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Valued at a market cap of $129.9 billion, Danaher Corporation (DHR) designs, manufactures, and markets professional, medical, research, and industrial products and services. This Washington, District Of Columbia-based global conglomerate specializes in life sciences, diagnostics, and biotechnology. It is scheduled to announce its fiscal Q1 earnings for 2025 before the market opens on Tuesday, Apr. 22.
Ahead of this event, analysts expect this healthcare company to report a profit of $1.62 per share, down 15.6% from $1.92 per share in the year-ago quarter. The company has exceeded Wall Street's earnings estimates in three of the last four quarters, while missing on another occasion. In Q4 2024, DHR’s EPS of $2.14 fell short of the forecasted figure by 1.4%.
For fiscal 2025, analysts expect Danaher to report a profit of $7.64 per share, up 2.1% from $7.48 in fiscal 2024. Furthermore, its EPS is expected to grow 12.6% year over year to $8.60 in fiscal 2026.
Shares of DHR have declined 24.9% over the past 52 weeks, underperforming both the S&P 500 Index's ($SPX) 1.4% downtick, and the Health Care Select Sector SPDR Fund’s (XLV) 4.7% loss over the same time frame.
On Jan. 29, shares of DHR plunged 9.7% after its mixed Q4 earnings release. Driven by robust growth in revenue from its biotechnology and life sciences segments, the company’s overall top line advanced 2.1% year-over-year to $6.5 billion and exceeded the consensus estimate by 1.2%. However, on the downside, despite a 2.4% annual rise in its adjusted earnings to $2.14 per share, it fell short of Wall Street expectations. Adding to investor concerns, the company issued a cautious outlook for the first quarter of 2025, forecasting its core revenue to decline by a low-single-digit percentage compared to the same quarter last year. This weak guidance might have further weighed on investor confidence.
Wall Street analysts are highly optimistic about DHR’s stock, with a "Strong Buy" rating overall. Among 23 analysts covering the stock, 18 recommend "Strong Buy," one suggests a “Moderate Buy,” and four advise “Hold.” The mean price target for DHR is $268, which indicates a notable 47.4% potential upside from the current levels.
