Buy ‘present horse’ Danaher while it’s down, however leave space for other stocks, Cramer states

CNBC’s Jim Cramer on Friday recommended financiers to purchase shares of medical diagnostics and health innovation business Danaher while it’s down, alerting that it will not remain that method for long.

“Danaher’s a great American company with a stock that was trading at $280 before it reported that fantastic quarter yesterday morning. Even though the quarter was really good, the stock’s now at $265,” the “Mad Money” host stated.

“You’re not just getting the quarter for free; you’re getting it for less than nothing. Danaher is a gift horse down here. Don’t look it in the mouth; just take it. But leave room, as this horrible market is creating tremendous buying opportunities, but only on the way down,” he included.

Danaher reported better-than-expected earnings and incomes in its most current quarter, helped by its Covid screening company.

Calling Danaher a business that is “suited for this moment,” Cramer blamed the stock’s just recently bad efficiency on financiers’ misperception of the business and the marketplace’s basic tumultuousness.

“While Danaher has been slandered as a Covid winner, the truth is I think the stock will do much better as we put Covid in the rear-view mirror. … Plus, once Danaher finishes lapping the peak in Covid testing, its earnings growth should accelerate again,” he stated.

However, “it’s not like Danaher’s testing business will totally vanish. Covid is here to stay — it’s becoming an endemic disease that we’ll be stuck with for the foreseeable future. So, we’re going to need Covid tests for a long time to come,” he included.

Cramer likewise highlighted Danaher’s success– a particular he’s preserved is vital for a company to be investable– in addition to the business’s acquisitions in the last few years.

“Thanks to its strong core business, Danaher’s been printing money over the last couple years, to the point where their relatively clean balance sheet gives them a lot of room to make acquisitions … it’s a consummate deal-maker,” he stated.

Disclosure: Cramer’s Charitable Trust owns shares of Danaher.

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