Stock Analysis on Net
Stock Analysis on Net

Danaher Corp. (NYSE:DHR)

Price to FCFE (P/FCFE) 

Microsoft Excel

Free Cash Flow to Equity (FCFE)

Danaher Corp., FCFE calculation

US$ in millions

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12 months ended: Dec 31, 2023 Dec 31, 2022 Dec 31, 2021 Dec 31, 2020 Dec 31, 2019
Net earnings 4,764 7,209 6,433 3,646 3,008
Net noncash charges 915 2,270 2,354 2,508 364
Change in operating capital 811 (960) (429) 61 285
Net cash provided by operating activities 6,490 8,519 8,358 6,215 3,657
Payments for additions to property, plant and equipment (1,383) (1,152) (1,294) (791) (636)
Proceeds from sales of property, plant and equipment 12 9 13 2 13
Net proceeds from (repayments of) borrowings, maturities of 90 days or less (1,006) (723) 2,265 (4,637) 2,802
Proceeds from borrowings, maturities longer than 90 days — — 984 8,670 12,113
Repayments of borrowings, maturities longer than 90 days (620) (965) (1,186) (5,933) (1,565)
Make-whole premiums to redeem borrowings prior to maturity — — (96) (26) (7)
Free cash flow to equity (FCFE) 3,493 5,688 9,044 3,500 16,378

Based on: 10-K (reporting date: 2023-12-31), 10-K (reporting date: 2022-12-31), 10-K (reporting date: 2021-12-31), 10-K (reporting date: 2020-12-31), 10-K (reporting date: 2019-12-31).

Item Description The company
FCFE Free cash flow to equity is the cash flow available to Danaher Corp. equity holders after all operating expenses, interest, and principal payments have been paid and necessary investments in working and fixed capital have been made. Danaher Corp. FCFE decreased from 2021 to 2022 and from 2022 to 2023.

Price to FCFE Ratio, Current

Danaher Corp., current P/FCFE calculation, comparison to benchmarks

Microsoft Excel
No. shares of common stock outstanding 722,275,141
Selected Financial Data (US$)
Free cash flow to equity (FCFE) (in millions) 3,493
FCFE per share 4.84
Current share price (P) 228.55
Valuation Ratio
P/FCFE 47.26
Benchmarks
P/FCFE, Competitors1
AbbVie Inc. 17.36
Amgen Inc. 4.29
Bristol-Myers Squibb Co. 8.87
Eli Lilly & Co. 77.19
Gilead Sciences Inc. 16.13
Johnson & Johnson 22.42
Merck & Co. Inc. 18.61
Pfizer Inc. 3.67
Regeneron Pharmaceuticals Inc. 19.90
Thermo Fisher Scientific Inc. 29.22
P/FCFE, Sector
Pharmaceuticals, Biotechnology & Life Sciences 15.81
P/FCFE, Industry
Health Care 15.75

Based on: 10-K (reporting date: 2023-12-31).

1 Click competitor name to see calculations.

If the company P/FCFE is lower then the P/FCFE of benchmark then company is relatively undervalued.
Otherwise, if the company P/FCFE is higher then the P/FCFE of benchmark then company is relatively overvalued.

Price to FCFE Ratio, Historical

Danaher Corp., historical P/FCFE calculation, comparison to benchmarks

Microsoft Excel
Dec 31, 2023 Dec 31, 2022 Dec 31, 2021 Dec 31, 2020 Dec 31, 2019
No. shares of common stock outstanding1 739,701,725 728,576,886 715,352,586 712,204,198 696,237,113
Selected Financial Data (US$)
Free cash flow to equity (FCFE) (in millions)2 3,493 5,688 9,044 3,500 16,378
FCFE per share3 4.72 7.81 12.64 4.91 23.52
Share price1, 4 250.65 250.11 262.39 219.26 161.88
Valuation Ratio
P/FCFE5 53.08 32.04 20.75 44.62 6.88
Benchmarks
P/FCFE, Competitors6
AbbVie Inc. 17.37 22.66 18.76 13.16 3.64
Amgen Inc. 4.71 8.32 13.52 11.06 33.32
Bristol-Myers Squibb Co. 7.52 22.85 16.17 7.80 5.80
Eli Lilly & Co. 75.06 60.51 35.17 36.62 15.87
Gilead Sciences Inc. 12.81 15.22 12.70 5.98 15.91
Johnson & Johnson 24.31 16.73 23.28 15.60 23.06
Merck & Co. Inc. 24.48 22.40 18.72 17.85 18.08
Pfizer Inc. 3.82 10.56 8.88 — 9.87
Regeneron Pharmaceuticals Inc. 26.52 19.29 10.35 13.30 21.00
Thermo Fisher Scientific Inc. 31.16 27.98 13.44 18.58 46.04
P/FCFE, Sector
Pharmaceuticals, Biotechnology & Life Sciences 16.58 19.26 16.32 17.05 11.36
P/FCFE, Industry
Health Care 16.55 18.22 17.57 16.92 13.31

Based on: 10-K (reporting date: 2023-12-31), 10-K (reporting date: 2022-12-31), 10-K (reporting date: 2021-12-31), 10-K (reporting date: 2020-12-31), 10-K (reporting date: 2019-12-31).

1 Data adjusted for splits and stock dividends.

2 See details »

3 2023 Calculation
FCFE per share = FCFE ÷ No. shares of common stock outstanding
= 3,493,000,000 ÷ 739,701,725 = 4.72

4 Closing price as at the filing date of Danaher Corp. Annual Report.

5 2023 Calculation
P/FCFE = Share price ÷ FCFE per share
= 250.65 ÷ 4.72 = 53.08

6 Click competitor name to see calculations.

Valuation ratio Description The company
P/FCFE Price to free cash flow to equity is cash valuation indicator of stockholders’ equity. Danaher Corp. P/FCFE ratio increased from 2021 to 2022 and from 2022 to 2023.