# Danaher Stock Q3 2026: Sales Up 8% as Masimo Lifts Diagnostics
> Danaher stock Q3 2026: sales rose 8.3% to $6.55bn, core growth ex respiratory was 5.5%, adjusted EPS rose to $2.11 and guidance went up. DHR earnings.

Agent brief for this QSI Labs research article. Prefer this file for quick facts; use the HTML page for the full human layout, or article.md for the full text.

## Facts
- Ticker: DHR
- QSILabs fair value: $88.79 USD
- Price: $227.97 (as of 2026-11-02)
- As of: Q3 2026 results (quarter ended 2026-09-25, reported 2026-10-21) and Form 10-Q filed 2026-10-21; price as of 2026-11-02 close
- Fiscal period: Q3 2026 (July-September 2026)
- Published: 2026-11-02
- Updated: 2026-11-02
- Author: QSI Labs Research
- Canonical: https://www.quantitativesuperintelligencelabs.com/research/danaher-stock-q3-2026-earnings-masimo-bioprocessing/

## Short answer
Danaher stock Q3 2026 comes down to a quarter in which the life sciences and diagnostics group beat its own plan and raised its profit guidance while falling respiratory test sales held back growth. Sales for the three months to 25 September 2026 rose 8.3% to $6,554m, helped by the Masimo acquisition; core sales, which strip out acquisitions and currency, grew 3.0%, or 5.5% excluding respiratory testing. Adjusted EPS rose to $2.11 from $1.89 and free cash flow rose 19% to $1,632m. Danaher raised its 2026 adjusted EPS guidance to $8.57-8.62. Chief executive Julie Sawyer Montgomery spoke of "better-than-expected third quarter revenue, earnings and cash flow". Our discounted cash flow model values Danaher at $88.79 a share, well below the $227.97 close on 2 November 2026, mainly because we use a higher cost of capital than the stock's own history suggests and require heavier reinvestment.

## Key takeaways
- Sales up 8.3%. Third-quarter sales were $6,554m, against $6,053m a year earlier. Acquisitions, mostly Masimo, added 6.5 points of growth, and tariff refunds to customers took off 1.0 point.
- Core growth 5.5% excluding respiratory. Including Cepheid's respiratory tests, which fell to about $350m from about $500m, core growth was 3.0%. Biotechnology grew 5.0%, Life Sciences 4.5% and Diagnostics 0.5%, or 7.0% excluding respiratory testing.
- Bioprocessing orders up mid-teens. Bioprocessing sales grew towards the upper end of mid-single digits, and management expects growth to improve in 2027.
- Higher adjusted margin. The adjusted operating margin rose 1.1 points to 29.0%. The GAAP margin was 19.0%, against 19.1%, after Masimo inventory and amortisation charges.
- Guidance raised. 2026 adjusted EPS guidance is now $8.57-8.62, up from $8.45-8.60. Management's starting point for 2027 is 4-5% core growth excluding respiratory testing.
- Two deals in 2026. Danaher paid about $9.8bn for Masimo in June and about $1.4bn for StatLab Medical Products on 28 September.
- Our value: $88.79 a share, against a $227.97 close on 2 November 2026. Our sensitivity grid runs from $74.98 to $109.48, and using Danaher's own beta of 0.80 gives $131.92. Analysts' average target is $259.9.
- What to watch. The flu season and respiratory test sales; academic and bioprocessing demand; how fast Masimo grows and how quickly its acquisition charges fade; and debt after two large deals.

## Full versions
- [HTML](https://www.quantitativesuperintelligencelabs.com/research/danaher-stock-q3-2026-earnings-masimo-bioprocessing/)
- [Markdown](https://www.quantitativesuperintelligencelabs.com/research/danaher-stock-q3-2026-earnings-masimo-bioprocessing/article.md)
- [PDF](https://www.quantitativesuperintelligencelabs.com/research/danaher-stock-q3-2026-earnings-masimo-bioprocessing/danaher-stock-q3-2026-earnings-masimo-bioprocessing.pdf)
- [This agent brief](https://www.quantitativesuperintelligencelabs.com/research/danaher-stock-q3-2026-earnings-masimo-bioprocessing/llms.txt)

Publisher: QSI Labs (Quantitative Super Intelligence Labs)
Site index: https://www.quantitativesuperintelligencelabs.com/llms.txt