Contrasting Danaher (NYSE:DHR) & Revvity (NYSE:RVTY)

Danaher (NYSE:DHR) and Revvity (NYSE:RVTY) are both large-cap medical companies, but which is the superior business? We will compare the two businesses based on the strength of their dividends, valuation, risk, analyst recommendations, institutional ownership, earnings and profitability.

Analyst Ratings

This is a breakdown of recent ratings and price targets for Danaher and Revvity, as provided by MarketBeat.com.

	Sell Ratings	Hold Ratings	Buy Ratings	Strong Buy Ratings	Rating Score
Danaher	0	3	17	0	2.85
Revvity	0	4	10	0	2.71

Danaher presently has a consensus price target of $246.35, indicating a potential upside of 26.83%. Revvity has a consensus price target of $120.07, indicating a potential upside of 41.16%. Given Revvity’s higher probable upside, analysts clearly believe Revvity is more favorable than Danaher.

Valuation & Earnings

This table compares Danaher and Revvity”s top-line revenue, earnings per share (EPS) and valuation.

	Gross Revenue	Price/Sales Ratio	Net Income	Earnings Per Share	Price/Earnings Ratio
Danaher	$23.88 billion	5.83	$3.90 billion	$4.70	41.33
Revvity	$2.76 billion	3.58	$270.39 million	$2.36	36.04

Danaher has higher revenue and earnings than Revvity. Revvity is trading at a lower price-to-earnings ratio than Danaher, indicating that it is currently the more affordable of the two stocks.

Volatility & Risk

Danaher has a beta of 0.75, indicating that its stock price is 25% less volatile than the S&P 500. Comparatively, Revvity has a beta of 0.94, indicating that its stock price is 6% less volatile than the S&P 500.

Insider and Institutional Ownership

79.1% of Danaher shares are held by institutional investors. Comparatively, 86.7% of Revvity shares are held by institutional investors. 11.2% of Danaher shares are held by company insiders. Comparatively, 0.7% of Revvity shares are held by company insiders. Strong institutional ownership is an indication that large money managers, endowments and hedge funds believe a company is poised for long-term growth.

Profitability

This table compares Danaher and Revvity’s net margins, return on equity and return on assets.

	Net Margins	Return on Equity	Return on Assets
Danaher	14.21%	10.70%	6.85%
Revvity	10.19%	7.66%	4.73%

Dividends

Danaher pays an annual dividend of $1.28 per share and has a dividend yield of 0.7%. Revvity pays an annual dividend of $0.28 per share and has a dividend yield of 0.3%. Danaher pays out 27.2% of its earnings in the form of a dividend. Revvity pays out 11.9% of its earnings in the form of a dividend. Both companies have healthy payout ratios and should be able to cover their dividend payments with earnings for the next several years. Danaher has raised its dividend for 2 consecutive years. Danaher is clearly the better dividend stock, given its higher yield and longer track record of dividend growth.

Summary

Danaher beats Revvity on 13 of the 17 factors compared between the two stocks.

About Danaher

Danaher Corporation designs, manufactures, and markets professional, medical, industrial, and commercial products and services worldwide. The Biotechnology segments offers bioprocess technologies, consumables, and services that advance, accelerate, and integrate the development and manufacture of therapeutics; cell line and cell culture media development services; cell culture media, process liquids and buffers for manufacturing, chromatography resins, filtration technologies, aseptic fill finish; single-use hardware and consumables and services, such as the design and installation of full manufacturing suites; lab filtration, separation, and purification; lab-scale protein purification and analytical tools; reagents, membranes, and services; and healthcare filtration solutions. The Life Sciences segment provides mass spectrometers; flow cytometry, genomics, lab automation, centrifugation, liquid handling automation instruments, antibodies and reagents, and particle counting and characterization; microscopes; protein consumables; industrial filtration products; and genomic medicines, such as custom nucleic acid products, plasmid DNA, RNA, and proteins under the ABCAM, ALDEVRON, BECKMAN COULTER, IDT, LEICA MICROSYSTEMS, MOLECULAR DEVICES, PALL, PHENOMENEX and SCIEX brands. The Diagnostics segment offers chemistry, immunoassay, microbiology, and automation systems; and molecular, acute care, and pathology diagnostics products. This segment also provides clinical instruments, reagents, consumables, software, and services for hospitals, physicians' offices, reference laboratories, and other critical care settings. The company was formerly known as Diversified Mortgage Investors, Inc. and changed its name to Danaher Corporation in 1984. Danaher Corporation was founded in 1969 and is based in Washington, the District of Columbia.

About Revvity

Revvity, Inc. provides health sciences solutions, technologies, and services in the Americas, Europe, and Asia, and internationally. The Life Sciences segment provides instruments, reagents, informatics, software, subscriptions, detection, imaging technologies, warranties, training, and services. Its Diagnostics segment provides instruments, reagents, assay platforms, and software products for the early detection of genetic disorders, such as pregnancy and early childhood, as well as infectious disease testing in the diagnostics market. Its products are used for testing and screening genetic abnormalities, disorders, and diseases, including down syndrome, hypothyroidism, muscular dystrophy, infertility, and various metabolic conditions. This segment also develops technologies that enable and support genomic workflows using protein coupled receptor and next-generation DNA sequencing for applications in oncology, immunodiagnostics, and drug discovery. It serves pharmaceutical and biotechnology companies, laboratories, academic and research institutions, public health authorities, private healthcare organizations, doctors, and government agencies under the AutoDELFIA, BACS-on-Beads, BIOCHIPs, Bioo Scientific,BoBs , chemagic, Chitas, DELFIA, DELFIA Xpress, DOPlify, EONIS, EUROArray, EUROIMMUN, EUROLabWorkstation, EUROLINE, EUROPattern, Evolution Evoya, explorer, Fontus, Genoglyphix, GSP, Haoyuan, IDS, IDS-i10 IDS-i10T, IDS-iSYS, iLab, iQ, JANUS, LabChip, LifeCycle, LimsLink, Migele, MultiPROBE, NEXTFLEX, NextPrep, Pannoramic, Panthera Puncher, PG-Seq, PGFind PKamp, PreNAT II, Prime, Protein Clear, ProteinEXact, QSigh, QuantiVac, RONIA, Sciclone, SimplicityChrom, Specimen Gate,Superflex, Symbio, T-SPOT, Touch, Twister, Vanadis, VariSpec, ViaCord VICTOR 2D, and Zephyr brand name. The company was formerly known as PerkinElmer, Inc. and changed its name to Revvity, Inc. in April 2023. Revvity, Inc. was founded in 1937 and is headquartered in Waltham, Massachusetts.