About Danaher Corporation
Danaher Corporation designs, manufactures, and markets professional, medical, research, and industrial products and services in the United States, China, and internationally. The company operates through Biotechnology, Life Sciences, and Diagnostics segments. The Biotechnology segment provides technologies, consumables, services, and solutions that advance, accelerate, and integrate the development and manufacture of therapeutics; cell line and cell culture media development services; cell culture media, process liquids and buffers for manufacturing, chromatography resins, filtration technologies, and aseptic fill finish; single-use hardware, consumables, and services, such as the design and installation of full manufacturing suites; lab filtration, separation, and purification; lab-scale protein purification and analytical tools; reagents, membranes, and services for diagnostic and assay development; and healthcare filtration solutions. The Life Sciences segment provides mass spectrometers; bioanalytical measurement systems; flow cytometry, genomics, lab automation, centrifugation, liquid handling automation instruments, antibodies and reagents, and particle counting and characterization; genome sample preparation; microscopes; protein consumables; filtration products; and genomic medicines, such as custom nucleic acid products, and plasmid DNA, RNA, and proteins under the ABCAM, ALDEVRON, BECKMAN COULTER, GENEDATA, IDT, LEICA MICROSYSTEMS, MOLECULAR DEVICES, PALL, PHENOMENEX, and SCIEX brands. The Diagnostics segment offers clinical instruments, consumables, software, and services that hospitals, physicians' offices, reference laboratories and other critical care settings use to diagnose disease and make treatment decisions. The company was formerly known as Diversified Mortgage Investors, Inc. and changed its name to Danaher Corporation in 1984. Danaher Corporation was incorporated in 1969 and is headquartered in Washington, the District Of Columbia.
Danaher Corporation (DHR) is a Healthcare company in the Diagnostics & Research industry with a market capitalisation of $140.7B. The stock trades at 35.68x trailing earnings and yields 0.8%.
- Sector
- Healthcare
- Industry
- Diagnostics & Research
- Market cap
- $140.7B
- P/E ratio
- 35.68
- Forward P/E
- 21.53
- EPS (TTM)
- $5.61
- Revenue (TTM)
- $25.1B
- Free cash flow
- $4.3B
- Profit margin
- 15.9%
- Dividend yield
- 0.8%
- Beta
- 0.81
- Shares outstanding
- 703M
Financial health: Strong8.2/10
8 strengths, 1 concern. Weakest points: return on equity.
- Debt to equity: 0.35 (Strong, benchmark < 0.5) — Debt of 0.35x equity is conservative against the 0.5x benchmark. It has been broadly flat over the last 4 years.
- Net debt vs cash flow: 2.6y (Strong, benchmark < 4 years) — Net debt of $13.8B is 2.6x annual free cash flow — about 3 years of cash flow to repay.
- Current ratio: 1.87 (Strong, benchmark > 1.5) — Short-term assets cover 1.87x short-term liabilities, against Graham's 1.5x floor. It has been broadly flat over the last 4 years.
- Return on equity: 7.6% (Concern, benchmark > 15%) — Earns 7.6% on shareholder equity, well short of the > 15% mark.
- Gross margin: 58.8% (Strong, benchmark > 40%) — Keeps 58.8% of revenue after the direct cost of sales, comfortably past the > 40% mark.
- Net margin: 16.0% (Strong, benchmark > 10%) — Turns 16.0% of revenue into profit, comfortably past the > 10% mark.
- Free cash flow: $5.3B (Strong, benchmark positive) — Generated $5.3B of free cash flow after capital spending. It has deteriorated over the last 4 years.
- Revenue growth: 5.5% (Watch, benchmark > 10%) — Revenue changed 5.5% year on year, short of the > 10% mark.
- Earnings growth: 59.7% (Strong, benchmark > 10%) — Earnings changed 59.7% year on year, comfortably past the > 10% mark.
- PEG ratio: 1.20 (Watch, benchmark < 1) — At 1.20, the price looks fair relative to expected growth — Lynch treated 1.0 as fair value.
- Payout ratio: 25.7% (Strong, benchmark < 60%) — Pays out 25.7% of earnings as dividends, leaving room to keep paying.