Danaher Net Income vs. Price To Earnings To Growth

DHR Stock  USD 272.09  2.29  0.83%   
Considering Danaher's profitability and operating efficiency indicators, Danaher's profitability may be sliding down. It has an above-average probability of reporting lower numbers next quarter. Profitability indicators assess Danaher's ability to earn profits and add value for shareholders.
 
Net Income  
First Reported
1990-03-31
Previous Quarter
1.1 B
Current Value
907 M
Quarterly Volatility
464.7 M
 
Oil Shock
 
Dot-com Bubble
 
Housing Crash
 
Credit Downgrade
 
Yuan Drop
 
Covid
At this time, Danaher's Price To Sales Ratio is relatively stable compared to the past year. As of 10/22/2024, EV To Sales is likely to grow to 8.09, while Days Sales Outstanding is likely to drop 47.11. At this time, Danaher's Operating Income is relatively stable compared to the past year. As of 10/22/2024, Income Before Tax is likely to grow to about 5.3 B, though Total Other Income Expense Net is likely to grow to (150.1 M).
Current ValueLast YearChange From Last Year 10 Year Trend
Gross Profit Margin0.340.5874
Way Down
Slightly volatile
Net Profit Margin0.210.1994
Notably Up
Slightly volatile
Operating Profit Margin0.120.2177
Way Down
Slightly volatile
Pretax Profit Margin0.110.2111
Way Down
Slightly volatile
Return On Assets0.05240.0564
Significantly Down
Very volatile
Return On Equity0.150.0891
Way Up
Very volatile
For Danaher profitability analysis, we use financial ratios and fundamental drivers that measure the ability of Danaher to generate income relative to revenue, assets, operating costs, and current equity. These fundamental indicators attest to how well Danaher utilizes its assets to generate profit and value for its shareholders. The profitability module also shows relationships between Danaher's most relevant fundamental drivers. It provides multiple suggestions of what could affect the performance of Danaher over time as well as its relative position and ranking within its peers.
  

Danaher's Revenue Breakdown by Earning Segment

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Is Health Care Equipment & Supplies space expected to grow? Or is there an opportunity to expand the business' product line in the future? Factors like these will boost the valuation of Danaher. If investors know Danaher will grow in the future, the company's valuation will be higher. The financial industry is built on trying to define current growth potential and future valuation accurately. All the valuation information about Danaher listed above have to be considered, but the key to understanding future value is determining which factors weigh more heavily than others.
Quarterly Earnings Growth
(0.18)
Dividend Share
1.05
Earnings Share
5.44
Revenue Per Share
31.877
Quarterly Revenue Growth
(0.03)
The market value of Danaher is measured differently than its book value, which is the value of Danaher that is recorded on the company's balance sheet. Investors also form their own opinion of Danaher's value that differs from its market value or its book value, called intrinsic value, which is Danaher's true underlying value. Investors use various methods to calculate intrinsic value and buy a stock when its market value falls below its intrinsic value. Because Danaher's market value can be influenced by many factors that don't directly affect Danaher's underlying business (such as a pandemic or basic market pessimism), market value can vary widely from intrinsic value.
Please note, there is a significant difference between Danaher's value and its price as these two are different measures arrived at by different means. Investors typically determine if Danaher is a good investment by looking at such factors as earnings, sales, fundamental and technical indicators, competition as well as analyst projections. However, Danaher's price is the amount at which it trades on the open market and represents the number that a seller and buyer find agreeable to each party.

Danaher Price To Earnings To Growth vs. Net Income Fundamental Analysis

Comparative valuation techniques use various fundamental indicators to help in determining Danaher's current stock value. Our valuation model uses many indicators to compare Danaher value to that of its competitors to determine the firm's financial worth.
Danaher is rated # 2 in net income category among its peers. It is rated below average in price to earnings to growth category among its peers . The ratio of Net Income to Price To Earnings To Growth for Danaher is about  1,555,956,945 . At this time, Danaher's Net Income is relatively stable compared to the past year. Comparative valuation analysis is a catch-all technique that is used if you cannot value Danaher by discounting back its dividends or cash flows. It compares the stock's price multiples to nearest competition to determine if the stock is relatively undervalued or overvalued.

Danaher Price To Earnings To Growth vs. Net Income

Net income is the profit of a company for the reporting period, which is derived after taking revenues and gains and subtracting all expenses and losses. Net income is one of the most-watched numbers by money managers as well as individual investors.

Danaher

Net Income

 = 

(Rev + Gain)

-

(Exp + Loss)

 = 
4.22 B
Because income is reported on the Income Statement of a company and is measured in dollars some investors prefer to use Profit Margin, which measures income as a percentage of sales.
PEG Ratio indicates the potential value of an equity instrument and is calculated by dividing Price to Earnings (P/E) ratio into earnings growth rate. Most analysts and investors prefer this measure to a Price to Earnings (P/E) ratio because it incorporates the future growth of a firm. The low PEG ratio usually implies that an equity instrument is undervalued; whereas PEG of 1 may indicate that an equity is reasonably priced under given expectations of future growth.

Danaher

PEG Ratio

 = 

PE Ratio

EPS Growth

 = 
2.71 X
Generally speaking, PEG ratio is a 'quick and dirty' way to measure how the current price of a firm's stock relates to its earnings and growth rate. The main benefit of using PEG ratio is that investors can compare the relative valuations of companies within different industries without analyzing their P/E ratios.

