Billionaire Ken Fisher’s 10 Healthcare Stock Picks with Massive Upside Potential

3. Danaher Corporation (NYSE:DHR)

Upside Potential: 47.94%

Number of Hedge Fund Holders: 101

With its Biotechnology, Life Sciences, and Diagnostics divisions, Danaher Corporation (NYSE:DHR) is a multinational scientific and technology company. It offers cutting-edge instruments, supplies, and solutions for use in clinical diagnostics, research applications, and pharmaceutical development. Underpinned by its steady financial performance and innovation-driven growth, Danaher continues to be a prominent company in Ken Fisher’s stock portfolio, with a strong presence in the United States, China, and beyond.

Danaher Corporation (NYSE:DHR) recorded $23.9 billion in total sales for the fiscal year that concluded on December 31, 2024, a 1.5% decrease in core revenue. However, with free cash flow of $5.3 billion, or 135% of net income, the company achieved over 100% free cash flow conversion for the 33rd year in a row.

Across all segments, Danaher Corporation (NYSE:DHR) kept up its investment in innovation. The Cytiva Sefia platform in biotechnology is making it possible to produce CAR-Ts more effectively. Furthermore, Leica Microsystems, a subsidiary of DHR, enhanced its spatial biology imaging capabilities, and Beckman Coulter, also a subsidiary, introduced automated technologies to speed up cell line production in the life sciences. Danaher’s capacity to provide state-of-the-art clinical solutions is demonstrated in the diagnostics industry by Beckman’s new assays for Alzheimer’s research and Cepheid’s expansion in non-respiratory and women’s health diagnostics. Also, its position in precision diagnostics is strengthened by the FDA’s designation of its Alzheimer’s diagnostic test as a breakthrough device.

Despite a 2% foreign exchange loss, Danaher Corporation (NYSE:DHR) projects a 28.5% adjusted operating profit and a 3% increase in core sales in 2025. The company’s sustained emphasis on shareholder returns is evidenced by the 18.5% increase in its quarterly dividend to $0.32 per share. Thus, Danaher has a robust innovation engine, a global presence, and effective capital allocation, which position it for long-term, steady growth.