Danaher (DHR) AI Stock Analysis

• Market Cap: $157.52B
• Dividend Yield: 0.55%
• Average Volume (3M): 4.89M
• Price to Earnings (P/E): 45.9
• Beta (1Y): 0.96
• Revenue Growth: 2.22%
• EPS Growth: -7.60%
• Country: US
• Employees: 61,000
• Sector: Healthcare
• Sector Strength: 45
• Industry: Medical - Diagnostics & Research
• EPS (TTM): 1.89
• Shares Outstanding: 706,349,550
• 10 Day Avg. Volume: 4,535,910
• 30 Day Avg. Volume: 4,892,467
• PEG Ratio: -2.50
• Price to Book (P/B): 3.39
• Price to Sales (P/S): 7.03
• P/FCF Ratio: 31.68
• Enterprise Value/Market Cap: 0.94
• Enterprise Value/Revenue: 6.12
• Enterprise Value/Gross Profit: 9.97
• Enterprise Value/Ebitda: 21.64
• 1Y Price Target: $243.45
• Price Target Upside: 9.17% Upside
• Rating Consensus: Strong Buy
• Number of Analyst Covering: 14

• Rating: 75 Outperform
• Price Target: $251.00 ▲(12.55% Upside)

Danaher's overall stock score reflects its strong financial health and positive earnings outlook, supported by strategic initiatives and robust cash flow generation. However, the high valuation and potential challenges in key markets like China and Life Sciences temper the score. Technical indicators suggest bullish momentum, but caution is advised due to overvaluation concerns.

Positive Factors

Strong Financial Performance

Consistent core revenue growth and increased earnings per share indicate robust financial health and effective business operations, supporting long-term stability.

Bioprocessing Business Momentum

Growth in the bioprocessing segment reflects strong demand and market position, contributing to sustainable revenue streams and competitive advantage.

Successful New Product Launches

Innovative product launches enhance Danaher's competitive edge and market reach, driving future growth and reinforcing its position in the industry.

Negative Factors

China Market Challenges

Declining revenues in China due to policy changes could impact growth prospects in a key market, posing a challenge to future revenue stability.

Life Sciences Revenue Decrease

Decreased revenue in Life Sciences indicates potential market pressures and funding challenges, which may affect long-term growth in this segment.

Equipment Revenue Decline

A decline in equipment revenue suggests reduced capital spending, which could hinder growth and profitability in the bioprocessing segment.

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 Solutions. The Life Sciences segment provides mass spectrometers; flow cytometry, genomics, lab automation, centrifugation, particle counting and characterization; microscopes; genomics consumables; and Gene and Cell Therapy. This segment also offers bioprocess technologies, consumables, and services; and filtration, separation, and purification technologies to the pharmaceutical and biopharmaceutical, food and beverage, medical, and life sciences companies, as well as universities, medical schools and research institutions, and various industrial manufacturers. The Diagnostics segment provides chemistry, immunoassay, microbiology, and automation systems, as well as hematology, molecular, acute care, and pathology diagnostics products. This segment offers clinical instruments, reagents, consumables, software, and services for hospitals, physicians' offices, reference laboratories, and other critical care settings. The Environmental & Applied Solutions segment offers instrumentation, consumables, software, services, and disinfection systems to analyze, treat, and manage ultra-pure, potable, industrial, waste, ground, source, and ocean water in residential, commercial, industrial, and natural resource applications. This segment also provides instruments, software, services, and consumables for various color and appearance management, packaging design and quality management, packaging converting, printing, marking, coding, and traceability applications for consumer, pharmaceutical, and industrial products. The company was formerly known as Diversified Mortgage Investors, Inc. and changed its name to Danaher Corporation in 1984. Danaher Corporation was founded in 1969 and is headquartered in Washington, the District of Columbia.

How the Company Makes Money

Danaher generates revenue primarily through the sale of its products and services across its various segments. Key revenue streams include life sciences equipment and reagents, diagnostic instruments and consumables, dental products, and environmental monitoring solutions. The company's business model is characterized by a focus on high-margin, recurring revenue sources, such as consumables and service contracts, which provide stability and predictability in earnings. Additionally, Danaher benefits from strategic partnerships and acquisitions, which enhance its product offerings and expand its market reach. The company invests significantly in research and development to drive innovation and maintain a competitive edge, further contributing to its revenue generation.

Danaher Financial Statement Overview

Summary

Danaher exhibits strong profitability with a robust capital structure and efficient operational management. However, challenges in revenue growth and sustaining free cash flow levels could impact future financial performance. The balance sheet remains a strength, while cash flow management requires careful attention.

Income Statement

Danaher's income statement shows a consistent revenue base with a slight increase in TTM compared to the previous annual period. The gross profit margin is robust at 59.66%, and the net profit margin stands at 14.21% for the TTM, indicating healthy profitability. However, the revenue growth has been stagnant, with only a minor increase from the previous year. The EBIT and EBITDA margins remain strong at 18.39% and 25.73%, respectively, for the TTM, showcasing operational efficiency.

