Danaher (NYSE:DHR) Issues Earnings Results, Beats Expectations By $0.09 EPS

Danaher (NYSE:DHR) announced its quarterly earnings data on Tuesday. The conglomerate reported $1.94 EPS for the quarter, topping the consensus estimate of $1.85 by $0.09, Briefing.com reports. Danaher had a net margin of 15.95% and a return on equity of 11.06%. The business had revenue of $6.26 billion for the quarter, compared to analyst estimates of $6.12 billion. During the same quarter in the previous year, the firm posted $0.77 earnings per share. The company’s revenue for the quarter was up 5.5% on a year-over-year basis.

Here are the key takeaways from Danaher’s conference call:

• Danaher reported a solid Q2 with better-than-expected revenue, earnings, and free cash flow, and core growth accelerated to 3% year over year, or 4.5% excluding respiratory testing.
• Bioprocessing revenue was softer than expected because several large resin shipments were pushed out by commercial customers’ production timing and site-readiness issues, though management said underlying orders remained strong.
• Life sciences was a standout, with core revenue up 5.5% and strength across Pall, instruments, and consumables as biotech funding improved, pharma demand stayed healthy, and Abcam posted its best quarter since acquisition.
• Management raised full-year adjusted EPS guidance to $8.45-$8.60, helped by the early closing and strong initial performance of Masimo, which Danaher said was immediately accretive and growing at a high-single-digit rate.
• Danaher reiterated confidence in second-half acceleration, expecting Q3 core growth of 2%-3% and a mid-single-digit exit rate in Q4, while also announcing the pending StatLab acquisition to strengthen Leica Biosystems’ workflow offering.

Danaher Trading Up 0.1%

Shares of DHR opened at $179.12 on Thursday. Danaher has a twelve month low of $160.93 and a twelve month high of $242.80. The stock has a market cap of $126.78 billion, a PE ratio of 31.82, a P/E/G ratio of 2.19 and a beta of 0.79. The company has a quick ratio of 1.52, a current ratio of 1.87 and a debt-to-equity ratio of 0.33. The business’s 50-day moving average price is $184.49 and its 200-day moving average price is $197.34.

Danaher Dividend Announcement

The business also recently announced a quarterly dividend, which will be paid on Friday, July 31st. Shareholders of record on Friday, June 26th will be issued a dividend of $0.40 per share. This represents a $1.60 dividend on an annualized basis and a yield of 0.9%. The ex-dividend date of this dividend is Friday, June 26th. Danaher’s payout ratio is presently 30.95%.

Institutional Trading of Danaher

A number of hedge funds and other institutional investors have recently bought and sold shares of the company. JPL Wealth Management LLC bought a new position in Danaher in the 3rd quarter valued at $25,000. WFA of San Diego LLC purchased a new stake in shares of Danaher in the second quarter worth $26,000. Transamerica Financial Advisors LLC boosted its stake in Danaher by 216.3% during the fourth quarter. Transamerica Financial Advisors LLC now owns 155 shares of the conglomerate’s stock valued at $36,000 after buying an additional 106 shares during the period. Birchwood Financial Partners Inc. purchased a new position in Danaher during the fourth quarter worth about $41,000. Finally, Quattro Advisors LLC bought a new position in Danaher in the 4th quarter worth about $52,000. Institutional investors own 79.05% of the company’s stock.

Analysts Set New Price Targets

Several equities analysts have weighed in on the company. Rothschild & Co Redburn set a $205.00 price objective on Danaher in a report on Friday, April 17th. Deutsche Bank Aktiengesellschaft restated a “buy” rating and issued a $240.00 price objective on shares of Danaher in a research note on Wednesday. TD Cowen dropped their price objective on shares of Danaher from $240.00 to $236.00 and set a “buy” rating on the stock in a report on Wednesday. The Goldman Sachs Group reduced their target price on shares of Danaher from $265.00 to $230.00 and set a “buy” rating for the company in a research note on Monday, April 13th. Finally, JPMorgan Chase & Co. lowered their price target on shares of Danaher from $275.00 to $245.00 and set an “overweight” rating on the stock in a research report on Wednesday, April 22nd. One investment analyst has rated the stock with a Strong Buy rating, nineteen have assigned a Buy rating and five have given a Hold rating to the company’s stock. According to data from MarketBeat, the company currently has a consensus rating of “Moderate Buy” and an average target price of $228.91.

About Danaher

Danaher Corporation (NYSE: DHR) is a global science and technology company that designs, manufactures and markets products and services for the life sciences, diagnostics, and environmental and applied markets. The company organizes its operations into business segments focused on Life Sciences, Diagnostics, and Environmental & Applied Solutions, supplying instruments, reagents, software and related services that support research, clinical testing, biopharmaceutical development, and industrial and environmental monitoring.

Products and services in Danaher’s portfolio include analytical and diagnostic instruments, laboratory consumables and reagents, digital and software solutions for workflow and data management, field and industrial monitoring equipment, and service and maintenance programs.