Danaher Corporation (DHR) vs Illumina, Inc. (ILMN)

Danaher Corporation and Illumina, Inc. are both Diagnostics & Research companies. Danaher Corporation is the larger, with a market value of $162.7B against $40.5B — 4.0× the size. Danaher Corporation trades at the lower P/E: 40.5× against 48.4×. Illumina, Inc. grew revenue faster over the last twelve months: 4.88% against 4.56%. Illumina, Inc. has the higher net margin (18.4% vs 16.0%) and the higher return on invested capital (17.5% vs 4.37%). Across the 22 metrics below, Danaher Corporation leads on 11 and Illumina, Inc. on 11.

Valuation

Metric DHR ILMN Diagnostics & Research median
P/E 40.53 48.43 35.56
P/S 6.43 8.81 4.37
P/B 3.07 13.94 3.06
Price to free cash flow 29.42 43.19 35.76
EV/EBITDA 23.66 34.96 24.35
EV/Sales 7.26 8.99 5.51
Earnings yield 2.47% 2.06% (1.89%)
Free cash flow yield 3.40% 2.32% (0.15%)

Profitability

Metric DHR ILMN Diagnostics & Research median
Gross margin 58.51% 66.39% 50.89%
Operating margin 20.42% 19.65% (8.57%)
Net margin 15.95% 18.36% (6.37%)
Free cash flow margin 21.86% 20.72% 0.00%
Return on equity 7.63% 32.38% (2.92%)
Return on assets 4.60% 12.95% (6.71%)
Return on invested capital 4.37% 17.46% 0.00%

Growth

Metric DHR ILMN Diagnostics & Research median
Revenue growth (TTM) 4.56% 4.88% 7.69%
EPS growth (last fiscal year) (4.54%) 170.87% 25.92%
Revenue growth, 5-year CAGR 1.97% 6.04% 7.40%
Net income growth, 5-year CAGR 0.59% 5.32% 0.00%

Health

Metric DHR ILMN Diagnostics & Research median
Debt to equity 0.48 0.53 0.11
Current ratio 1.65 1.80 2.02
Net debt to EBITDA 1.93 (0.13) 0.70

Dividend

Metric DHR ILMN Diagnostics & Research median
Dividend yield 0.66% — 0.66%
Payout ratio 0.27 — 0.20

Size

Metric DHR ILMN Diagnostics & Research median
Market cap 162.74b 40.46b 2.16b

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