Danaher Corporation (DHR) – Weakness felt in Biotech and Diagnostics

Danaher Corporation (DHR) (Q2FY23)

Introduction

Danaher Corporation designs, manufactures, and markets professional, medical, industrial, and commercial products and services worldwide. The Biotechnology segments offers bioprocess technologies, consumables, and services; lab filtration, separation, and purification; lab-scale protein purification and analytical tools; reagents, membranes and services; and healthcare filtration 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 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, municipal, industrial, and natural resource applications. It 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.

Highlights

Danaher is facing a significant threat to its profitability as the cost of sales continues to rise. In 2022, the company experienced a notable 8.9% year-over-year increase in its cost of sales, primarily attributed to inflation in raw material expenses. The company’s operations have been adversely affected by challenges such as logistics problems and elevated freight costs.

Stock performance

The stock price showed an upward trend in past 3-months. It gave 5.51% returns during the period. The stock price declined by 11.41% in past 1-year. The stock has a 52-week high of $303.82 and its 52-week low is $221.22.

In the past 3 years, Danaher Corporation‘s stock has given returns of 25.15%. DHR has a 50-day moving Avg. and 200-day moving Avg. of $240.60 and $251.03, respectively.

This report is useful for M&A, business & investment analysis to all students, researchers, investors, private equity houses, broking firms, hedge funds, advisory firms and corporates to decide upon their investment strategies. Do connect with us, if you are looking for equity valuation, recommendation, analysis and market recommendation for any specific company, sector and industry.

Highlights

Valuation

– Enterprise Value
– CrispIdea Forecast
– CrispIdea Segment Forecast
– Economic Value Added Analysis
– Discounted Cash Flow Analysis
– PE Band Comparison
– Peer Valuation
– CrispIdea Forecast Relative to Consensus
– Consensus History and Surprise
– Consensus Momentum

Actual & Historical Performance

– Income Statement
– Balance Sheet
– Cash Flow
– 10 Year Historical Performance
– Ratio Analysis
– Du Pont Analysis
– ROIC & ROCE Analysis
– Segment Performance
– M&A Deals

Peer Performance

– Summary
– Profitability
– Growth
– Price Performance

Ownership

Stock Price Performance

Crispidea Coverage

No of Pages: 36

To download the previous quarter’s equity report CLICK HERE

To Download other equity/ stock reports CLICK HERE

Follow our LinkedIn page for more updates.