TMO Thermo Fisher Scientific Inc. - Fundamental Analysis
AI Analysis
Powered by advanced machine learning algorithms
Key Strengths
Key Risks
Performance Snowflake
Multi-dimensional analysis across 5 key categories
TMO trades at a significant premium to the healthcare sector's average P/E of 23.18, reflecting its quality and stability, but lacks the growth to fully justify the multiple, especially compared to faster-growing peers like AMGN and BNTX.
- P/S of 4.98 and P/B of 4.26 supported by durable business model
- Forward P/E of 24.64 more reasonable than current P/E of 33.45
- Current P/E of 33.45 is stretched vs sector average of 23.18
- No PEG ratio due to low growth, limiting growth-adjusted valuation appeal
The company's future growth trajectory appears constrained, with minimal earnings expansion and revenue growth lagging the sector, though recent price strength and analyst targets suggest expectations for stabilization or modest acceleration.
- Analyst target implies 6% upside, suggesting confidence in forward execution
- 6M price surge of +40.7% may reflect early positioning for recovery
- Revenue growth of 4.90% is below peer average and declining sequentially
- Earnings growth near zero and negative quarter-over-quarter trend
Historically, TMO has delivered reliable profitability and margin discipline, but its stock performance has lagged over 3Y and 1Y periods, and the absence of earnings beats suggests management guidance is tight and upside is limited.
- Consistent profitability with stable gross and operating margins over time
- 5Y total return of +21.9% shows resilience despite recent underperformance
- Zero earnings beats in last 4 quarters indicates no positive surprises
- 3Y return of +6.9% lags sector and key peers like AMGN (+17.6%)
TMO’s financial health is strong relative to peers, with low leverage and solid liquidity, though the sub-1 quick ratio warrants monitoring, especially in a rising rate environment.
- Debt/Equity of 0.70 is conservative and well below sector average of 1.93
- Current ratio of 1.50 indicates adequate short-term liquidity
- Quick ratio of 0.95 is below 1.0, suggesting potential near-term liquidity pressure
- Missing cash and debt figures limit full assessment of cash runway
While the dividend is well-covered and sustainable, the yield is too low to be a meaningful factor in investment appeal, and capital return remains a minor component of shareholder value.
- Payout ratio of 9.71% indicates ample room for dividend growth
- Dividend policy appears sustainable given low payout
- Dividend yield of 0.30% is negligible for income investors
- No history provided on dividend growth or consistency
Stock Price & Analyst Targets
Real-time price movements and analyst price targets
Multi-Horizon Performance vs Peers
Price momentum across 5Y → 1W horizons for TMO and closest competitors.
| Company | 5Y | 3Y | 1Y | 6M | 1M | 1W |
|---|---|---|---|---|---|---|
|
TMO
Thermo Fisher Scientific Inc.
Primary
|
+21.9% | +6.9% | +8.9% | +40.7% | +9.6% | +1.1% |
|
ABT
Abbott Laboratories
Peer
|
+25.7% | +34.2% | +15.7% | -2.3% | +0.9% | +3.4% |
|
MRK
Merck & Co., Inc.
Peer
|
+42.2% | +2.0% | -2.0% | +24.6% | +10.5% | +7.7% |
|
AMGN
Amgen Inc.
Peer
|
+65.4% | +30.6% | +17.6% | +24.6% | +13.3% | +5.2% |
|
DHR
Danaher Corporation
Peer
|
+11.0% | -6.3% | -7.0% | +13.2% | +7.3% | +5.4% |
Positive values indicate cumulative gains over the specified period. Comparables pulled from the same sector to highlight whether momentum is stock-specific or industry-wide.
Historical Performance Trends
Long-term financial metrics and growth patterns
Revenue & Net Income
Profit & Operating Margins
Return on Equity (ROE)
Quarterly Revenue Growth
Valuation Metrics
Key valuation ratios and pricing indicators
Profitability
Profit margins and return metrics
Growth
Revenue and earnings growth rates
Financial Health
Balance sheet strength and liquidity metrics
Quarterly Earnings History
EPS performance vs analyst estimates
Healthcare Sector Comparison
Similar Companies
Peer comparison within the same industry
| Company | AI Rating | Market Cap | P/E | ROE | Profit Margin | Price | |
|---|---|---|---|---|---|---|---|
|
TMO
Thermo Fisher Scientific Inc.
|
NEUTRAL | $217.96B | 33.45 | 13.1% | 15.0% | $578.71 | |
|
ABT
Abbott Laboratories
|
NEUTRAL | $227.08B | 16.39 | 30.6% | 31.9% | $130.59 | |
|
MRK
Merck & Co., Inc.
|
BULLISH | $230.65B | 12.29 | 39.5% | 29.6% | $92.92 | |
|
AMGN
Amgen Inc.
|
NEUTRAL | $181.33B | 26.02 | 81.7% | 19.5% | $336.74 | |
|
DHR
Danaher Corporation
|
NEUTRAL | $156.25B | 45.42 | 6.8% | 14.4% | $221.21 |
Recent Insider Trading
Insider buy and sell transactions from the last 6 months
| Date | Insider | Position | Transaction | Shares | Value |
|---|---|---|---|---|---|
| 2025-11-10 | PETTITI GIANLUCA | Officer | Option Exercise | 2,975 | $845,688 |
| 2025-11-10 | PETTITI GIANLUCA | Officer | Sale | 2,975 | $1,725,500 |
| 2025-11-07 | BRITT LISA P | Officer | Option Exercise | 8,475 | $2,152,565 |
| 2025-11-07 | BRITT LISA P | Officer | Sale | 10,225 | $5,844,850 |
| 2025-10-27 | CASPER MARC N | Chief Executive Officer | Option Exercise | 24,354 | $6,185,672 |
| 2025-10-27 | CASPER MARC N | Chief Executive Officer | Sale | 24,354 | $13,914,104 |
| 2025-10-24 | PETTITI GIANLUCA | Officer | Sale | 400 | $229,660 |
| 2025-09-05 | CASPER MARC N | Chief Executive Officer | Option Exercise | 400 | $101,596 |
| 2025-09-05 | CASPER MARC N | Chief Executive Officer | Sale | 400 | $200,201 |
| 2025-08-29 | HOLMES JOSEPH R. | Officer | Option Exercise | 385 | $97,786 |
| 2025-08-29 | HOLMES JOSEPH R. | Officer | Sale | 385 | $189,662 |
| 2025-08-22 | CASPER MARC N | Chief Executive Officer | Option Exercise | 10,000 | $2,539,900 |
| 2025-08-22 | CASPER MARC N | Chief Executive Officer | Sale | 10,000 | $5,009,586 |
| 2025-08-20 | CASPER MARC N | Chief Executive Officer | Option Exercise | 496 | $125,979 |
| 2025-08-20 | CASPER MARC N | Chief Executive Officer | Sale | 496 | $248,046 |
Wall Street Analysts
Professional analyst ratings and price targets