Goldman Sachs and KeyBanc are Bullish on Danaher (DHR)

Core Insights - Danaher Corporation (NYSE:DHR) is recognized as one of the 14 Best Large Cap Stocks to Invest In Now, with Goldman Sachs initiating coverage and assigning a Buy rating with a price target of $265 [1] Company Performance - Danaher has a robust $6 billion bioprocessing franchise that is currently growing at a high single-digit rate despite a muted equipment market [2] - Goldman Sachs anticipates that the challenges affecting equipment demand are beginning to ease, and the pharmaceutical industry is gaining clarity on funding [2] Market Trends - There is a notable shift towards Contract Development and Manufacturing Organization (CDMO) outsourcing, which is expected to enhance bioprocessing equipment orders in the near term [3] - The projected organic growth for Danaher's Biotechnology segment in 2026 is estimated at 9.2%, surpassing the consensus estimate of 6.1% [3] Industry Outlook - KeyBanc Capital Markets has highlighted a recovery in the Life Sciences Tools & Services industry, citing improved biopharma spending and a reduction in policy concerns [4] - After a challenging three-year period characterized by limited funding and destocking, the sector is showing signs of recovery, with large-cap companies like Danaher leading the stock price rebound [4] Financial Guidance - Danaher Corporation's preliminary guidance for 2026 indicates a conservative core revenue growth forecast of 3-6%, supported by a significant increase in biotech funding in recent months [5] - The company is recognized as a leading global innovator in life sciences and diagnostics, providing products and services that facilitate the discovery and delivery of life-changing therapies [5]