Offshore
Photo
Dimitry Nakhla | Babylon Capital®
Danaher $DHR stock is down -30% from its highs, falling from $294 to $206 📉
Is $DHR a good investment today?
In the first photo you’ll notice $DHR multiple expanded nearly 40% in the last 10 years, contributing to the company’s ~146% price return over the past 10 years (yes, some businesses were spun off, & the value of those count towards the total return as well)
From 2019-2022, $DHR multiple expanded rapidly, reaching over 30x and this was largely due to forecasted aggressive earnings growth
Moving forward though, EPS growth has been lackluster (2022-2025E) & you can see why $DHR multiple contracted from 35x to 27x today
Yes, $DHR is a great business & the $DHR corporate culture is excellent. But all of that doesn’t warrant a purchase of the company IF the multiple, relative to its growth rate (among several other things) isn’t attractive enough to provide a margin of safety and attractive returns moving forward
Today at $206💵, $DHR trades for 27x NTM with a PEG of 2.22x so I believe $DHR is fairly valued here
At 27x NTM, investor returns will depend heavily on EPS growth (which is fine), yet you likely won’t get the same kind of multiple expansion you did in the last decade (unless EPS growth estimates are revised substantially higher)
This is why I made the argument, less than months ago, that I prefer $TMO to $DHR because $TMO traded for -24% cheaper than $DHR even though $TMO is expected to grow earnings at a higher rate than $DHR over the next 3 years
Since then? $TMO +10% YTD 📈 while $DHR -10% YTD 📉
I’d consider $DHR a good purchase closer to $184💵 or at ~24x NTM EPS & an excellent purchase closer to $168💵 or at ~21x NTM EPS (although I wouldn’t count on it reaching that level)
At $184💵, I’ll have some margin of safety with the potential for slight margin expansion & at $168💵 it’s a steal
I’d likely look to add in tranches, building 70% of the position near $184💵 and 30% if I’m lucky enough to see $168💵
tweet
Danaher $DHR stock is down -30% from its highs, falling from $294 to $206 📉
Is $DHR a good investment today?
In the first photo you’ll notice $DHR multiple expanded nearly 40% in the last 10 years, contributing to the company’s ~146% price return over the past 10 years (yes, some businesses were spun off, & the value of those count towards the total return as well)
From 2019-2022, $DHR multiple expanded rapidly, reaching over 30x and this was largely due to forecasted aggressive earnings growth
Moving forward though, EPS growth has been lackluster (2022-2025E) & you can see why $DHR multiple contracted from 35x to 27x today
Yes, $DHR is a great business & the $DHR corporate culture is excellent. But all of that doesn’t warrant a purchase of the company IF the multiple, relative to its growth rate (among several other things) isn’t attractive enough to provide a margin of safety and attractive returns moving forward
Today at $206💵, $DHR trades for 27x NTM with a PEG of 2.22x so I believe $DHR is fairly valued here
At 27x NTM, investor returns will depend heavily on EPS growth (which is fine), yet you likely won’t get the same kind of multiple expansion you did in the last decade (unless EPS growth estimates are revised substantially higher)
This is why I made the argument, less than months ago, that I prefer $TMO to $DHR because $TMO traded for -24% cheaper than $DHR even though $TMO is expected to grow earnings at a higher rate than $DHR over the next 3 years
Since then? $TMO +10% YTD 📈 while $DHR -10% YTD 📉
I’d consider $DHR a good purchase closer to $184💵 or at ~24x NTM EPS & an excellent purchase closer to $168💵 or at ~21x NTM EPS (although I wouldn’t count on it reaching that level)
At $184💵, I’ll have some margin of safety with the potential for slight margin expansion & at $168💵 it’s a steal
I’d likely look to add in tranches, building 70% of the position near $184💵 and 30% if I’m lucky enough to see $168💵
tweet
Offshore
Photo
Dimitry Nakhla | Babylon Capital®
Danaher $DHR stock is down -30% from its highs, falling from $294 to $206 📉
Is $DHR a good investment today?
