Danaher Corp (DHR) is overvalued and Waters Corp (WAT) is overvalued.
Both trade above our estimate of their intrinsic value. DHR is the closer of the two: -137%, against -235% for WAT.
Values as of the 22 Sept 2026 close.
Discounting its cash flows at 9.1% (average of 3 methods) values the shares at $93.43; the price of $221.09 is 137% above that value, and 75% of that value comes from beyond year five.
Leak Score 45/100 on 10 of 12 signals
Discounting its cash flows at 10.4% (average of 3 methods) values the shares at $127.06; the price of $425.74 is 235% above that value, and 71% of that value comes from beyond year five.
Leak Score 45/100 on 10 of 12 signals
| Metric | DHR | WAT |
|---|---|---|
| Verdict | Overvalued | Overvalued |
| Price | $221.09 | $425.74 |
| Intrinsic value | $93.43 | $127.06 |
| Margin of safety | -137% | -235% |
| Leak Score | 45/100 (10/12) | 45/100 (10/12) |
| Market cap | $155.4B | $41.8B |
| Revenue growth, 5 years | 2.0% | 6.0% |
| Operating margin | 21.2% | 11.8% |
| Net margin | 16.0% | 3.6% |
| Return on equity | 7.6% | 1.9% |
| Debt to equity | 0.53 | 0.36 |
| P/E | 39.3x | 106.3x |
| Forward P/E | 23.8x | 25.8x |
| P/B | 3.0x | 2.8x |
| Dividend yield | 0.6% | — |