BMI vs DHR

For growth investors, Badger Meter, Inc.

(BMI) is the stronger pick with 10. 9% revenue growth year-over-year, versus 2. 9% for Danaher Corporation (DHR). Badger Meter, Inc. (BMI) offers the better valuation at 25. 8x trailing P/E (27. 5x forward), making it the more compelling value choice. Analysts rate Danaher Corporation (DHR) a "Buy" — based on 42 analyst ratings — the highest consensus in this comparison. The "better buy" depends entirely on your goals: growth investors should weight revenue trajectory, value investors should weight P/E and PEG, and income investors should weight dividend yield and streak.

On trailing P/E, Badger Meter, Inc.

(BMI) is the cheapest at 25. 8x versus Danaher Corporation at 34. 7x. On forward P/E, Danaher Corporation is actually cheaper at 20. 7x — notably different from the trailing picture, reflecting expected earnings growth. The PEG ratio (P/E divided by earnings growth rate) is the most growth-adjusted single valuation metric: Badger Meter, Inc. wins at 1. 19x versus Danaher Corporation's 34. 20x — a reasonable growth-adjusted valuation.

Over the past 5 years, Badger Meter, Inc.

(BMI) delivered a total return of +40. 9%, compared to -20. 9% for Danaher Corporation (DHR). Over 10 years, the gap is even starker: BMI returned +253. 2% versus DHR's +218. 0%. Past returns do not guarantee future results, and the stock with the higher historical return may already have its best growth priced in.

By beta (market sensitivity over 5 years), Badger Meter, Inc.

(BMI) is the lower-risk stock at 0. 87β versus Danaher Corporation's 0. 94β — meaning DHR is approximately 8% more volatile than BMI relative to the S&P 500.

By revenue growth (latest reported year), Badger Meter, Inc.

(BMI) is pulling ahead at 10. 9% versus 2. 9% for Danaher Corporation (DHR). On earnings-per-share growth, the picture is similar: Badger Meter, Inc. grew EPS 13. 2% year-over-year, compared to -4. 7% for Danaher Corporation. Over a 3-year CAGR, BMI leads at 17. 5% annualised revenue growth. Higher growth typically commands a higher valuation multiple — check whether the premium P/E or P/S is justified by the growth rate using the PEG ratio.

Badger Meter, Inc.

(BMI) is the more profitable company, earning 15. 5% net margin versus 14. 7% for Danaher Corporation — meaning it keeps 15. 5% of every revenue dollar as bottom-line profit. Operating margin tells a similar story: DHR leads at 20. 9% versus 20. 0% for BMI. At the gross margin level — before operating expenses — DHR leads at 60. 9%, reflecting greater pricing power or product mix advantage. Stronger margins indicate durable pricing power, lower cost of revenue, or higher mix of software/services. They are one of the clearest signs of business quality.

The PEG ratio (forward P/E divided by expected earnings growth rate) is the most precise measure of undervaluation relative to growth potential.

By this metric, Badger Meter, Inc. (BMI) is the more undervalued stock at a PEG of 1. 19x versus Danaher Corporation's 34. 20x. A PEG below 1. 5 suggests fair-to-attractive pricing relative to expected growth. On forward earnings alone, Danaher Corporation (DHR) trades at 20. 7x forward P/E versus 27. 5x for Badger Meter, Inc. — 6. 8x cheaper on a one-year earnings basis. Analyst consensus price targets imply the most upside for DHR: 41. 2% to $247. 00.

All stocks in this comparison pay dividends.

Badger Meter, Inc. (BMI) offers the highest yield at 1. 2%, versus 0. 7% for Danaher Corporation (DHR).

For long-horizon retirement investors, Badger Meter, Inc.

(BMI) is the stronger choice — it scores higher on the combination of lower volatility, dividend reliability, and long-term compounding (low volatility (β 0. 87), 1. 2% yield, +253. 2% 10Y return). Both have compounded well over 10 years (BMI: +253. 2%, DHR: +218. 0%), confirming both are viable long-term holds — but the lower-volatility option typically results in less emotional selling during corrections. Retirement portfolios generally favour predictability over maximum returns. Consult a financial advisor before making allocation decisions.

These companies operate in different sectors (BMI (Technology) and DHR (Healthcare)), which means they face different economic cycles, regulatory environments, and macro sensitivities — making direct comparison nuanced.

These fundamental differences mean investors should not choose between them on a single metric — the "better stock" depends entirely on which of these characteristics aligns with your investment strategy.