Shares of Danaher Corp. (NYSE: DHR – $89.75) are rising about 4.3% today as the company announced results for the third quarter of 2017. Adjusted earnings per share were $1.00, a 15.0% increase over the comparable 2016 period’s $0.87 and five cents above Street estimates. Revenues increased 9.5% year-over-year to $4.5 billion, with adjusted core revenue growth of 3.0%. Most estimates were for Danaher to show revenues of $4.46 billion. Looking ahead to the fourth quarter of 2017, the company anticipates that adjusted earnings per share will now be in the range of $1.12 to $1.16 and a full-year range of $3.96 to $4.00. Following last year’s spin-off of Fortive, the “new” Danaher manufactures and markets professional, medical diagnostic, dental, life science and environmental/filtration products and services worldwide.
CEO Thomas P. Joyce, Jr. stated, “We are pleased with our third quarter performance, with the team delivering mid-teens adjusted earnings per share growth, strong margin expansion and cash flow, and improving revenue growth. With the Danaher Business System as our foundation, the team’s commitment to continuous improvement was a key driver of our results.” Joyce continued, “Our performance in the quarter – combined with significant opportunities across the portfolio and our strong balance sheet – positions us to build on this momentum through the end of 2017 and into next year.” The shares of good-quality DHR are an above-average choice for price gains. Too, the small, but growing, dividend serves to sweeten the pot.