Yahoo Finance Danaher (DHR) Dips More Than Broader Markets: What You Should Know
In the latest trading session, Danaher (DHR) closed at $254.76, marking a -0.54% move from the previous day. This change lagged the S&P 500's 0.01% loss on the day. Elsewhere, the Dow lost 0.23%, while the tech-heavy Nasdaq added 0.97%.
Heading into today, shares of the industrial and medical device maker had gained 3.12% over the past month, lagging the Conglomerates sector's gain of 5.71% and the S&P 500's gain of 6.23% in that time.
Investors will be hoping for strength from Danaher as it approaches its next earnings release, which is expected to be April 25, 2023. On that day, Danaher is projected to report earnings of $2.26 per share, which would represent a year-over-year decline of 18.12%. Meanwhile, the Zacks Consensus Estimate for revenue is projecting net sales of $7.03 billion, down 8.58% from the year-ago period.
Looking at the full year, our Zacks Consensus Estimates suggest analysts are expecting earnings of $10.14 per share and revenue of $30.04 billion. These totals would mark changes of -7.4% and -4.56%, respectively, from last year.
It is also important to note the recent changes to analyst estimates for Danaher. Recent revisions tend to reflect the latest near-term business trends. As a result, we can interpret positive estimate revisions as a good sign for the company's business outlook.
Based on our research, we believe these estimate revisions are directly related to near-team stock moves. We developed the Zacks Rank to capitalize on this phenomenon. Our system takes these estimate changes into account and delivers a clear, actionable rating model.
The Zacks Rank system ranges from #1 (Strong Buy) to #5 (Strong Sell). It has a remarkable, outside-audited track record of success, with #1 stocks delivering an average annual return of +25% since 1988. Over the past month, the Zacks Consensus EPS estimate remained stagnant. Danaher is currently a Zacks Rank #2 (Buy).
Investors should also note Danaher's current valuation metrics, including its Forward P/E ratio of 25.26. For comparison, its industry has an average Forward P/E of 16, which means Danaher is trading at a premium to the group.
We can also see that DHR currently has a PEG ratio of 2.1. This metric is used similarly to the famous P/E ratio, but the PEG ratio also takes into account the stock's expected earnings growth rate. The Diversified Operations industry currently had an average PEG ratio of 1.55 as of yesterday's close.
The Diversified Operations industry is part of the Conglomerates sector. This group has a Zacks Industry Rank of 164, putting it in the bottom 35% of all 250+ industries.
The Zacks Industry Rank gauges the strength of our individual industry groups by measuring the average Zacks Rank of the individual stocks within the groups. Our research shows that the top 50% rated industries outperform the bottom half by a factor of 2 to 1.
To follow DHR in the coming trading sessions, be sure to utilize Zacks.com.
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Danaher Corporation (DHR) : Free Stock Analysis Report
