Upside case
Bull case
$383+119.5%
DHR would need investors to value it at roughly 45x earnings — about 25x more generous than today's 21x forward P/E. That requires meaningful multiple expansion on top of continued earnings growth.
Analysis OverviewBuyUpdated May 1, 2026
Danaher Corporation (DHR) Stock Analysis
Wall Street verdict, consensus price target, and analyst rating breakdown — everything needed to frame the risk/reward at today's price.
Analyst consensus
Buy
Covering
42
analysts
31 bullish · 1 bearish · 42 covering DHR
Strong Buy
1
Buy
30
Hold
10
Sell
1
Strong Sell
0
Consensus Target
$247
+41.4% vs today
Scenario Range
$139 – $383
Model bear to bull value window
Coverage
42
Published analyst ratings
Valuation Context
20.7x
Forward P/E · Market cap $123.6B
DHR price targets
Three scenarios for where DHR stock could go
Current
~$175
Confidence
62 / 100
Updated
May 1, 2026
Where we are now
Current · $175
Bear
$139
Base
$246
Bull
$383
Market caseClosest to today
Base case
$246+40.7%
At 29x on FY1 earnings, the base case reflects a reasonable but not stretched valuation. It prices in continued growth without assuming an exceptional setup.
Stress case
Bear case
$139-20.7%
If investor confidence fades or macro conditions deteriorate, a 4x multiple contraction could push DHR down roughly 21% from where it trades now.
Not financial advice. Model confidence reflects internal scenario assumptions, not a guarantee of returns. Past performance does not predict future results.
Danaher Corporation
DHR · NYSEHealthcareMedical - Diagnostics & ResearchDecember year-end
Danaher is a global science and technology innovator that designs, manufactures, and markets professional, medical, industrial, and commercial products and services. It generates revenue through three main segments: Life Sciences (~40% of sales), Diagnostics (~35%), and Environmental & Applied Solutions (~25%), selling instruments, consumables, software, and services to research, healthcare, and industrial customers. The company's competitive advantage stems from its Danaher Business System—a continuous improvement methodology that drives operational excellence and innovation across its diverse portfolio of businesses.
Market Cap
$123.6B
Revenue TTM
$24.8B
Net Income TTM
$3.7B
Net Margin
14.9%
DHR Revenue and Earnings Performance
Quarterly beat-or-miss track record against analyst estimates, plus forward revenue and EPS outlook for the next two fiscal years.
EPS Beat Rate
92%Exceptional
12 quarters tracked
Revenue Beat Rate
83%Exceptional
vs consensus estimates
Avg EPS Surprise
+8.1%
above Street consensus
Beat / Miss Record
BeatMissLeft = EPS · Right = Revenue
Q3 2025
Q4 2025
Q1 2026
Q2 2026
Last 4 Quarters
EPS beats: 4 of 4Q3 2025
EPS
$1.80/$1.64
Revenue
$5.9B/$5.8B
Q4 2025
EPS
$1.89/$1.72
Revenue
$6.1B/$6.0B
Q1 2026
EPS
$2.23/$2.16
Revenue
$6.8B/$6.8B
Q2 2026
EPS
$2.06/$1.94
Revenue
$6.0B/$6.0B
| Quarter | EPS (Actual / Est) | EPS Surprise | Revenue (Actual / Est) | Rev Surprise |
|---|---|---|---|---|
| Q3 2025 | $1.80/$1.64 | +9.8% | $5.9B/$5.8B | +1.7% |
| Q4 2025 | $1.89/$1.72 | +9.9% | $6.1B/$6.0B | +0.9% |
| Q1 2026 | $2.23/$2.16 | +3.2% | $6.8B/$6.8B | +0.4% |
| Q2 2026 | $2.06/$1.94 | +6.2% | $6.0B/$6.0B | -0.5% |
FY1–FY2 Estimates
Revenue Outlook
FY1
$25.2B
+1.8% YoY
FY2
$25.9B
+2.6% YoY
EPS Outlook
FY1
$6.85
+32.0% YoY
FY2
$7.09
+3.6% YoY
Trailing FCF (TTM)$5.3B
FCF Margin: 21.4%
Next Earnings
—
Expected EPS
—
Expected Revenue
—
DHR beat EPS estimates in 4 of 4 tracked quarters. A perfect track record raises the bar for the upcoming report.
DHR Revenue Breakdown by Segment
Product and geographic revenue mix from the latest annual disclosure, with year-over-year growth by segment.
Latest disclosure
FY 2025
Total disclosed revenue $24.6B
Product Mix
Latest annual revenue by segment or product family
Revenue from Contract with Customer, Measurement, Recurring
81.9%
+3.9% YoY
Tap, hover, or focus a slice to inspect segment detail.
