Danaher Corporation [NYSE:DHR]: Analyst Rating and Earnings
Stock market traders oftentimes pay a lot of attention to what top analysts say regarding a potential investment. Regarding Danaher Corporation [DHR], the latest average analyst recommendation we can see is from the quarter closing in December. On average, stock market experts give DHR an Buy rating. Its stock price has been found in the range of 94.59 to 139.48. This is compared to its latest closing price of $137.91.
Wall Street analysts provide their ratings on a scale of 1 to 5, and the current average score for Danaher Corporation [DHR] is sitting at 1.50. This is compared to 1 month ago, when its average rating was 1.53.
For the quarter ending in Mar-19 Danaher Corporation [DHR] generated $4.88 billion in sales. That’s 1.97% higher than the average estimate of $4.79 billion as provided by Wall Street analysts. The three indicators above suggest that overall, this stock is demonstrating a mixed bag of positive appeal and some drawbacks, making it a somewhat risky investment that also has the potential to generate high ROI in the long run.
Pay attention for this company’s financial results, of which the next release is scheduled to happen on Thu 18 Jul (In 35 Days).
Fundamental Analysis of Danaher Corporation [DHR]
Now let’s turn to look at profitability: with a current Operating Margin for Danaher Corporation [DHR] sitting at +17.46 and its Gross Margin at +55.92, this company’s Net Margin is now 12.00%. These measurements indicate that Danaher Corporation [DHR] is generating considerably more profit, after expenses are accounted for, compared to its market peers.
This company’s Return on Total Capital is 9.28, and its Return on Invested Capital has reached 7.30%. Its Return on Equity is 9.72, and its Return on Assets is 5.61. These metrics suggest that this Danaher Corporation does a poor job of managing its assets, and likely won’t be able to provide successful business outcomes for its investors in the near term.
Turning to investigate this organization’s capital structure, Danaher Corporation [DHR] has generated a Total Debt to Total Equity ratio of 34.52. Similarly, its Total Debt to Total Capital is 25.66, while its Total Debt to Total Assets stands at 20.36. Looking toward the future, this publicly-traded company’s Long-Term Debt to Equity is 34.34, and its Long-Term Debt to Total Capital is 25.53.
What about valuation? This company’s Enterprise Value to EBITDA is 22.46 and its Total Debt to EBITDA Value is 2.04. The Enterprise Value to Sales for this firm is now 5.35, and its Total Debt to Enterprise Value stands at 0.12. Danaher Corporation [DHR] has a Price to Book Ratio of 2.56, a Price to Cash Flow Ratio of 18.21 and P/E Ratio of 40.98. These metrics show that this company has a mixed appeal, and ROI could be a gain or a loss.
Shifting the focus to workforce efficiency, Danaher Corporation [DHR] earns $280,183 for each employee under its payroll. Similarly, this company’s Receivables Turnover is 5.67 and its Total Asset Turnover is 0.42. This publicly-traded organization’s liquidity data is also interesting: its Quick Ratio is 1.07 and its Current Ratio is 1.47. This company, considering these metrics, has a healthy ratio between its short-term liquid assets and its short-term liabilities, making it a less risky investment.
Danaher Corporation [DHR] has 702.40M shares outstanding, amounting to a total market cap of $97.47B. Its stock price has been found in the range of 94.59 to 139.48. At its current price, it has moved by -0.51% from its 52-week high, and it has moved 46.71% from its 52-week low.
This stock’s Beta value is currently 0.96, which indicates that it is more volatile that the wider market. This stock’s Relative Strength Index (RSI) is at 70.68. This RSI suggests that Danaher Corporation is currently Overbought.
Conclusion: Is Danaher Corporation [DHR] a Reliable Buy?
Shares of Danaher Corporation [DHR], overall, appear to be a solid investment option, with Wall Street analysts expecting its price to rise considerably in the next 12 months. This company generates high value from the labor resources and other capital it has available, and while it has heavy Long-Term Debt to Equity, the majority of the metrics point to this investment being highly attractive.