Company Reports

Veralto's second-quarter adjusted EPS of $1.11 beat the FactSet consensus estimate by $0.10. Core sales increased by 4.2%, driven by 5.7% growth in water quality and 2% growth in product quality and innovation.

Veralto was spun off from Danaher in 2023. The firm is organized into two segments: water quality (60% of 2025 revenue) and product quality and innovation (40% of 2025 revenue). In both segments, Veralto offers a wide range of differentiated solutions, many sold under a razor-and-blade business model, resulting in roughly 61% recurring revenue.

Veralto was spun off from Danaher in 2023. The firm is organized into two segments: water quality (60% of 2025 revenue) and product quality and innovation (40% of 2025 revenue). In both segments, Veralto offers a wide range of differentiated solutions, many sold under a razor-and-blade business model, resulting in roughly 61% recurring revenue.

Veralto increased its first-quarter adjusted EPS by roughly13% year over year to $1.07. Core sales increased by 1.9%, as 3.8% growth in water quality was partially offset by a 1% decline in product quality and innovation.

Veralto was spun off from Danaher in 2023. The business is organized into two segments: water quality (60% of 2025 revenue) and product quality and innovation (40% of 2025 revenue). In both segments, Veralto offers a wide range of differentiated solutions, many sold under a razor-and-blades business model, resulting in roughly 61% recurring revenue.

Veralto's fourth-quarter adjusted earnings per share of $1.04 beat the FactSet consensus estimate by $0.06. Core sales were up 1.6% year over year, as 2.3% higher pricing was partially offset by a 0.7% volume decline. For 2026, management expects full-year adjusted EPS of $4.10-$4.20.

Veralto was spun off from Danaher in 2023. The business is organized into two segments: water quality (60% of 2025 revenue) and product quality and innovation (40% of 2025 revenue). In both segments, Veralto offers a wide range of differentiated solutions, many sold under a razor-and-blades business model, resulting in roughly 61% recurring revenue.

Veralto was spun off from Danaher in 2023. The business is organized into two segments: water quality (60% of 2024 revenue) and product quality and innovation (40% of 2024 revenue). In both segments, Veralto offers a wide range of differentiated solutions, many of which are sold under a razor-and-blade business model, resulting in roughly 61% recurring revenue.

Veralto increased its third-quarter core sales by 5.1% from the same period last year, driven by mid-single-digit growth in both segments. Management raised its 2025 outlook for the second time this year and now anticipates adjusted EPS of $3.82-$3.85, up from $3.72-$3.80 previously.

Veralto grew its second-quarter core sales by 4.8% from the prior-year period. Management raised its 2025 outlook and now expects full-year adjusted EPS of $3.72-$3.80, up from $3.60-$3.70 previously.

Veralto was spun off from Danaher in 2023. The business is organized into two segments: water quality (60% of 2024 revenue) and product quality and innovation (40% of 2024 revenue). In both segments, Veralto offers a wide range of differentiated solutions, many of which are sold under a razor-and-blade business model, resulting in roughly 61% recurring revenue.

We are launching coverage of Veralto, which was spun off from Danaher in 2023, with a $95 fair value estimate and a wide moat rating. We expect Veralto to largely follow Danaher’s blueprint, which entails acquiring moatworthy companies with high levels of recurring revenue, improving operating margins through continuous improvement initiatives, and redeploying cash flows into further acquisitions, creating a flywheel effect. We see the name as fairly valued, with shares currently trading in 3-star territory.

Veralto was spun off from Danaher in 2023. The business is organized into two segments: water quality (60% of 2024 revenue) and product quality and innovation (40% of 2024 revenue). In both segments, Veralto offers a wide range of differentiated solutions, many of which are sold under a razor-and-blade business model, resulting in roughly 61% recurring revenue.