Danaher (DHR)
remains a great case-in-point of the challenge of balancing quality and
opportunity with some semblance of value discipline. There’s no real
argument I can see that Danaher isn’t a premier player in life sciences
alongside Thermo Fisher (TMO) once the deal for General Electric’s (GE)
Biopharma business closes, and if anything, the quality of Danaher’s
Diagnostics and Environmental/Applied Solutions may be a little
overshadowed now.
Still, it’s hard to call Danaher
undiscovered or undervalued. I believe the shares are priced to return a
solid annualized 7% or so to shareholders, and though that’s below what
I’d normally accept for an equity investment, this is a case where
maybe the quality argues for accepting a lower rate of return to have a
solid core holding like Danaher in a diversified portfolio.
Follow this link for the full article:
Strong Life Sciences Continuing To Drive Danaher
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