DHR vs SBUX: Which Is the Better Buy?

Side-by-side comparison of Danaher Corporation and Starbucks Corporation β€” fair value, conviction, valuation metrics, and QuantHub research signals. Updated 2026-05-04.
Danaher Corporation Β· Healthcare
$174.04
+13.2% upside to fair value
Grade B
VS
Starbucks Corporation Β· Consumer Cyclical
$96.60
+19.0% upside to fair value
Med Conviction Grade B+
QuantHub Verdict
SBUX has more upside to fair value (+19.0%). DHR trades at a lower forward P/E (33.4x). These are model outputs β€” not personalized investment advice. See all research β†’
Valuation & Fundamentals
Metric DHR SBUX
Current Price $174.04 $96.60
Fair Value Estimate $197.01 $115.00
Upside to Fair Value +13.2% +19.0%
Market Cap $123.2B $110.1B
Forward P/E 33.4x 42.2x
EV / EBITDA 20.3x 22.5x
Price / Sales 5.0x 3.0x
Price / FCF 23.3x 45.1x
Revenue Growth YoY +3.7% +2.8%
Gross Margin 60.7% 24.2%
Operating Margin 21.0% 9.6%
Return on Equity 7.1% -22.9%
Dividend Yield 0% 2.55%
FCF Yield 4.3% 2.2%
Analyst Consensus Strong Buy Hold
Investment Thesis
DHR β€” Danaher Corporation
Danaher Corporation is a diversified healthcare company focused on medical diagnostics, life sciences, and biotechnology, generating approximately $24 billion in revenue with a strong recurring revenue base of over 81%. The company benefits from a high gross margin of 60.7% and solid operating margin of 21%, supported by a seasoned management team with a proven capital allocation track record inc…
SBUX β€” Starbucks Corporation
Starbucks is the world's largest specialty coffee retailer with over 39,000 stores across 86 markets, generating $37.2B in annual revenue. Under CEO Brian Niccol, now 19 months into his tenure after joining from Chipotle in September 2024, the company is executing the Back to Starbucks operational turnaround focused on service speed, menu simplification, and store experience reinvention. At P/S 2…
Accumulation Zones
Metric DHR SBUX
Zone Low $147.76 $88.00
Zone High $167.46 $98.00
In Buy Zone? No Yes
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