10 Best Healthcare Stocks to Buy According to Billionaires

5. Danaher Corporation (NYSE:DHR)

Number of Billionaire Investors: 18

Value of Billionaire Holdings: $3.8 billion

Danaher Corporation (NYSE:DHR) develops, produces, and sells professional, industrial, medical, and research products and services across the US, China, and other markets. The company operates through its Biotechnology, Life Sciences, and Diagnostics segments. On February 20, the company’s board of directors approved a quarterly dividend of $0.32 per share. It is to be paid on April 25, to shareholders on record as of March 28. This represents an 18.5% increase from the prior dividend of $0.27 per share. Danaher has consistently paid dividends for at least 30 years, placing it among the best healthcare stocks.

For the fourth quarter of 2024, Danaher Corporation (NYSE:DHR)’s sales amounted to $6.5 billion, reflecting 1% core revenue growth driven by strong demand for consumables used in commercialized therapies. The adjusted operating profit margin improved by 90 basis points to 29.6% due to cost-saving measures. Adjusted diluted earnings per share increased by 2.4% year-over-year to $2.14, with free cash flow reaching $1.5 billion for the quarter. Over the full year, Danaher generated $5.3 billion in free cash flow, achieving a free cash flow to net income conversion ratio of approximately 135%.

On January 9, Danaher Diagnostics LLC and Danaher Ventures LLC, both subsidiaries of Danaher Corporation (NYSE:DHR), announced a partnership with healthcare AI company Innovaccer Inc. As part of this investment collaboration, Danaher, Innovaccer, and its network of healthcare systems aim to enhance the use of precision diagnostics among clinicians and population health teams, promoting value-based care.