Danaher Corp. (DHR) Stock Recommendation | Score, Valuation, Technicals & Financial Trend

Score

Click here to find our call on this stock

Strong Sell

Sell

Hold

Buy

Strong Buy

Comparison

Company

Score

Quality

Valuation

Financial

Technical

DexCom, Inc.

Intuitive Surgical, Inc.

IDEXX Laboratories, Inc.

Medtronic Plc

Edwards Lifesciences Corp.

Agilent Technologies, Inc.

Stryker Corp.

Thermo Fisher Scientific, Inc.

Danaher Corp.

Becton, Dickinson & Co.

Abbott Laboratories

Why is Danaher Corp. ?

Company's ability to service its debt is strong with a healthy EBIT to Interest (avg) ratio of 25.63

Flat results in Jun 25

OPERATING CASH FLOW(Y) Lowest at USD 6,169 MM
ROCE(HY) Lowest at 6.68%
CASH AND EQV(HY) Lowest at USD 4,950 MM

With ROCE of 7.77%, it has a expensive valuation with a 2.76 Enterprise value to Capital Employed

The stock is trading at a discount compared to its peers' average historical valuations
Over the past year, while the stock has generated a return of -1.29%, its profits have fallen by -10.8%

Company is among the highest 1% of companies rated by MarketsMojo across all 4,000 stocks

Consistent Underperformance against the benchmark over the last 3 years

Along with generating -1.29% returns in the last 1 year, the stock has also underperformed S&P 500 in each of the last 3 annual periods

Real-Time Research Report

Verdict Report

How much should you sell?

All quantity irrespective of whether you are making profits or losses

(If sector exposure > 30%, please use optimiser tool to see which are the best stocks to hold in Pharmaceuticals & Biotechnology)

When to re-enter? - We will constantly monitor the company and review our call based on new data

Is Danaher Corp. for you?

Medium Risk, Low Return

Absolute

Risk Adjusted

Volatility

Danaher Corp.

2.46%

-0.37

32.89%

S&P 500

22.36%

0.70

20.15%

Quality

Management Risk

Growth

Capital Structure

Quality grade scale :

Below Average, Average, Good, Excellent

Quality key factors

Factor

Value

Sales Growth (5y)

1.97%

EBIT Growth (5y)

4.31%

EBIT to Interest (avg)

25.63

Debt to EBITDA (avg)

1.70

Net Debt to Equity (avg)

0.31

Sales to Capital Employed (avg)

0.36

Tax Ratio

16.41%

Dividend Payout Ratio

25.36%

Pledged Shares

Institutional Holding

86.25%

ROCE (avg)

10.41%

ROE (avg)

11.52%

Valuation

Valuation Scorecard

Valuation grade scale :

Very Risky, Risky, Very Expensive, Expensive, Fair, Attractive, Very Attractive

Valuation Key Factors

Factor

Value

P/E Ratio

Industry P/E

Price to Book Value

3.07

EV to EBIT

33.33

EV to EBITDA

22.73

EV to Capital Employed

2.63

EV to Sales

7.12

PEG Ratio

Dividend Yield

0.75%

ROCE (Latest)

7.89%

ROE (Latest)

7.93%

Technicals

Technical key factors

Indicator

Weekly

Monthly

MACD

Bearish

Mildly Bullish

RSI

No Signal

Bollinger Bands

Mildly Bearish

Moving Averages

Bearish (Daily)

KST

Bearish

Mildly Bullish

Dow Theory

Mildly Bullish

No Trend

OBV

Mildly Bullish

Mildly Bearish

Technical Indicator Scale: Bearish, Mildly Bearish, Sideways, Mildly Bullish, Bullish Turned

Technical Movement

Analyse All Technical Factors

Financial Trend

Financial Trend Scorecard

Financial Trend scale:

Very Negative, Negative, Flat, Positive, Very Positive, Outstanding

3What is working for the Company

OPERATING CASH FLOW(Y)

Highest at USD 6,635 MM

DIVIDEND PER SHARE(HY)

Highest at USD 5.3

-9What is not working for the Company

INTEREST COVERAGE RATIO(Q)

Lowest at 1,727.1

RAW MATERIAL COST(Y)

Grown by 13.7% (YoY

DEBT-EQUITY RATIO (HY)

Highest at 44.71 %

INTEREST(Q)

Highest at USD 107 MM

OPERATING PROFIT MARGIN(Q)

Lowest at 29.5 %

NET PROFIT(Q)

Lowest at USD 925.69 MM

Here's what is working for Danaher Corp.

Operating Cash Flow

Highest at USD 6,635 MM

in the last three years

MOJO Watch

The company has generated higher cash revenues from business operations

Operating Cash Flows (USD MM)

Dividend per share

Highest at USD 5.3

in the last five years

MOJO Watch

Company is distributing higher dividend from profits generated

DPS (USD)

Depreciation

Highest at USD 659 MM

in the last five periods

MOJO Watch

The expenditure on assets done by the company may have gone into operation

Depreciation (USD MM)

Here's what is not working for Danaher Corp.

Interest

At USD 107 MM has Grown at 69.84%

period on period (QoQ)

MOJO Watch

Rising interest cost signifies increased borrowings

Interest Paid (USD MM)

Interest Coverage Ratio

Lowest at 1,727.1

in the last five periods

MOJO Watch

The company's ability to manage interest payments is deteriorating

Operating Profit to Interest

Interest

Highest at USD 107 MM

in the last five periods and Increased by 69.84% (QoQ)

MOJO Watch

Rising interest cost signifies increased borrowings

Interest Paid (USD MM)

Operating Profit Margin

Lowest at 29.5 %

in the last five periods

MOJO Watch

Company's profit margin has deteriorated

Operating Profit to Sales

Net Profit

Lowest at USD 925.69 MM

in the last five periods

MOJO Watch

Near term Net Profit trend is negative

Net Profit (USD MM)

Debt-Equity Ratio

Highest at 44.71 %

in the last five Semi-Annual periods

MOJO Watch

The company is borrowing more to fund its operations; it's liquidity situation may be stressed

Debt-Equity Ratio

Raw Material Cost

Grown by 13.7% (YoY)

MOJO Watch

The company's ability to pass on the cost of raw materials to customers has deteriorated; this may lead to a fall in profit margin

Raw Material Cost as a percentage of Sales