Thermo Fisher Scientific (NYSE:TMO) Cut to Hold at Wall Street Zen

Key Points

• Wall Street Zen downgraded Thermo Fisher Scientific from “buy” to “hold.” Despite the change, analysts overall maintain a “Moderate Buy” consensus with an average price target of $683.64.
• Thermo Fisher reported quarterly earnings of $6.68 per share, beating the $6.40 consensus estimate; revenue of $12.14 billion also topped forecasts and rose 9.1% year over year.
• Company executives and other insiders sold a combined 24,546 shares worth about $15.5 million in the last quarter; insiders own 0.33% of the company.

Thermo Fisher Scientific (NYSE:TMO - Get Free Report) was downgraded by stock analysts at Wall Street Zen from a "buy" rating to a "hold" rating in a research note issued to investors on Saturday, Wall Street Zen reports.

TMO has been the topic of several other reports. Rothschild & Co Redburn lifted their target price on Thermo Fisher Scientific from $725.00 to $750.00 and gave the stock a "buy" rating in a report on Thursday, October 22nd. Barclays increased their price target on Thermo Fisher Scientific from $750.00 to $775.00 and gave the stock an "overweight" rating in a report on Thursday, October 22nd. Guggenheim began coverage on Thermo Fisher Scientific in a research report on Thursday, October 15th. They set a "buy" rating and a $740.00 price target on the stock. Royal Bank Of Canada lifted their price objective on Thermo Fisher Scientific from $580.00 to $730.00 and gave the company a "sector perform" rating in a report on Thursday, October 22nd. Finally, Wells Fargo & Company lowered Thermo Fisher Scientific from an "overweight" rating to an "underweight" rating in a research report on Wednesday, September 9th. Two analysts have rated the stock with a Strong Buy rating, twenty-three have assigned a Buy rating and four have given a Hold rating to the company's stock. According to MarketBeat.com, the company presently has a consensus rating of "Moderate Buy" and an average price target of $683.64.

Thermo Fisher Scientific Stock Up 0.1%

Shares of NYSE TMO opened at $699.98 on Friday. Thermo Fisher Scientific has a 52-week low of $435.27 and a 52-week high of $727.56. The company has a debt-to-equity ratio of 0.71, a quick ratio of 1.41 and a current ratio of 1.81. The stock has a market cap of $259.36 billion, a P/E ratio of 28.29, a P/E/G ratio of 2.85 and a beta of 0.84. The firm has a 50 day moving average price of $670.82 and a 200 day moving average price of $556.81.

Thermo Fisher Scientific (NYSE:TMO - Get Free Report) last posted its earnings results on Wednesday, October 21st. The medical research company reported $6.68 earnings per share for the quarter, topping the consensus estimate of $6.40 by $0.28. Thermo Fisher Scientific had a net margin of 14.94% and a return on equity of 17.33%. The company had revenue of $12.14 billion for the quarter, compared to analyst estimates of $11.95 billion. During the same period last year, the business posted $5.79 earnings per share. The business's revenue for the quarter was up 9.1% compared to the same quarter last year. Analysts expect that Thermo Fisher Scientific will post 25.27 EPS for the current year.

Insider Transactions at Thermo Fisher Scientific

In other news, VP Lisa P. Britt sold 11,440 shares of the company's stock in a transaction dated Wednesday, August 19th. The stock was sold at an average price of $613.12, for a total transaction of $7,014,092.80. Following the completion of the transaction, the vice president directly owned 14,784 shares of the company's stock, valued at $9,064,366.08. This represents a 43.62% decrease in their ownership of the stock. The transaction was disclosed in a filing with the Securities & Exchange Commission, which is available at this hyperlink. Also, CEO Marc N. Casper sold 10,000 shares of the stock in a transaction dated Thursday, August 20th. The stock was sold at an average price of $629.27, for a total value of $6,292,700.00. Following the transaction, the chief executive officer owned 123,925 shares of the company's stock, valued at approximately $77,982,284.75. The trade was a 7.47% decrease in their ownership of the stock. The SEC filing for this sale provides additional information. The transaction was executed under a pre-arranged Rule 10b5-1 trading plan. In the last quarter, insiders have sold 24,546 shares of company stock valued at $15,479,192. Corporate insiders own 0.33% of the company's stock.

Hedge Funds Weigh In On Thermo Fisher Scientific

A number of large investors have recently bought and sold shares of the company. Disciplined Investors L.L.C. bought a new position in Thermo Fisher Scientific in the third quarter valued at $206,000. Bouchey Financial Group Ltd. lifted its position in Thermo Fisher Scientific by 22.0% during the 3rd quarter. Bouchey Financial Group Ltd. now owns 499 shares of the medical research company's stock worth $337,000 after buying an additional 90 shares in the last quarter. Gabelli Funds LLC boosted its stake in shares of Thermo Fisher Scientific by 1.4% during the 3rd quarter. Gabelli Funds LLC now owns 16,310 shares of the medical research company's stock worth $11,010,000 after buying an additional 220 shares during the last quarter. Ilmarinen Mutual Pension Insurance Co increased its position in shares of Thermo Fisher Scientific by 3.4% in the third quarter. Ilmarinen Mutual Pension Insurance Co now owns 57,200 shares of the medical research company's stock valued at $38,613,000 after acquiring an additional 1,900 shares during the last quarter. Finally, Fort Sheridan Advisors LLC raised its holdings in Thermo Fisher Scientific by 1.7% during the third quarter. Fort Sheridan Advisors LLC now owns 3,431 shares of the medical research company's stock worth $2,316,000 after acquiring an additional 58 shares in the last quarter. Institutional investors and hedge funds own 89.23% of the company's stock.

Key Headlines Impacting Thermo Fisher Scientific

Investors following TMO have been watching these headlines:

• Positive Sentiment: A Sound Shore Management investor letter describes Thermo Fisher as near a cyclical bottom, with potential to re-accelerate toward historical growth. That outlook may support sentiment, though it is an investor’s assessment rather than company guidance. Article: Thermo Fisher Scientific cyclical bottom signals re-acceleration
• Positive Sentiment: Industry reports forecast substantial growth in markets where Thermo Fisher competes, including single-use bioprocessing, cell lysis and fractionation, and cell-culture coatings. These projections point to potential demand tailwinds, but are third-party market estimates, not company-specific forecasts. Article: Single-use bioprocessing market report Article: Cell lysis and fractionation market report Article: Cell culture protein surface coating market report
• Neutral Sentiment: A recent analysis revisits Thermo Fisher’s $5 billion buyback and cash generation after strong multiyear share gains. The buyback supports capital returns, while the discussion highlights the need for future cash flows to justify expectations; the article excerpt gives no new buyback details or firm valuation conclusion. Article: Is Thermo Fisher reasonable after its $5 billion buyback?

About Thermo Fisher Scientific

Thermo Fisher Scientific develops and supplies products and services used in scientific research, clinical diagnostics, and pharmaceutical and biotechnology manufacturing. Its offerings include laboratory instruments, reagents and consumables, analytical equipment, diagnostic tests, and services that support drug development and clinical research. The company operates through businesses focused on life sciences, analytical instruments, specialty diagnostics, and laboratory products and biopharma services.

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