Danaher Price To Earnings To Growth Comparison

Danaher is currently under evaluation in price to earnings to growth category among its peers.

Danaher Profitability Projections

The most important aspect of a successful company is its ability to generate a profit. For investors in Danaher, profitability is also one of the essential criteria for including it into their portfolios because, without profit, Danaher will eventually generate negative long term returns. The profitability progress is the general direction of Danaher's change in net profit over the period of time. It can combine multiple indicators of Danaher, where stable trends show no significant progress. An accelerating trend is seen as positive, while a decreasing one is unfavorable. A rising trend means that profits are rising, and operational efficiency may be rising as well. A decreasing trend is a sign of poor performance and may indicate upcoming losses.
Last ReportedProjected for Next Year
Accumulated Other Comprehensive Income-1.7 B-1.7 B
Operating Income5.2 B5.5 B
Income Before TaxB5.3 B
Total Other Income Expense Net-158 M-150.1 M
Net Income4.2 B4.4 B
Income Tax Expense301 M393.1 M
Net Income Applicable To Common Shares8.2 B8.6 B
Net Income From Continuing Ops5.9 B3.8 B
Non Operating Income Net Other-212.8 M-202.1 M
Interest Income215 M133.8 M
Net Interest Income-57 M-59.9 M
Change To Netincome-200.7 M-190.7 M
Net Income Per Share 6.47  6.79 
Income Quality 1.70  1.80 
Net Income Per E B T 0.94  0.56 

Danaher Profitability Driver Comparison

Profitability drivers are factors that can directly affect your investment outlook on Danaher. Investors often realize that things won't turn out the way they predict. There are maybe way too many unforeseen events and contingencies during the holding period of Danaher position where the market behavior may be hard to predict, tax policy changes, gold or oil price hikes, calamities change, and many others. The question is, are you prepared for these unexpected events? Although some of these situations are obviously beyond your control, you can still follow the important profit indicators to know where you should focus on when things like this occur. Below are some of the Danaher's important profitability drivers and their relationship over time.

Use Danaher in pair-trading

One of the main advantages of trading using pair correlations is that every trade hedges away some risk. Because there are two separate transactions required, even if Danaher position performs unexpectedly, the other equity can make up some of the losses. Pair trading also minimizes risk from directional movements in the market. For example, if an entire industry or sector drops because of unexpected headlines, the short position in Danaher will appreciate offsetting losses from the drop in the long position's value.

Danaher Pair Trading

Danaher Pair Trading Analysis

The ability to find closely correlated positions to Danaher could be a great tool in your tax-loss harvesting strategies, allowing investors a quick way to find a similar-enough asset to replace Danaher when you sell it. If you don't do this, your portfolio allocation will be skewed against your target asset allocation. So, investors can't just sell and buy back Danaher - that would be a violation of the tax code under the "wash sale" rule, and this is why you need to find a similar enough asset and use the proceeds from selling Danaher to buy it.
The correlation of Danaher is a statistical measure of how it moves in relation to other instruments. This measure is expressed in what is known as the correlation coefficient, which ranges between -1 and +1. A perfect positive correlation (i.e., a correlation coefficient of +1) implies that as Danaher moves, either up or down, the other security will move in the same direction. Alternatively, perfect negative correlation means that if Danaher moves in either direction, the perfectly negatively correlated security will move in the opposite direction. If the correlation is 0, the equities are not correlated; they are entirely random. A correlation greater than 0.8 is generally described as strong, whereas a correlation less than 0.5 is generally considered weak.
Correlation analysis and pair trading evaluation for Danaher can also be used as hedging techniques within a particular sector or industry or even over random equities to generate a better risk-adjusted return on your portfolios.
Pair CorrelationCorrelation Matching

Use Investing Themes to Complement your Danaher position

In addition to having Danaher in your portfolios, you can quickly add positions using our predefined set of ideas and optimize them against your very unique investing style. A single investing idea is a collection of funds, stocks, ETFs, or cryptocurrencies that are programmatically selected from a pull of investment themes. After you determine your investment opportunity, you can then find an optimal portfolio that will maximize potential returns on the chosen idea or minimize its exposure to market volatility.

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Run Convertibles Funds Thematic Idea Now

Convertibles Funds
Convertibles Funds Theme
Funds or Etfs that invest in debt that is expected to be converted into a predetermined amount of the company equity at some future date. The Convertibles Funds theme has 12 constituents at this time.
You can either use a buy-and-hold strategy to lock in the entire theme or actively trade it to take advantage of the short-term price volatility of individual constituents. Macroaxis can help you discover thousands of investment opportunities in different asset classes. In addition, you can partner with us for reliable portfolio optimization as you plan to utilize Convertibles Funds Theme or any other thematic opportunities.
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Additional Tools for Danaher Stock Analysis

When running Danaher's price analysis, check to measure Danaher's market volatility, profitability, liquidity, solvency, efficiency, growth potential, financial leverage, and other vital indicators. We have many different tools that can be utilized to determine how healthy Danaher is operating at the current time. Most of Danaher's value examination focuses on studying past and present price action to predict the probability of Danaher's future price movements. You can analyze the entity against its peers and the financial market as a whole to determine factors that move Danaher's price. Additionally, you may evaluate how the addition of Danaher to your portfolios can decrease your overall portfolio volatility.