Danaher Gears Up to Post Q2 Earnings: What Lies Ahead for the Stock?

Danaher Corporation DHR is scheduled to release second-quarter 2025 results on July 22, before market open.The Zacks Consensus Estimate for revenues is pegged at $5.84 billion, which indicates an increase of 1.6% from the year-ago quarter’s figure. The consensus mark for earnings is pinned at $1.64 per share, which has remained steady in the past 30 days. The estimate indicates a decrease of 4.7% from the figure reported in the year-ago quarter. The company’s bottom line surpassed the Zacks Consensus Estimate in three of the preceding four quarters while missing the mark in one, the average beat being 8.5%. (Find the latest EPS estimates and surprises on Zacks Earnings Calendar.)Let’s see how things have shaped up for Danaher this earnings season.Key Factors and Estimates for Q2Weakness in Danaher’s protein consumables, flow cytometry and lab automation solutions businesses, due to lower demand across academic and government end-markets, is likely to have hurt the Life Sciences segment’s revenues in the second quarter. Also, sales decline in the filtration business due to soft demand in the energy-related end market is likely to have impacted the segment’s performance. We expect the segment’s revenues to decrease 3.4% from the year-ago quarter to $1.71 billion.DHR has been witnessing escalating SG&A expenses, which are likely to weigh on its bottom-line results. For the quarter under review, we anticipate SG&A expenses to be $1.55 billion, indicating a 5.8% increase from the year-earlier level.The company has considerable exposure to overseas markets. Given its substantial international operations, foreign currency headwinds are likely to have marred its profitability.However, strength in the bioprocessing business, driven by an increase in demand for consumables from large pharmaceutical customers in North America, Europe and Southeast Asia, is expected to have aided the Biotechnology segment. The segment’s performance is also likely to have benefited from solid momentum in the discovery and medical business. We expect the segment’s revenues to increase 7% from the year-ago quarter to $1.83 billion.Solid momentum in the pathology and acute care diagnostics businesses is expected to drive the Diagnostics segment’s results. We expect the segment’s revenues to increase 1.1% from the year-ago quarter to $2.29 billion.Danaher acquired Abcam plc, a global supplier of protein consumables, in December 2023, which expanded the Life Sciences segment. Abcam's long track record of innovation, outstanding product quality and breadth of antibody portfolio are expected to have helped the company solve some pertinent healthcare challenges.Danaher Corporation Price and EPS Surprise Danaher Corporation price-eps-surprise | Danaher Corporation QuoteEarnings WhispersOur proven model does not conclusively predict an earnings beat for DHR this time around. The combination of a positive Earnings ESP and a Zacks Rank #1 (Strong Buy), 2 (Buy) or 3 (Hold) increases the odds of an earnings beat, which is not the case here, as elaborated below.Earnings ESP: DHR has an Earnings ESP of 0.00% as both the Most Accurate Estimate and the Zacks Consensus Estimate are pegged at $1.64 per share. You can uncover the best stocks before they’re reported with our Earnings ESP Filter.Zacks Rank: DHR presently carries a Zacks Rank #4 (Sell).You can see the complete list of today’s Zacks #1 Rank stocks here.Stocks to ConsiderHere are some companies within the broader Medical sector, which according to our model, have the right combination of elements to beat on earnings in this reporting cycle.CVS Health Corporation CVS has an Earnings ESP of +2.06% and a Zacks Rank of 2 at present. The company is slated to release second-quarter 2025 results on July 31.CVS Health’s earnings surpassed the Zacks Consensus Estimate in each of the trailing four quarters, the average surprise being 18.1%.Cencora, Inc. COR has an Earnings ESP of +1.49% and a Zacks Rank of 2 at present. The company is scheduled to release second-quarter 2025 results on Aug. 6.Cencora’s earnings surpassed the Zacks Consensus Estimate in each of the preceding four quarters, the average surprise being 6%.Amgen Inc. AMGN has an Earnings ESP of +0.07% and a Zacks Rank of 3 at present. The company is slated to release second-quarter 2025 results on Aug. 5.Amgen’s earnings surpassed the Zacks Consensus Estimate in each of the trailing four quarters, the average surprise being 8.3%.5 Stocks Set to DoubleEach was handpicked by a Zacks expert as the favorite stock to gain +100% or more in the months ahead. They includeStock #1: A Disruptive Force with Notable Growth and ResilienceStock #2: Bullish Signs Signaling to Buy the DipStock #3: One of the Most Compelling Investments in the MarketStock #4: Leader In a Red-Hot Industry Poised for GrowthStock #5: Modern Omni-Channel Platform Coiled to SpringMost of the stocks in this report are flying under Wall Street radar, which provides a great opportunity to get in on the ground floor. While not all picks can be winners, previous recommendations have soared +171%, +209% and +232%.Download Atomic Opportunity: Nuclear Energy's Comeback free today.Want the latest recommendations from Zacks Investment Research? Today, you can download 7 Best Stocks for the Next 30 Days. Click to get this free report Amgen Inc. (AMGN): Free Stock Analysis Report Danaher Corporation (DHR): Free Stock Analysis Report CVS Health Corporation (CVS): Free Stock Analysis Report Cencora, Inc. (COR): Free Stock Analysis ReportThis article originally published on Zacks Investment Research (zacks.com).Zacks Investment ResearchWeiter zum vollständigen Artikel bei Zacks Weiter zum vollständigen Artikel bei Zacks