In the first photo you’ll notice $DHR multiple expanded nearly 40% in the last 10 years, contributing to the company’s ~146% price return (yes, some businesses were spun off, & the value of those count towards the total return as well)
From 2019-2022, $DHR multiple expanded rapidly, reaching over 30x and this was largely due to forecasted aggressive earnings growth
Moving forward though, EPS growth has been lackluster (2022-2025E) & you can see why $DHR multiple contracted from 35x to 27x today
Yes, $DHR is a great business & the $DHR corporate culture is excellent. But all of that doesn’t warrant a purchase of the company IF the multiple, relative to its growth rate (among several other things) isn’t attractive enough to provide a margin of safety and attractive returns moving forward
Today at $206💵, $DHR trades for 27x NTM with a PEG of 2.22x so I believe $DHR is fairly valued here
At 27x NTM, investor returns will depend heavily on EPS growth (which is fine), yet you likely won’t get the same kind of multiple expansion you did in the last decade (unless EPS growth estimates are revised substantially higher)
This is why I made the argument, less than months ago, that I prefer $TMO to $DHR because $TMO traded -24% cheaper than $DHR even though $TMO is expected to grow earnings at a higher rate than $DHR over the next 3 years
Since then? $TMO +10% YTD 📈 while $DHR -10% YTD 📉
I’d consider $DHR a good purchase closer to $184💵 or at ~24x NTM EPS & an excellent purchase closer to $168💵 or at ~21x NTM EPS (although I wouldn’t count on it reaching that level)
At $184💵, I’ll have some margin of safety with the potential for slight margin expansion & at $168💵 it’s a steal
I’d likely look to add in tranches, building 70% of the position near $184💵 and 30% if I’m lucky enough to see $168💵
tweet
Danaher $DHR stock is down -30% from its highs, falling from $294 to $206 📉
Is $DHR a good investment today?
In the first photo you’ll notice $DHR multiple expanded nearly 40% in the last 10 years, contributing to the company’s ~146% price return (yes, some businesses were spun off, & the value of those count towards the total return as well)
From 2019-2022, $DHR multiple expanded rapidly, reaching over 30x and this was largely due to forecasted aggressive earnings growth
Moving forward though, EPS growth has been lackluster (2022-2025E) & you can see why $DHR multiple contracted from 35x to 27x today
Yes, $DHR is a great business & the $DHR corporate culture is excellent. But all of that doesn’t warrant a purchase of the company IF the multiple, relative to its growth rate (among several other things) isn’t attractive enough to provide a margin of safety and attractive returns moving forward
Today at $206💵, $DHR trades for 27x NTM with a PEG of 2.22x so I believe $DHR is fairly valued here
At 27x NTM, investor returns will depend heavily on EPS growth (which is fine), yet you likely won’t get the same kind of multiple expansion you did in the last decade (unless EPS growth estimates are revised substantially higher)
This is why I made the argument, less than months ago, that I prefer $TMO to $DHR because $TMO traded -24% cheaper than $DHR even though $TMO is expected to grow earnings at a higher rate than $DHR over the next 3 years
Since then? $TMO +10% YTD 📈 while $DHR -10% YTD 📉
I’d consider $DHR a good purchase closer to $184💵 or at ~24x NTM EPS & an excellent purchase closer to $168💵 or at ~21x NTM EPS (although I wouldn’t count on it reaching that level)
At $184💵, I’ll have some margin of safety with the potential for slight margin expansion & at $168💵 it’s a steal
I’d likely look to add in tranches, building 70% of the position near $184💵 and 30% if I’m lucky enough to see $168💵
tweet
Offshore
Photo
Dimitry Nakhla | Babylon Capital®
RT @DimitryNakhla: Worried about tariffs & economic news impacting your stocks?
Don’t sweat the headlines 📰
Your focus should be on the long-term quality & performance of the businesses you own
THAT’S what matters
As Pulak Prasad writes in “What I Learned About Investing from Darwin” 📖 https://t.co/S1ioWTHRY1
tweet
RT @DimitryNakhla: Worried about tariffs & economic news impacting your stocks?
Don’t sweat the headlines 📰
Your focus should be on the long-term quality & performance of the businesses you own
THAT’S what matters
As Pulak Prasad writes in “What I Learned About Investing from Darwin” 📖 https://t.co/S1ioWTHRY1
tweet
Offshore
Video
Startup Archive
Elon Musk explains what he looks for when interviewing people for Tesla and SpaceX
“When I interview somebody, I really just ask them to tell me the story of their career. What are some of the tougher problems that they dealt with? How they dealt with those. And how they made decisions at key transition points. Usually that’s enough for me to get a very good gut feel about someone.”
Elon continues:
“And what I’m really looking for is evidence of exceptional ability. Did they face really difficult problems and overcome them?”
He will also try to make sure that the person is actually responsible for the accomplishments they claim. And the best way to do this is by asking detailed questions:
“Usually the person who has had to struggle with the problem, they really understand it, and they don’t forget.”
