Danaher Corporation — Diagnostics & Research. Scored on the same transparent model behind the daily rankings.
★
DHR
Danaher Corporation · Diagnostics & Research
FCF$5.5bB+
Rev+4.6%C+
D/E0.53B
P/E38.5xC+
PEG1.41B
53.8Score
$215.68$151.6B
1Y Target$227.96Analyst consensus · 23 analysts
5Y Target$333.75Compound horizon
10Y Target$495.10Long-dated conviction
FCF$5.5bTTMB+
FCF $5.5b — strong cash profile, above most peers
Rev+4.6%TTM YoYC+
Revenue +4.6% — steady but below market-beating range
D/E0.53B
D/E 0.53 — near the Healthcare debt median (≈60th pctile)
P/E38.5xC+
P/E 38.5 — above the Healthcare median (≈75th pctile)
PEG1.41B
PEG 1.41 — acceptable premium for growth
Forward price target — the 1-year figure is the analyst consensus where the stock is covered; the 5- and 10-year figures compound our earnings estimate from there. The DCF below is a separate cross-check on intrinsic value (what it's worth today), not another target.
Quality-growth score · 53.8
Quality62.0
Growth60.4
Value41.7
Why this score
Raising its dividend
Entry · Margin of safety
52-week rangeNear 52-week high
11% off the 12-month high
vs DCF fair value37% aboveest. fair value ~$157
What the price assumes: free cash flow compounding at ~14% a year for the next decade — vs the ~9% a year our model projects from current growth and analyst estimates.
Quality signals · context only
Gross profitability16% · C+gross profit ÷ total assets (Novy-Marx)
ROIC5.1% · C+return on invested capital — not score-weighted
Model-generatedGenerated by the Bull Rankings model from this company's reported fundamentals, and checked against the figures shown above.
Why now
Danaher’s Diagnostics segment is locking in multi‑year contracts for its high‑margin molecular testing platforms, fueling a steady 4.6% YoY revenue growth while the balance sheet churns $5.5 B of free cash flow and a low beta of 0.8. The Bull Rankings model awards a Quality score of 62, confirming the business’s operational moat, and the market already prices in a 14% FCF growth rate—far above the actual revenue pace—so the upside lives in the compounding cash generation from these contracts. The thesis rests on the durability of the Diagnostics cash‑flow engine.
Moat
Danaher’s Biotechnology and Diagnostics platforms embed proprietary chromatography resins, single‑use consumables and integrated services that customers cannot swap without costly re‑validation, creating high switching costs. Coupled with a modest debt‑to‑equity of 0.53, the firm can reinvest cash at attractive returns, reinforcing the Quality pillar that our model flags as its strongest.
Risk
The stock trades at a lofty PE of 38.5 despite only 4.6% revenue growth, and the Bull Rankings model flags Value as its weakest pillar, suggesting the price already embeds aggressive expectations. A slowdown in diagnostic spend or a pull‑back on contract renewals would expose the valuation gap, and a widening of the debt ratio would confirm the bear case.
Horizon
1-3 yr $227.96 (23-analyst consensus) — fundamentals + valuation re-rating. 5 yr $333.75 at ~9% CAGR — compounding case rests on the competitive position widening. 10 yr $495.10 if current growth sustains into durable earnings power.
Not investment advice. The Bull Rankings publishes a quantitative ranking model and accompanying analysis for general informational purposes only. Nothing on this page is a recommendation to buy, sell, or hold any security; nothing is personalized to your circumstances, risk tolerance, or tax situation. Investing carries the risk of loss — invest at your own risk and consider consulting a licensed financial professional before acting on anything you read here. See terms and methodology for full disclosures.
DHR vs the Top Picks average
Pillar
DHR
Book avg
Diff
Quality
0.62
0.83
-0.22
Growth
0.60
0.87
-0.26
Value
0.42
0.76
-0.35
Averaged across the 30 names in today's Top Picks (mean score 81.6). A name can beat these averages and still be absent from the book — it also applies concentration limits.
Score history · DHR
Trend
-2.5 over 51 daily scores
From 56.3 (Jun 22) → 53.8 (now)
One point per daily model run. The range autoscales, so a flat-looking line can still hide 1–2 point moves — read the From → To values for the actual range.
DHR at a glance
Every figure here comes from the same audited fundamentals behind the score. Charts drawn from data the score does not use say so on the card.
Analyst estimate revisions
30-day change
+0.4%
90-day change
+2.1%
Forward EPS estimate
$9.30
Over the last 90 days, what analysts expect DHR to earn is drifting higher (+2.1%). The estimate is derived from price and forward P/E captured at the same instant, so a moving share price does not move this number — only a changed forecast does.
A rising estimate means expectations are improving, not that the price has failed to keep up — and estimates get cut as readily as they get raised. It is not part of the Bull Rankings score. Biggest movers across the market →
Position sizing · DHR
$
%
%
Shares to buy
9
Position size
$1,941
3.9% of portfolio
Stop price
$161.76
25% below $215.68
$ at risk if stopped
$485.28
budget $500.00 · 1% of portfolio
Math only — share count is floor(portfolio × risk% ÷ (price × stop%)). Doesn't account for commissions, slippage, gap risk, or position-correlation across your book. Inputs persist locally; never sent to the server. Not investment advice.
Danaher Corporation (DHR): score, valuation & FAQ
Danaher Corporation (DHR) is a Diagnostics & Research company that scores 53.8 out of 100 on the Bull Rankings quality-growth model — a middling reading. The score blends three pillars — quality (durable returns, healthy margins, low leverage), growth (revenue and earnings), and value (valuation versus sector peers) — into one number, refreshed daily; it is a screen, not a buy recommendation.
Its strongest graded signals are FCF (B+). On valuation, DHR sits about 37% above our discounted-cash-flow fair value — the current price implies roughly 14% annual free-cash-flow growth over the next decade.
Is DHR a good stock to buy?
Bull Rankings scores DHR 53.8 out of 100 on its quality-growth model, which is a middling reading. That is driven by FCF (B+). A score is a quantitative screen of Danaher Corporation's fundamentals, not personalised financial advice — weigh it against your own time horizon and risk tolerance, and read the risk factors below before acting.
Why does DHR score 53.8 on Bull Rankings?
The score leans on quality at 62.0 out of 100, with value the weakest pillar at 41.7 — the three combine geometrically, so a weak one cannot be papered over by a strong one. DHR earns its highest marks on FCF (B+). Each signal is graded against sector-aware thresholds rather than one absolute bar, so DHR is measured against Diagnostics & Research peers, not against the market as a whole.
Is DHR overvalued or undervalued?
Based on $215.68, DHR sits about 37% above our discounted-cash-flow fair value — the current price implies roughly 14% annual free-cash-flow growth over the next decade. It trades at a 38.5x P/E (graded C+). Discounted-cash-flow estimates are sensitive to growth and discount-rate assumptions, so treat this as a cross-check, not a price target.
What are the main risks of investing in DHR?
The stock trades at a lofty PE of 38.5 despite only 4.6% revenue growth, and the Bull Rankings model flags Value as its weakest pillar, suggesting the price already embeds aggressive expectations. A slowdown in diagnostic spend or a pull‑back on contract renewals would expose the valuation gap, and a widening of the debt ratio would confirm the bear case.
Bull Rankings is an automated fundamentals screen for research and education. It is not investment advice, and nothing here is a recommendation to buy or sell any security. Do your own research and consider consulting a licensed financial advisor.
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