Shares of Danaher Corporation (NYSE:DHR) Struck With Downgrade From Goldman Sachs. Should Investors be Concerned?


Danaher Corporation (NYSE:DHR) Receives a Downgrade

The stock rating of Danaher Corporation (NYSE:DHR) was cut by stock analysts at Goldman Sachs from a the old Buy rating to a more updated Neutral in a recent report disseminated on 8 December. The brokerage firm presently has a $103.00 TP on shares, suggesting a possible upside of 6.96%.

From a total of 19 analysts covering Danaher Corporation (NYSE:DHR) stock, 17 rate it a ”Buy”, 0 a “Sell”, and 3 a ”Hold”. This means that 85% of the ratings are positive. The highest target price is $115 while the lowest target price is $84. The mean of all analyst targets is $100.79 with a 5.09% above today’s ($95.77) stock price. Danaher Corporation was the topic of 20 analyst reports since July 28, 2015 according to the firm StockzIntelligence Inc. Goldman Sachs downgraded shares on December 8 to “Neutral” rating. Credit Suisse maintained shares with “Neutral” rating and $90 target share price in a report from a September 4. Barclays Capital maintained DHR stock in a recent report from October 23 with “Overweight” rating. Finally, RBC Capital Markets maintained the stock with “Sector Perform” rating in a report issued on an October 23.

The stock decreased 0.55% or $0.53 during the last trading session, striking $95.77. Approximately 3.79M shares of stock traded hands or 50.40% up from the average. Danaher Corporation (NYSE:DHR) has risen 16.31% since May 6, 2015 and is uptrending. It has outperformed by 17.11% the S&P500.

The overall sentiment of institutions has increased to 0.92 in Q2 2015. Its up 0.04, from 0.88 in 2015Q2. The ratio improved, as 68 institutions have sold all the shares of Danaher Corporation that they owned while 374 funds have taken shares off the table. 101 funds have purchased shares for the first time while 307 added to their positions. These institutions now hold 537.71 million shares or 2.71% less than the 552.68 million shares they owned in 2015Q2.

The Fund Robecosam Usa Inc. currently is holding shares equating to 9.24% of its total portfolio in Danaher Corporation representing a total of 75,180 shares. Another fund,Cortland Associates Inc Mo, is holding a total of 461,228 shares equating to 9.12% of their holdings. Additionally, Southpoint Capital Advisors Lp has a 1.70 million share stake in Danaher Corporation which represents 6.49% of their total portfolio. The Fund, Ashmore Wealth Management Llc, based out of Delaware, has also built up a stake in the stock, which represents a total of 5.77% of their total portfolio. Finally Lateef Investment Management L.P., a fund which is based in the state of California reported a total holdings of 2.53 million shares.

Insider activity is a very important aspect to track on any stock. Going back to April 27, 2015, shareholders of Danaher Corporation have witnessed 0 insider purchases, and a total of 10 sales equating to a net activity of approximately $20.53 million . Joyce Thomas Patrick Jr sold 25,300 shares worth approximately $2.36 million. Lutz Robert S sold 26,400 shares worth approximately $2.47M. Comas Daniel L sold 36,200 shares worth approximately $3.36 million. Beck Mark A sold 6,890 shares worth approximately $604,508. The company insider Lico James A sold 17,970 shares worth $1.57 million.

Danaher Corporation designs, makes and markets professional, medical, industrial and commercial services and products. The company has a market cap of $65.99 billion. It operates in five divisions: Test & Measurement; Environmental; Life Sciences & Diagnostics; Dental, and Industrial Technologies. It has 26.81 P/E ratio. The Test & Measurement segment offers test, measurement and monitoring products.

According to Zacks Investment Research, “Danaher Corporation conducts its operations through two business segments: Process/Environmental Controls and Tools and Components. The Process/Environmental Controls segment produces and sells a range of products including compact, professional electronic test tools, quality assurance products and systems, and power protection products. The Tools and Components segment is a worldwide producer and distributor of general purpose mechanics’ hand tools and automotive specialty tools.” Get a free copy of the Zacks research report on Danaher Corporation (DHR).