One thing Elon does not look for is a college degree - or even a high school diploma:
“If somebody graduated from a great university, that may be an indication that they will be capable of great things, but it’s not necessarily the case. If you look at people like Bill Gates, Larry Ellison, Steve Jobs - they didn’t graduate from college, but if you had a chance to hire them, of course that would be a good idea.”
He concludes:
“[I’m] just looking for evidence of exceptional ability. If there’s a track record of exceptional achievement, then it’s likely that that will continue into the future.”
tweet
Elon Musk explains what he looks for when interviewing people for Tesla and SpaceX
“When I interview somebody, I really just ask them to tell me the story of their career. What are some of the tougher problems that they dealt with? How they dealt with those. And how they made decisions at key transition points. Usually that’s enough for me to get a very good gut feel about someone.”
Elon continues:
“And what I’m really looking for is evidence of exceptional ability. Did they face really difficult problems and overcome them?”
He will also try to make sure that the person is actually responsible for the accomplishments they claim. And the best way to do this is by asking detailed questions:
“Usually the person who has had to struggle with the problem, they really understand it, and they don’t forget.”
One thing Elon does not look for is a college degree - or even a high school diploma:
“If somebody graduated from a great university, that may be an indication that they will be capable of great things, but it’s not necessarily the case. If you look at people like Bill Gates, Larry Ellison, Steve Jobs - they didn’t graduate from college, but if you had a chance to hire them, of course that would be a good idea.”
He concludes:
“[I’m] just looking for evidence of exceptional ability. If there’s a track record of exceptional achievement, then it’s likely that that will continue into the future.”
tweet
Offshore
Photo
iinvested
4Q'24 Donville Kent Asset Management on $ZDCAF, $EHMEF
Read the full letter here:
https://t.co/dVDkhhvUUk https://t.co/DZnJI3gnO5
tweet
4Q'24 Donville Kent Asset Management on $ZDCAF, $EHMEF
Read the full letter here:
https://t.co/dVDkhhvUUk https://t.co/DZnJI3gnO5
tweet
Dimitry Nakhla | Babylon Capital®
10 Quality Stocks Trading PEG <2.00x 📈
☁️ microsoft $msft
•ntm p/e: 29.70x
•peg: 1.86x
🤖 nvidia $nvda
•ntm p/e: 33.07x
•peg: 1.85x
🫱🏼🫲🏻 mercadolibre $meli
•ntm p/e: 56.43x
•peg: 1.61x
📦 amazon $amzn
•ntm p/e: 36.47x
•peg: 1.61x
📸 meta platofrms $meta
•ntm p/e: 28.31x
•peg: 1.51x
✈️ booking holdings $bkng
•ntm p/e: 24.19x
•peg: 1.50x
🖨️ asml holding $asml
•ntm p/e: 29.29x
•peg: 1.44x
🖱️ alphabet $goog $googl
•ntm p/e: 20.82x
•peg: 1.42x
🧬 novo nordisk $nvo
•ntm p/e: 22.62x
•peg: 1.20x
🚙 uber $uber
•ntm p/e: 22.71x
•peg: 1.05x
*peg calculated by taking 2026 - 2027 eps estimates since ntm p/e used (which is based on 2025 eps estimates)
**$nvda ntm based on 2026 eps estimates since fy ends january 2026, 2027 - 2028 eps estimates used for peg)
#stocks #investing
_______
*data from tikr
tweet
10 Quality Stocks Trading PEG <2.00x 📈
☁️ microsoft $msft
•ntm p/e: 29.70x
•peg: 1.86x
🤖 nvidia $nvda
•ntm p/e: 33.07x
•peg: 1.85x
🫱🏼🫲🏻 mercadolibre $meli
•ntm p/e: 56.43x
•peg: 1.61x
📦 amazon $amzn
•ntm p/e: 36.47x
•peg: 1.61x
📸 meta platofrms $meta
•ntm p/e: 28.31x
•peg: 1.51x
✈️ booking holdings $bkng
•ntm p/e: 24.19x
•peg: 1.50x
🖨️ asml holding $asml
•ntm p/e: 29.29x
•peg: 1.44x
🖱️ alphabet $goog $googl
•ntm p/e: 20.82x
•peg: 1.42x
🧬 novo nordisk $nvo
•ntm p/e: 22.62x
•peg: 1.20x
🚙 uber $uber
•ntm p/e: 22.71x
•peg: 1.05x
*peg calculated by taking 2026 - 2027 eps estimates since ntm p/e used (which is based on 2025 eps estimates)
**$nvda ntm based on 2026 eps estimates since fy ends january 2026, 2027 - 2028 eps estimates used for peg)
#stocks #investing
_______
*data from tikr
tweet