Danaher Outruns Estimates Again
Danaher (NYS: DHR) reported earnings today. Here are the numbers you need to know.
The 10-second takeaway
For the quarter ended Dec. 31 (Q4), Danaher met expectations on revenues and beat expectations on earnings per share.
Compared to the prior-year quarter, revenue expanded significantly, and GAAP earnings per share grew.
Margins contracted across the board.
Danaher reported revenue of $4.72 billion. The 18 analysts polled by S&P Capital IQ expected sales of $4.71 billion. Sales were 31% higher than the prior-year quarter's $3.61 billion.
Source: S&P Capital IQ. Quarterly periods. Dollar amounts in millions.
Non-GAAP EPS came in at $0.81. The 22 earnings estimates compiled by S&P Capital IQ averaged $0.78 per share on the same basis. GAAP EPS of $0.81 for Q4 were 15% higher than the prior-year quarter's $0.69 per share.
Source: S&P Capital IQ. Quarterly periods. Figures may be non-GAAP to maintain comparability with estimates.
For the quarter, gross margin was 49.3%, 190 basis points worse than the prior-year quarter. Operating margin was 16.1%, 110 basis points worse than the prior-year quarter. Net margin was 12.1%, 100 basis points worse than the prior-year quarter.
Next quarter's average estimate for revenue is $4.35 billion. On the bottom line, the average EPS estimate is $0.71.
Next year's average estimate for revenue is $18.64 billion. The average EPS estimate is $3.29.
The stock has a five-star rating (out of five) at Motley Fool CAPS, with 506 members out of 527 rating the stock outperform, and 21 members rating it underperform. Among 182 CAPS All-Star picks (recommendations by the highest-ranked CAPS members), 177 give Danaher a green thumbs-up, and five give it a red thumbs-down.
Of Wall Street recommendations tracked by S&P Capital IQ, the average opinion on Danaher is outperform, with an average price target of $56.00.
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At the time this article was published Seth Jayson had no position in any company mentioned here at the time of publication. You can view his stock holdings here. He is co-advisor ofMotley Fool Hidden Gems, which provides new small-cap ideas every month, backed by a real-money portfolio. Try any of our Foolish newsletter services free for 30 days. We Fools may not all hold the same opinions, but we all believe that considering a diverse range of insights makes us better investors. The Motley Fool has a disclosure policy.