Veralto initiated with a Buy at Goldman Sachs

Goldman Sachs initiated coverage of Veralto with a Buy rating and $104 price target, representing roughly 20% upside. Veralto owns over 20% of the total market in water treatment, while the company estimates that 90% of products in grocery stores across North America and Western Europe are touched in some way by its product quality and innovation business, the analyst tells investors in a research note. The firm believes this makes the company a critical supplier to end markets that are 80% composed of quality-sensitive areas of spending such as water, food, and pharma that drive more stickiness and loyalty to Veralto’s “defensive business model.”