Danaher profit will move up

Article Excerpt

DANAHER CORP. $256 remains a buy for aggressive investors. The company (New York symbol DHR; Aggressive Growth Portfolio; Manufacturing sector; Shares outstanding 722.2 million; Market cap: $184.9 billion; Price-to-sales ratio: 8.2; Dividend yield: 0.4%; TSINetwork Rating: Above Average; www.danaher.com) makes precision-testing equipment and tools for medical research labs and municipal water utilities. In December 2023, the company acquired U.K.-based Abcam plc (Nasdaq symbol ABCM) for $5.7 billion. Abcam provides the life sciences market with antibodies, reagents, biomarkers, and assays for drug development. That purchase helped lift Danaher’s revenue in the three months ended September 27, 2024, by 3.1%, to $5.80 billion from $5.62 billion a year earlier. If you factor out the contribution of acquisitions and currency rates, revenue improved 0.5%. Earnings per share slipped 0.6%, to $1.71 from $1.72. However, the Abcam purchase will probably increase Danaher earnings by 13%, from $7.58 a share in 2024 to $8.64 in 2025. The stock is up 30% in the past year and trades a high, but still…