Balance Sheet

The balance sheet reveals a solid equity base with a debt-to-equity ratio of 0.33, reflecting moderate leverage levels. The equity ratio is healthy at 64.11%, suggesting a strong capital structure. Return on equity for the TTM is commendable at 6.52%, although it has decreased from previous levels, indicating a need for improved net income performance relative to equity growth.

Cash Flow

The cash flow statement shows a slight decrease in free cash flow from the previous year, with a negative growth rate of -8.20%. The operating cash flow to net income ratio is strong at 1.81, indicating efficient cash generation from operations. However, the free cash flow to net income ratio has decreased to 1.42, suggesting reduced cash flow available after capital expenditures.

Breakdown	TTM	Dec 2024	Dec 2023	Dec 2022	Dec 2021	Dec 2020
Income Statement
Total Revenue	24.27B	23.88B	23.89B	26.64B	29.45B	22.28B
Gross Profit	14.89B	14.21B	14.03B	16.19B	17.95B	12.47B
EBITDA	6.87B	7.28B	7.50B	9.48B	10.01B	6.54B
Net Income	3.50B	3.90B	4.76B	7.21B	6.43B	3.65B
Balance Sheet
Total Assets	79.90B	77.54B	84.49B	84.35B	83.18B	76.16B
Cash, Cash Equivalents and Short-Term Investments	1.53B	2.08B	5.86B	6.00B	2.59B	6.04B
Total Debt	16.86B	17.15B	19.54B	20.62B	23.27B	22.18B
Total Liabilities	28.83B	27.99B	31.00B	34.26B	38.01B	36.38B
Stockholders Equity	51.07B	49.54B	53.49B	50.08B	45.17B	39.77B
Cash Flow
Free Cash Flow	5.02B	5.30B	5.78B	7.37B	7.06B	5.42B
Operating Cash Flow	6.32B	6.69B	7.16B	8.52B	8.36B	6.21B
Investing Cash Flow	-1.51B	-1.98B	-7.08B	-2.23B	-12.99B	-21.24B
Financing Cash Flow	-5.92B	-8.38B	-273.00M	-2.57B	1.29B	1.01B

Danaher Technical Analysis

• Technical Analysis Sentiment: Positive
• Last Price: 223.01
• 50DMA: Positive
• 100DMA: Positive
• 200DMA: Positive
• MACD: Negative
• RSI: Neutral
• STOCH: Neutral

Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For DHR, the sentiment is Positive. The current price of 223.01 is above the 20-day moving average (MA) of 209.26, above the 50-day MA of 202.61, and above the 200-day MA of 202.98, indicating a bullish trend. The MACD of 5.68 indicates Negative momentum. The RSI at 67.52 is Neutral, neither overbought nor oversold. The STOCH value of 58.12 is Neutral, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Positive sentiment for DHR.

Danaher Peers Comparison

Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
A	―	$41.97B	34.71	19.88%	0.67%	4.48%	-11.52%
DHR	―	$157.52B	45.90	6.84%	0.55%	2.22%	-7.60%
IDXX	―	$51.27B	53.34	64.87%	―	6.68%	18.84%
TMO	―	$216.18B	33.09	13.16%	0.29%	3.22%	8.26%
WAT	―	$21.40B	32.41	37.03%	―	5.89%	10.61%
RVTY	―	$11.48B	41.96	3.61%	0.29%	3.33%	32.86%
Sector *	―	$7.86B	-0.30	-43.30%	2.27%	22.53%	-2.21%

Danaher Corporate Events

Danaher Corporation Reports Strong Q3 Earnings Amid Challenges

Danaher Corporation’s recent earnings call highlighted a strong financial performance, with optimism for future growth despite some challenges. The company reported notable growth in its bioprocessing segment and successful new product launches. However, it also acknowledged challenges in China and a decline in Life Sciences and equipment revenue, which are areas of concern. Overall, Danaher remains optimistic about overcoming these challenges and maintains a positive outlook for the future.

Danaher Corporation Reports Strong Q3 2025 Results

Danaher Corporation is a leading global innovator in the life sciences and diagnostics sector, dedicated to enhancing human health through advanced science and technology. The company focuses on improving diagnostic accuracy and reducing the time and cost of developing life-changing therapies.

Danaher Updates By-laws and Launches Share Buyback

On September 9, 2025, Danaher Corporation’s Board of Directors revised the company’s By-laws to update procedural and disclosure requirements for shareholder proposals and director nominations. Additionally, the Board approved a new share repurchase program authorizing the buyback of up to 35 million shares of common stock, with no expiration date, allowing management to decide on timing and amount based on market conditions.

The most recent analyst rating on (DHR) stock is a Buy with a $241.00 price target. To see the full list of analyst forecasts on Danaher stock, see the DHR Stock Forecast page.

Danaher Announces General Counsel’s Upcoming Departure

On July 28, 2025, Danaher Corporation announced that Brian W. Ellis, the Senior Vice President and General Counsel, will step down from his role as General Counsel on August 25, 2025. He will remain as Senior Vice President until his retirement on February 28, 2026, marking a significant transition in the company’s executive leadership.

The most recent analyst rating on (DHR) stock is a Buy with a $268.00 price target. To see the full list of analyst forecasts on Danaher stock, see the DHR Stock Forecast page.