI at 48.05 is Neutral, neither overbought nor oversold. The STOCH value of 77.65 is Neutral, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Neutral sentiment for DHR.
Danaher Risk Analysis
Danaher disclosed 42 risk factors in its most recent earnings report. Danaher reported the most risks in the "Legal & Regulatory" category.
Finance & Corporate - Financial and accounting risks. Risks related to the execution of corporate activity and strategy
Latest Risks Added 0 New Risks
Danaher Peers Comparison
UnderperformOutperform
Sector (51)
Name | Overall Rating | Market Cap | P/E Ratio | ROE | Dividend Yield | Revenue Growth | EPS Growth |
|---|---|---|---|---|---|---|---|
67 Neutral | $136.47B | 44.80 | 6.99% | 0.53% | 2.90% | -4.81% | |
67 Neutral | $46.56B | 51.15 | 69.78% | ― | 8.39% | 21.44% | |
66 Neutral | $32.61B | 31.05 | 19.73% | 0.72% | 6.73% | 3.34% | |
66 Neutral | $27.13B | 33.06 | -487.21% | ― | 4.77% | 7.93% | |
66 Neutral | $31.16B | 35.17 | 28.52% | ― | 6.90% | 3.86% | |
63 Neutral | $185.91B | 32.34 | 13.15% | 0.30% | 3.91% | 7.09% | |
51 Neutral | $7.86B | -0.30 | -43.30% | 2.27% | 22.53% | -2.21% |
* Healthcare Sector Average
DHR
Danaher
192.99
13.47
7.50%
A
Agilent
115.39
16.25
16.40%
IDXX
Idexx Laboratories
584.75
202.92
53.14%
MTD
Mettler-Toledo
1,335.00
337.31
33.81%
TMO
Thermo Fisher
500.46
74.59
17.51%
WAT
Waters
317.65
2.99
0.95%
Danaher Corporate Events
Business Operations and StrategyM&A TransactionsPrivate Placements and Financing
Danaher to Acquire Masimo, Expanding Diagnostics Portfolio
Positive
Feb 17, 2026
On February 17, 2026, Danaher announced a definitive agreement to acquire Masimo Corporation, a specialty diagnostics company known for pulse oximetry and patient monitoring solutions used primarily in acute care settings. Danaher will pay $180 pe...
Executive/Board Changes
Danaher Announces Retirement of Board Member Jessica Mega
Neutral
Feb 10, 2026
On February 5, 2026, Danaher Corporation announced that board member Jessica L. Mega retired from its Board of Directors, effective the same day, citing increased commitments related to her other professional obligations. The company emphasized th...
Glossary
BuyA stock rated as a "Buy" is expected to perform better than the overall market or a specific benchmark over the near-to-medium term. This rating suggests the stock is likely to deliver higher returns compared to other stocks in the same sector or market index. Note: This is not investment advice; please consult a financial advisor before making investment decisions.
HoldA stock rated as a "Hold" is expected to perform in line with the overall market or a specific benchmark. This rating indicates that the stock is neither particularly compelling nor unfavorable for investment. Note: This is not investment advice; please consult a financial advisor before making investment decisions.
SellA stock rated as a "Sell" is expected to perform worse than the overall market or a specific benchmark over the near-to-medium term. This rating suggests the stock may deliver lower returns compared to other stocks in the same sector or market index. Note: This is not investment advice; please consult a financial advisor before making investment decisions.
Disclaimer
This AI Analyst Stock Report is automatically generated by our AI systems using advanced algorithms and publicly available financial, technical, and market data. While the information provided aims to be accurate and insightful, it is intended for informational purposes only and should not be considered financial advice. Any content created by an AI (Artificial Intelligence) system may contain inaccuracies and/or contain errors. Investing in stocks carries inherent risks, and past performance is not indicative of future results. This report does not account for your personal financial circumstances, objectives, or risk tolerance. Always conduct your own research or consult with a qualified financial advisor before making investment decisions. The analysis and recommendations provided are based on historical and current data and may not fully reflect future market conditions or unexpected developments. Neither the creators of this report nor its affiliated entities guarantee the accuracy, completeness, or reliability of the information presented. Use this report at your own discretion and risk.