Geographic Mix
Latest annual revenue by reported region
Other developed markets
82.0%
+7.3% YoY
Tap, hover, or focus a slice to inspect segment detail.
Revenue from Contract with Customer, Measurement, Recurring is the largest disclosed segment at 81.9% of FY 2025 revenue, up 3.9% YoY.
Other developed markets is the largest reported region at 82.0%, up 7.3% YoY.
DHR Valuation Snapshot
Current multiples compared to the S&P 500, the company's sector, and its own five-year average.
Relative Value Signal
Fairly Valued
Fair value est. $167 — implies -4.7% from today's price.
Premium to Fair Value
4.7%
above fair value
Deep DiscountFair ValueVery Expensive
vs S&P 500 Trailing P/E
DHR
34.6x
vs
S&P 500
25.1x
+38% premium
vs Healthcare Trailing P/E
DHR
34.6x
vs
Healthcare
22.2x
+56% premium
vs DHR 5Y Avg P/E
Today
34.6x
vs
5Y Average
36.7x
6% discount
Forward PE
20.7x
S&P 500
19.1x
+8%
Healthcare
18.8x
+10%
5Y Avg
—
—
Trailing PE
34.6x
S&P 500
25.1x
+38%
Healthcare
22.2x
+56%
5Y Avg
36.7x
-6%
PEG Ratio
34.15x
S&P 500
1.72x
+1890%
Healthcare
1.53x
+2135%
5Y Avg
—
—
EV/EBITDA
18.1x
S&P 500
15.2x
+19%
Healthcare
14.0x
+29%
5Y Avg
23.0x
-21%
Price/FCF
23.5x
S&P 500
21.1x
+11%
Healthcare
18.6x
+27%
5Y Avg
29.3x
-20%
Price/Sales
5.0x
S&P 500
3.1x
+61%
Healthcare
2.8x
+80%
5Y Avg
6.9x
-28%
Dividend Yield
0.71%
S&P 500
1.87%
-62%
Healthcare
1.42%
-50%
5Y Avg
0.46%
+55%
| Metric | DHR | S&P 500 | Healthcare | 5Y Avg DHR |
|---|---|---|---|---|
| Forward PE | 20.7x | 19.1x | 18.8x | — |
| Trailing PE | 34.6x | 25.1x+38% | 22.2x+56% | 36.7x |
| PEG Ratio | 34.15x | 1.72x+1890% | 1.53x+2135% | — |
| EV/EBITDA | 18.1x | 15.2x+19% | 14.0x+29% | 23.0x-21% |
| Price/FCF | 23.5x | 21.1x+11% | 18.6x+27% | 29.3x-20% |
| Price/Sales | 5.0x | 3.1x+61% | 2.8x+80% | 6.9x-28% |
| Dividend Yield | 0.71% | 1.87% | 1.42% | 0.46% |
DHR trades above S&P 500 benchmarks on 5 of 6 measured multiples — commands a broad premium across most valuation dimensions.
Forward P/E and PEG reflect analyst consensus estimates. Historical averages use trailing ratios where forward data is unavailable.S&P 500 and sector benchmarks both use trailing median P/E — similar readings indicate the broader index and sector are priced alike.
Open valuation toolDHR Financial Health
Verdict
Strong
DHR generates $5.3B in free cash flow at a 21.4% margin — returns 3.2% of market cap to shareholders annually.
Cash Engine
Revenue, margins, and cash generation
Revenue (TTM)
Trailing-twelve-month sales base
$24.8B
Revenue Growth
TTM vs prior year
+4.0%
Gross Margin
Gross profit as a share of revenue
60.7%
Operating Margin
Operating income divided by revenue
21.0%
Net Margin
Net income divided by revenue
14.9%
EPS (TTM)
Diluted earnings per share, trailing twelve months
$5.19
Free Cash Flow (TTM)
Cash generation after capex
$5.3B
FCF Margin
FCF as share of revenue — the primary cash quality signal
21.4%
Capital Quality
ROIC, leverage, and debt serviceability
ROIC
Return on invested capital — primary competitive quality signal
5.9%
ROA
Return on assets, trailing twelve months
4.5%
Cash & Equivalents
Liquid assets on the balance sheet
$4.6B
Net Debt
Total debt minus cash
$13.8B
Debt Serviceability
Net debt as a multiple of annual free cash flow
2.6× FCF
~2.6 years to full repayment at current FCF run-rate
ROE
Return on equity, trailing twelve months
7.1%
Shareholder Returns
How capital is returned to owners
Total shareholder yield
3.2%
Dividend
0.7%
Buyback
2.5%
Share Repurchases
Trailing buyback outflow — dollar magnitude of capital returned
$3.1B
Dividend / Share
Annualized trailing dividend per share
$1.23
Payout Ratio
Share of earnings distributed as dividends
24.3%
Shares Outstanding
Declining as buybacks retire shares
708M
All figures from the trailing twelve months. ROIC uses invested capital (equity + net debt).
