CNBC’s Jim Cramer advised investors to add on Friday Danaher on her shopping lists for the next week after reporting third-quarter results.
“You now have the chance to buy one of the best managed companies in the world at a huge discount. I think you need to use this retreat [next] Monday morning because Danaher is too good to ignore,” he said.
The life sciences and medical device company beat earnings estimates in the third quarter, but revised its 2022 bioprocessing sales growth forecast to reflect a slowdown in contributions from the Covid market.
Despite the hit, the company’s stock fell 5% Thursday in reaction to the quarter. Cramer said that was a mistake, especially given that Danaher is an “arms dealer” in the pharmaceutical and biotech industries.
“There are very few players in this space and the industry is as recession-resistant as it gets,” he said.
And while investors may worry about the slowdown in business in the Covid market, the company is focusing its spending on the much larger non-Covid space, Cramer said. Non-Covid bioprocessing sales rose well over 20%, and the company raised its expected full-year core sales growth guidance to high single digits.
“The quarter was very, very strong despite what you may have heard,” said Cramer.
Disclaimer: Cramer’s Charitable Trust owns shares of Danaher.
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