MoatScopeVeralto CorporationVLTO
Spin-off from Danaher Corporation (DHR) · Sep 30, 2023 · NYSE
one share of Veralto for every three shares of Danaher
Documents
Both companies today
Moat ratings, quality scores and fair value estimates are MoatScope research opinions and refresh with the data pipeline. Price / FV below 1.00× means the shares trade under our base-case estimate.
What is being separated
Veralto holds Danaher's former Environmental & Applied Solutions businesses: a group of operating companies whose technology monitors, enhances and protects water and other vital resources, spanning water quality and product quality and innovation.
Stated rationaleDanaher said the separation would let Veralto run with its own strategy and capital allocation while Danaher focuses on life sciences and diagnostics.
The four questions
Indiscriminate selling
PartialManagement incentives
PartialThe hidden jewel
StrongLeverage
PartialThe write-up
Danaher distributed Veralto on October 2, 2023, one Veralto share for every three Danaher shares. Veralto is Danaher's former Environmental & Applied Solutions segment — water-quality instruments, treatment and analytics under brands such as Hach, Trojan and ChemTreat, and product identification and packaging software under Videojet and Esko — businesses built on recurring consumables, service and the Danaher Business System. It issued about $2.6 billion of debt at separation, with a further $1.5 billion available under a revolver, and used the proceeds largely for a distribution to Danaher. On MoatScope's framework Veralto carries a Narrow moat and a quality score of 66 at a $23.9 billion market value, trading at $96.31 against a base-case fair value estimate of $103.20 — 0.95×. Danaher carries a Wide moat and a quality score of 66 at $148 billion, 2.11× fair value.
Not investment advice. Terms are as stated in the latest filing; spin-off shares are often thinly covered and volatile in their first months. Write-up dated Sep 8, 2026.