Open full ratios pageDHR Stock Risk Factors
Key factors that could pressure the stock price, compress the multiple, or weigh on future results.
AI analysis · updated April 11, 2026
High Risk
Regulatory & Legal Risk
Danaher faces extensive FDA and international regulatory scrutiny, including healthcare fraud laws and privacy/security of health data. The Inflation Reduction Act of 2022 introduces drug price negotiation and rebate provisions that could materially reduce margins. Potential shifts in U.S. administration could further tighten regulations, impacting profitability.
Medium
Manufacturing & Supply Chain Disruption
Danaher’s operations rely on complex manufacturing processes and global supply chains. Disruptions, quality control failures, or unmet production demands can delay product launches and increase costs, negatively affecting earnings.
Medium
Financial Health & Balance Sheet Risk
Danaher carries significant goodwill and intangible assets; adverse trends or integration issues could trigger impairment charges. The company’s debt-to-equity ratio is 0.35 and WACC 6.1%, and recent share buybacks have reduced cash balances, potentially limiting flexibility.
Medium
Innovation & Competitive Pressure
In life sciences and technology, Danaher must continuously innovate; failure to develop new technologies or respond to competitors could erode market share. Intense competition across diverse segments heightens the risk of revenue decline.
Lower
Macro & Geopolitical Risk
Broader economic downturns, geopolitical tensions, and political instability can reduce demand for Danaher’s products and increase operational costs. These external factors are less directly controllable but can influence performance.
These are risk mechanisms, not predictions. The key question is which would force a cut to earnings estimates or a lower multiple than the market currently prices in.
Why DHR Stock Could Outperform
Structural drivers behind the upside case and why the stock could outperform over the next 12 months.
AI analysis · updated April 11, 2026
21% Annualized Return Since 1983
Danaher has delivered a 21% annualized return since 1983, underscoring its status as a resilient compounder that can navigate volatile markets.
Free Cash Flow Exceeds Net Income for 30+ Years
The company’s free cash flow has consistently outpaced net income for over three decades, providing a solid balance sheet and manageable debt levels that enable strategic acquisitions.
Biotech & Diagnostics Organic Growth & Margin Expansion
Danaher’s Biotechnology and Diagnostics segments have shown organic growth and margin expansion, and the acquisition of Masimo is expected to further strengthen its specialty diagnostics position.
Aging Populations Fuel Long‑Term Demand
Long‑term demand for Danaher’s diagnostic and life‑science solutions is supported by demographic trends, notably aging populations in developed markets.
Resumed Share Buybacks Signal Confidence
Management’s decision to resume share buybacks reflects confidence in the stock, complementing a disciplined capital allocation history that includes strategic divestitures and high‑quality acquisitions.
A real bull case compounds — each driver matters most when it strengthens margins, supports capital returns, and keeps the company above the market's minimum growth bar simultaneously.
DHR Stock Price Performance
52-week range context and price returns across multiple time horizons. Dividend contribution is shown separately in the Capital Return section.
Current Price
$174.63
52W Range Position
3%
52-Week Range
Current price plotted between the 52-week low and high.
52-Week Low
$172.34
+1.3% from the low
52-Week High
$242.80
-28.1% from the high
1 Month
-9.10%
3 Month
-19.06%
YTD
-24.2%
1 Year
-11.5%
3Y CAGR
-6.7%
5Y CAGR
-5.0%
10Y CAGR
+10.5%
Range context matters because valuation compression and earnings misses rarely hit from the same starting point. A stock already far below its high can still fall, but it is no longer carrying the same embedded optimism as one pressing a fresh peak.
DHR vs Peers
Valuation, growth, and margin comparison against the closest publicly traded peers for this company.
Peer Set
Accurate peer set
Forward PE
20.7x
vs 19.7x median
+5% above peer median
Revenue Growth
+1.8%
vs +4.6% median
-61% below peer median
Net Margin
14.9%
vs 11.9% median
+25% above peer median
| Company | Mkt Cap | Fwd PE | Rev Grw | Margin | Rating | Upside |
|---|---|---|---|---|---|---|
DHR DHR Danaher Corporation | $123.6B | 20.7x | +1.8% | 14.9% | Buy | +41.4% |
TMO TMO Thermo Fisher Scientific Inc. | $173.5B | 18.8x | +4.1% | 15.2% | Buy | +40.3% |
A A Agilent Technologies, Inc. | $33.3B | 19.7x | +4.6% | 18.3% | Buy | +41.2% |
WAT WAT Waters Corporation | $20.4B | 23.8x | +45.4% | 11.9% | Hold | +17.5% |
BIO BIO Bio-Rad Laboratories, Inc. | $6.9B | 25.0x | -0.1% | 6.5% | Buy | +21.5% |
BRK BRKR Bruker Corporation | $5.8B | 18.0x | +10.4% | -0.3% | Buy | +37.1% |
This peer comparison reflects companies with similar business models, product lines, or market positioning, supplemented by industry grouping when direct matches are limited.
