CNBC’s Jim Cramer on Friday advised investors to buy shares of the medical diagnostics and health technology company. Danaher while it is idle, warning that it won’t stay that way for long.
“Danaher is a great American company with a stock that was trading at $280 before we reported that fantastic quarter yesterday morning. Although the quarter was really good, the stock is now at $265,” the “bad moneysaid the host.
“Not only do you get the quarter for free, you get it for less than nothing. Danaher is a gift horse here. Don’t look him in the mouth, just take him. But leave room, as this horrible market is creating tremendous opportunities buy, but only downwards,” he added.
Danaher reported Better-than-expected revenue and profit in its latest quarter, helped by its Covid testing business.
Call Danaher a a company that is “right for the moment,” Cramer blamed the stock’s recent poor performance on investors’ misperceptions of the company and general market turmoil.
“While Danaher has been maligned as a Covid winner, the truth is I think the stock will do much better if we put Covid in the rearview mirror… Also, once Danaher finishes peaking in the Covid tests, their earnings growth should accelerate again,” he said.
However, “it’s not like Danaher’s testing business is going away completely. Covid is here to stay – it’s becoming an endemic disease that we’ll be stuck with for the foreseeable future. So we’re going to need covid testing for a long time.” weather”. to come,” she added.
Cramer also highlighted Danaher’s profitability, a trait it has maintained is crucial to making a company investable, as well as the company’s acquisitions in recent years.
“Thanks to his strong core business, Danaher has been printing money over the last two years, to the point where his relatively clean balance sheet gives him plenty of room to make acquisitions… he’s a consummate dealmaker,” he said.
Disclosure: Cramer’s Charitable Trust owns Danaher stock.
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