10 Best Spin Off Stocks to Buy According to Hedge Funds

4. Veralto Corporation (NYSE:VLTO)

Number of Hedge Fund Holders: 43

Veralto Corporation (NYSE:VLTO) provides water analytics, water treatment, marking and coding, packaging, and color services. Operating via two segments: Water Quality (WQ) and Product Quality & Innovation (PQI), the company went public on October 2, 2023, following its separation from Danaher Corporation.

Veralto’s fourth quarter sales increased by 4.4% to $1,345 million, with non-GAAP core sales expanding by 4.6%. In addition, the company’s operating profit margin was 22.9%, with non-GAAP adjusted operating profit margin at 23.8%.

Veralto Corporation (NYSE:VLTO) expects non-GAAP core revenues to rise in the low- to mid-single digits year-over-year in the first quarter of 2025, with an adjusted operating profit margin of 24.0% to 24.5% and adjusted diluted EPS ranging from $0.84 to $0.88. For the full year 2025, the company expects non-GAAP core revenues to increase in the low to mid-single digits year-over-year, while adjusted operating profit margins would rise by 25 to 50 basis points.