Danaher (DHR) Gains But Lags Market: What You Should Know
The most recent trading session ended with Danaher (DHR) standing at $253.10, reflecting a +0.12% shift from the previouse trading day's closing. The stock lagged the S&P 500's daily gain of 1.12%. Meanwhile, the Dow experienced a rise of 0.61%, and the technology-dominated Nasdaq saw an increase of 1.54%.
Shares of the industrial and medical device maker have appreciated by 2.42% over the course of the past month, underperforming the Conglomerates sector's gain of 7.39% and outperforming the S&P 500's gain of 2.06%.
The upcoming earnings release of Danaher will be of great interest to investors. The company's earnings per share (EPS) are projected to be $1.74, reflecting a 26.27% decrease from the same quarter last year. In the meantime, our current consensus estimate forecasts the revenue to be $5.64 billion, indicating a 21.31% decline compared to the corresponding quarter of the prior year.
For the full year, the Zacks Consensus Estimates are projecting earnings of $7.63 per share and revenue of $24.09 billion, which would represent changes of +0.66% and -12.73%, respectively, from the prior year.
Furthermore, it would be beneficial for investors to monitor any recent shifts in analyst projections for Danaher. These latest adjustments often mirror the shifting dynamics of short-term business patterns. Therefore, positive revisions in estimates convey analysts' confidence in the company's business performance and profit potential.
Our research suggests that these changes in estimates have a direct relationship with upcoming stock price performance. 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.
Ranging from #1 (Strong Buy) to #5 (Strong Sell), the Zacks Rank system has a proven, outside-audited track record of outperformance, with #1 stocks returning an average of +25% annually since 1988. Within the past 30 days, our consensus EPS projection has moved 0.1% higher. Danaher currently has a Zacks Rank of #3 (Hold).
Looking at its valuation, Danaher is holding a Forward P/E ratio of 33.13. This signifies a premium in comparison to the average Forward P/E of 18.09 for its industry.
We can additionally observe that DHR currently boasts a PEG ratio of 3.84. The PEG ratio is akin to the commonly utilized P/E ratio, but this measure also incorporates the company's anticipated earnings growth rate. As of the close of trade yesterday, the Diversified Operations industry held an average PEG ratio of 1.74.
The Diversified Operations industry is part of the Conglomerates sector. With its current Zacks Industry Rank of 63, this industry ranks in the top 25% of all industries, numbering over 250.
The Zacks Industry Rank is ordered from best to worst in terms of the average Zacks Rank of the individual companies within each of these sectors. Our research shows that the top 50% rated industries outperform the bottom half by a factor of 2 to 1.
Ensure to harness Zacks.com to stay updated with all these stock-shifting metrics, among others, in the next trading sessions.
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Danaher Corporation (DHR) : Free Stock Analysis Report
