Danaher's TEK Well Positioned For Coming Years

Danaher Corporation DHR is currently known for its strong track record and solid execution, but an ill-timed purchase will cause the company to miss hurdle rates, although the DHR's track record shows it is well positioned to see handsome contributions to earnings growth, JP Morgan reports. TEK has reported an emerging markets footprint (~25% of revenues) doubling its service revenues in the last three years, and its movement into high growth adjacencies like RF/network security, offering the potential for upsides to TEK's mid-SD growth profile over the next several years, according to JP Morgan. 2012 EPS estimates are $2.75, and FY2010E are $2.20, $2.50 for FY2011E. Danaher Corporation closed yesterday at $39.49.