Danaher price target lowered to $300 from $325 at KeyBanc

KeyBanc analyst Paul Knight lowered the firm’s price target on Danaher (DHR) to $300 from $325 and keeps an Overweight rating on the shares. Ahead of Veralto (VLTO) beginning trading on a when-issued basis, the firm says it sees it unlocking a higher value on the core business of Danaher. KeyBanc believes that with Danaher trading as pure-play life science firm, with about 37% of revenue from fast-growing bio-production, it will be valued at the higher end of its 17.2-22.0-times historical forward-year EV/EBITDA range. The firm expects the Veralto value will also be about $90/share or higher, which implies, at a 1:3 Veralto-to-Danaher distribution, an additional $30 per Danaher share for a sum-of-the-parts of $300/share.