Thermo Fisher Scientific, Inc. (TMO) Stock Recommendation | Score, Valuation, Technicals & Financial Trend

Score

Click here to find our call on this stock

Strong Sell

Sell

Hold

Buy

Strong Buy

Comparison

Company

Score

Quality

Valuation

Financial

Technical

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Why is Thermo Fisher Scientific, Inc. ?

Company's ability to service its debt is strong with a healthy EBIT to Interest (avg) ratio of 11.00

Healthy long term growth as Net Sales has grown by an annual rate of 10.48% and Operating profit at 11.37%

Flat results in Jun 25

OPERATING CASH FLOW(Y) Lowest at USD 7,578 MM
DEBTORS TURNOVER RATIO(HY) Lowest at 4.44 times
INTEREST COVERAGE RATIO(Q) Lowest at 559.02

With ROCE of 10.03%, it has a attractive valuation with a 2.55 Enterprise value to Capital Employed

The stock is trading at a discount compared to its peers' average historical valuations
Over the past year, while the stock has generated a return of 8.34%, its profits have risen by 4% ; the PEG ratio of the company is 5

Real-Time Research Report

Verdict Report

How much should you hold?

Overall Portfolio exposure to Thermo Fisher Scientific, Inc. should be less than 10%
Overall Portfolio exposure to Pharmaceuticals & Biotechnology should be less than 30%

(If sector exposure > 30%, please use optimiser tool to see which are the best stocks to hold in Pharmaceuticals & Biotechnology)

When to exit? - We will constantly monitor the company and suggest at the appropriate time to exit from the stock

Is Thermo Fisher Scientific, Inc. for you?

Medium Risk, Low Return

Absolute

Risk Adjusted

Volatility

Thermo Fisher Scientific, Inc.

20.94%

-0.01

30.89%

S&P 500

22.99%

0.70

20.15%

Quality

Management Risk

Growth

Capital Structure

Quality grade scale :

Below Average, Average, Good, Excellent

Quality key factors

Factor

Value

Sales Growth (5y)

6.70%

EBIT Growth (5y)

1.17%

EBIT to Interest (avg)

11.00

Debt to EBITDA (avg)

2.32

Net Debt to Equity (avg)

0.57

Sales to Capital Employed (avg)

0.51

Tax Ratio

6.68%

Dividend Payout Ratio

9.70%

Pledged Shares

Institutional Holding

96.52%

ROCE (avg)

13.03%

ROE (avg)

16.96%

Valuation

Valuation Scorecard

Valuation grade scale :

Very Risky, Risky, Very Expensive, Expensive, Fair, Attractive, Very Attractive

Valuation Key Factors

Factor

Value

P/E Ratio

Industry P/E

Price to Book Value

3.69

EV to EBIT

26.98

EV to EBITDA

20.28

EV to Capital Employed

2.73

EV to Sales

5.08

PEG Ratio

2.54

Dividend Yield

0.34%

ROCE (Latest)

10.12%

ROE (Latest)

13.09%

Technicals

Technical key factors

Indicator

Weekly

Monthly

MACD

Bearish

Mildly Bullish

RSI

No Signal

Bollinger Bands

Mildly Bearish

Bullish

Moving Averages

Mildly Bearish (Daily)

KST

Bearish

Mildly Bullish

Dow Theory

Mildly Bullish

Mildly Bearish

OBV

Mildly Bearish

Technical Indicator Scale: Bearish, Mildly Bearish, Sideways, Mildly Bullish, Bullish Turned

Technical Movement

Analyse All Technical Factors

Financial Trend

Financial Trend Scorecard

Financial Trend scale:

Very Negative, Negative, Flat, Positive, Very Positive, Outstanding

4What is working for the Company

DIVIDEND PER SHARE(HY)

Highest at USD 4.36

RAW MATERIAL COST(Y)

Fallen by 1.43% (YoY

INVENTORY TURNOVER RATIO(HY)

Highest at 5.05 times

-3What is not working for the Company

INTEREST(HY)

At USD 924 MM has Grown at 34.5%

DEBT-EQUITY RATIO (HY)

Highest at 76.83 %

Here's what is working for Thermo Fisher Scientific, Inc.

Dividend per share

Highest at USD 4.36 and Grown

In each year in the last five years

MOJO Watch

Company is distributing higher dividend from profits generated

DPS (USD)

Inventory Turnover Ratio

Highest at 5.05 times

in the last five Semi-Annual periods

MOJO Watch

Company has been able to sell its inventory faster

Inventory Turnover Ratio

Raw Material Cost

Fallen by 1.43% (YoY)

MOJO Watch

The company's ability to pass on the cost of raw materials to customers has improved; this may lead to a rise in profit margin

Raw Material Cost as a percentage of Sales

Depreciation

Highest at USD 736 MM

in the last five periods

MOJO Watch

The expenditure on assets done by the company may have gone into operation

Depreciation (USD MM)

Here's what is not working for Thermo Fisher Scientific, Inc.

Interest

At USD 924 MM has Grown at 34.5%

over previous Semi-Annual period

MOJO Watch

Rising interest cost signifies increased borrowings

Interest Paid (USD MM)

Debt-Equity Ratio

Highest at 76.83 %

in the last five Semi-Annual periods

MOJO Watch

The company is borrowing more to fund its operations; it's liquidity situation may be stressed

Debt-Equity Ratio