) is set to report its first quarter 2013 results on Apr 18
. The company's reported EPS in the last quarter was 87 cents, in
line with the Zacks Estimate. Let's see how things are shaping up
for this announcement.
Why a Likely Positive Surprise?
Our proven model shows that Danaher is likely to beat earnings
because it has the right combination of two key ingredients.
Positive Zacks ESP:
Earnings Surprise Prediction or
Zacks Earnings ESP
, which represents the difference between the Most Accurate
Estimate and the Zacks Consensus Estimate, is at 1.32%. This is
very meaningful and a leading indicator of a likely positive
earnings surprise for shares.
Zacks #3 Rank (Neutral):
Note that stocks with Zacks Ranks of #1, #2 and #3 have a
significantly higher chance of beating earnings. The Sell-rated
stocks (#4 and #5) should never be considered going into an
The combination of Danaher's Zacks Rank # 3 (Hold) and 1.32%
ESP makes us very confident in looking for a positive earnings
beat on Apr 18
What is Driving the Better Than Expected Earnings?
Danaher expects to benefit from the multiple acquisitions made
during the year. The company is also deriving better than
expected synergies from the merger of Beckman Coulter.
Furthermore, the company is also able to drive organic growth and
margin expansion, driven by its DBS system. In the last quarter,
the company's total sales were up 5.5% year over year.
The positive trend is seen in the trailing four-quarter
average surprise of 1.42%. Danaher reported revenue growth across
its five segments. The company is also benefiting from product
innovations and go-to-market initiatives.
Other Stocks to Consider
Danaher is not the only firm looking up this earnings season.
We also see likely earnings beats coming from these 3 industry
), Earnings ESP of +0.97% and Zacks Rank #2 (Buy).
), Earnings ESP of +0.88% and Zacks Rank #2 (Buy).
), Earnings ESP of +2.50% and Zacks Rank #3 (Hold).
CRANE CO (CR): Free Stock Analysis Report
DANAHER CORP (DHR): Free Stock Analysis
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