
Danaher (NYSE: DHR)
The company is a science, medicine, and technology firm that owns and operates dozens of specialized companies.
Why is Danaher a Great Stock Pick
This $150 billion conglomerate owns 20 diverse companies in three industry segments with about $25 billion annual sales.
The company's focus is growth by acquisition. While most M&A fail to generate shareholder value, Danaher has defied the odds by buying businesses strategically making sure they add to the company's efficiency which then supercharges profit margin and returns on capital.
Since 1984 the company has shown its success in its acquisition strategy and has resulted in growing shareholder value at 21% per year for 40 years. This is twice as high as the S&P500 which only increased 11.6% per year over the same period.
Why Buy Now
Danaher is recovering from the business distortions during Covid lockdowns. As of Q1 2026 the company is back on the growth trend which has continued in Q2 with net income up 60% year over year to $1.23 per share.
The company has 80% of revenue coming from stable recurring orders of consumables, reagents and service which are recession resistant.
Buying this king of acquisitions at 23x earnings is a steal.
Buy Danaher (NYSE: DHR) up to $250 per share.
To your success,
Thomas Moore
Disclosure: The author has no plans to own DHR within 72 hours. The author wrote this article themselves, and it expresses their own opinions. The author is not receiving compensation for it. The author has no business relationship with any company whose stock is mentioned in this article.
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