DHR Dividend and Capital Return
DHR returns capital mainly through $3.1B/year in buybacks (2.5% buyback yield), with a modest 0.71% dividend — combining for 3.2% total shareholder yield. The dividend has grown for 8 consecutive years.
Dividend SustainableFCF Well Covered
Total Shareholder Yield
3.2%
Dividend + buyback return per year
Buyback Yield
2.5%
Dividend Yield
0.71%
Payout Ratio
24.3%
How DHR Splits Its Return
Div 0.71%
Buyback 2.5%
Dividend 0.71%Buybacks 2.5%
Dividend Profile
Yield, cadence, and growth quality
Dividend / Share
Trailing annualized cash dividend
$1.23
Growth Streak
Consecutive years of dividend increases
8Y
3Y Div CAGR
13.0%
5Y Div CAGR
14.9%
Ex-Dividend Date
—
Payment Cadence
Quarterly
4 payments over the last 12 months
Buyback Engine
How much per-share support comes from repurchases
Repurchases (TTM)
Cash used for buybacks in the latest trailing period
$3.1B
Estimated Shares Retired
18M
Approx. Share Reduction
2.5%
Shares Outstanding
Current diluted share count from the screening snapshot
708M
At 2.5%/year, buybacks mechanically lift EPS even with flat earnings — each remaining share represents a slightly larger piece of the company.
| Year | Div / Share | YoY Grw | BB Yield | Total Yield |
|---|---|---|---|---|
| 2026 | $0.40 | — | — | — |
| 2025 | $1.28 | +18.5% | 1.9% | 2.4% |
| 2024 | $1.08 | +9.2% | 3.5% | 4.0% |
| 2023 | $0.99 | +11.5% | 0.0% | 0.5% |
| 2022 | $0.89 | +19.0% | 0.0% | 0.5% |
FAQ
7 questionsDHR Investor Questions
Common questions answered from live analyst data and company financials.
01Is Danaher Corporation (DHR) stock a buy or sell in 2026?
Danaher Corporation (DHR) is rated Buy by Wall Street analysts as of 2026. Of 42 analysts covering the stock, 31 rate it Buy or Strong Buy, 10 rate it Hold, and 1 rate it Sell or Strong Sell. The consensus 12-month price target is $247, implying +41.4% from the current price of $175. The bear case scenario is $139 and the bull case is $383.
02What is the DHR stock price target for 2026?
The Wall Street consensus price target for DHR is $247 based on 42 analyst estimates. The high-end target is $270 (+54.6% from today), and the low-end target is $205 (+17.4%). The base case model target is $246.
03Is Danaher Corporation (DHR) stock overvalued in 2026?
DHR trades at 20.7x times forward earnings. The stock trades at a notable premium to the broad market, which is typical for businesses with strong free cash flow and above-average growth expectations. Based on current multiples versus the peer group, the relative model signals fairly valued. Whether the stock is over or undervalued ultimately depends on whether consensus earnings estimates are achievable.
04What are the main risks for Danaher Corporation (DHR) stock in 2026?
The primary risks for DHR in 2026 are: (1) Regulatory & Legal Risk — Danaher faces extensive FDA and international regulatory scrutiny, including healthcare fraud laws and privacy/security of health data. (2) Manufacturing & Supply Chain Disruption — Danaher’s operations rely on complex manufacturing processes and global supply chains. (3) Financial Health & Balance Sheet Risk — Danaher carries significant goodwill and intangible assets; adverse trends or integration issues could trigger impairment charges. Each factor has the potential to pressure earnings or compress the stock's valuation multiple.
05What is Danaher Corporation's revenue and earnings forecast?
Analyst consensus estimates DHR will report consensus revenue of $25.2B (+1.8% year-over-year) and EPS of $6.85 (+32.0% year-over-year) for the upcoming fiscal year. The following year, analysts project $25.9B in revenue.
06When does Danaher Corporation (DHR) report its next earnings?
A confirmed upcoming earnings date for DHR is not yet available. Check the Earnings section above for the most recent quarterly report dates and forward estimates.
07How much free cash flow does Danaher Corporation generate?
Danaher Corporation (DHR) generated $5.3B in free cash flow over the trailing twelve months — a free cash flow margin of 21.4%. DHR returns capital to shareholders through dividends (0.7% yield) and share repurchases ($3.1B TTM).