Danaher (DHR) Stock Declines While Market Improves: Some Information for Investors
In the latest market close, Danaher (DHR) reached $229.64, with a -0.53% movement compared to the previous day. The stock trailed the S&P 500, which registered a daily gain of 0.57%. Elsewhere, the Dow gained 0.46%, while the tech-heavy Nasdaq added 0.75%.
Coming into today, shares of the industrial and medical device maker had gained 5.06% in the past month. In that same time, the Conglomerates sector gained 0.1%, while the S&P 500 gained 3.4%.
The investment community will be paying close attention to the earnings performance of Danaher in its upcoming release. The company is slated to reveal its earnings on January 30, 2024. In that report, analysts expect Danaher to post earnings of $1.88 per share. This would mark a year-over-year decline of 34.49%. In the meantime, our current consensus estimate forecasts the revenue to be $5.94 billion, indicating a 29.04% decline compared to the corresponding quarter of the prior year.
Investors might also notice recent changes to analyst estimates for Danaher. These revisions typically reflect the latest short-term business trends, which can change frequently. Therefore, positive revisions in estimates convey analysts' confidence in the company's business performance and profit potential.
Our research reveals that these estimate alterations are directly linked with the stock price performance in the near future. To capitalize on this, we've crafted the Zacks Rank, a unique model that incorporates these estimate changes and offers a practical rating system.
The Zacks Rank system, ranging from #1 (Strong Buy) to #5 (Strong Sell), possesses a remarkable history of outdoing, externally audited, with #1 stocks returning an average annual gain of +25% since 1988. Over the last 30 days, the Zacks Consensus EPS estimate has witnessed a 1.28% decrease. Danaher presently features a Zacks Rank of #3 (Hold).
Looking at its valuation, Danaher is holding a Forward P/E ratio of 29.67. This signifies a premium in comparison to the average Forward P/E of 15.28 for its industry.
Investors should also note that DHR has a PEG ratio of 2.47 right now. This popular metric is similar to the widely-known P/E ratio, with the difference being that the PEG ratio also takes into account the company's expected earnings growth rate. Diversified Operations stocks are, on average, holding a PEG ratio of 2.26 based on yesterday's closing prices.
The Diversified Operations industry is part of the Conglomerates sector. Currently, this industry holds a Zacks Industry Rank of 59, positioning it in the top 24% of all 250+ industries.
The strength of our individual industry groups is measured by the Zacks Industry Rank, which is calculated based on the average Zacks Rank of the individual stocks within these groups. Our research shows that the top 50% rated industries outperform the bottom half by a factor of 2 to 1.
Be sure to follow all of these stock-moving metrics, and many more, on Zacks.com.
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Danaher Corporation (DHR) : Free Stock Analysis Report
