Washington, D.C.-based Danaher Corporation (DHR) designs, manufactures, and markets professional, medical, research, and industrial products and services in the United States and internationally. With a market cap of $135.3 billion, the company operates through Biotechnology, Life Sciences, and Diagnostics segments.

Companies worth $10 billion or more are generally described as "large-cap stocks." Danaher fits right into that category, with its market cap exceeding this threshold, reflecting its substantial size and influence in the diagnostics and research industry. Its wide range of offerings includes bioprocessing technologies, genomic medicines, clinical instruments, consumables, software, and services, which gives it a competitive edge over its peers.

DHR touched its three-year high of $281.70 on Aug. 1, 2024, and is currently trading 32.4% below that peak. Meanwhile, DHR has declined 8.3% over the past three months, underperforming the Nasdaq Composite’s ($NASX) 1.7% uptick during the same time frame.

DHR has lagged behind the Nasdaq over the longer term as well. DHR stock has declined 20.3% over the past six months and 26.4% over the past 52 weeks, compared to Nasdaq’s marginal rise over the past six months and 12.7% growth over the past year.

To confirm the downturn, DHR has traded mostly below its 50-day and 200-day moving averages since late October last year, with some fluctuations.

DHR stock grew 3.8% following the release of its better-than-expected Q1 earnings on Apr. 22. Despite decreasing marginally year-over-year to $5.7 billion, the company’s revenues surpassed the Wall Street estimates, mainly driven by a continued momentum in bioprocessing and better-than-expected respiratory demand in its molecular diagnostics business. Moreover, its gross profit grew marginally from the prior year’s quarter to $3.5 billion. Additionally, DHL’s adjusted earnings for the quarter decreased 2.1% from the year-ago value to $1.88, but successfully beat the consensus estimates by 16.1%.

Its rival, Thermo Fisher Scientific Inc. (TMO), has declined 22.6% over the past six months and 29.5% over the past year, underperforming DHR in both periods.

Among the 23 analysts covering the DHR stock, the consensus rating is a “Strong Buy.” Its mean price target of $242.76 suggests a robust 27.5% upside potential from current price levels.