Earnings Outlook For Thermo Fisher Scientific

Thermo Fisher Scientific TMO is preparing to release its quarterly earnings on Wednesday, 2024-10-23. Here's a brief overview of what investors should keep in mind before the announcement.

Analysts expect Thermo Fisher Scientific to report an earnings per share (EPS) of $5.25.

The market awaits Thermo Fisher Scientific's announcement, with hopes high for news of surpassing estimates and providing upbeat guidance for the next quarter.

It's important for new investors to understand that guidance can be a significant driver of stock prices.

Overview of Past Earnings

During the last quarter, the company reported an EPS beat by $0.25, leading to a 3.44% increase in the share price on the subsequent day.

Here's a look at Thermo Fisher Scientific's past performance and the resulting price change:

Tracking Thermo Fisher Scientific's Stock Performance

Shares of Thermo Fisher Scientific were trading at $595.37 as of October 21. Over the last 52-week period, shares are up 36.08%. Given that these returns are generally positive, long-term shareholders are likely bullish going into this earnings release.

Analyst Views on Thermo Fisher Scientific

For investors, grasping market sentiments and expectations in the industry is vital. This analysis explores the latest insights regarding Thermo Fisher Scientific.

The consensus rating for Thermo Fisher Scientific is Outperform, derived from 15 analyst ratings. An average one-year price target of $665.4 implies a potential 11.76% upside.

Peer Ratings Overview

The following analysis focuses on the analyst ratings and average 1-year price targets of Danaher, IQVIA Hldgs and Agilent Technologies, three prominent industry players, providing insights into their relative performance expectations and market positioning.

• As per analysts' assessments, Danaher is favoring an Outperform trajectory, with an average 1-year price target of $283.42, suggesting a potential 52.4% downside.
• The consensus among analysts is an Outperform trajectory for IQVIA Hldgs, with an average 1-year price target of $268.5, indicating a potential 54.9% downside.
• Analysts currently favor an Neutral trajectory for Agilent Technologies, with an average 1-year price target of $148.78, suggesting a potential 75.01% downside.

Analysis Summary for Peers

The peer analysis summary offers a detailed examination of key metrics for Danaher, IQVIA Hldgs and Agilent Technologies, providing valuable insights into their respective standings within the industry and their market positions and comparative performance.

Key Takeaway:

Thermo Fisher Scientific ranks at the top for Revenue Growth and Gross Profit among its peers. It is in the middle for Return on Equity.

Get to Know Thermo Fisher Scientific Better

Thermo Fisher Scientific sells scientific instruments and laboratory equipment, diagnostics consumables, and life science reagents. The firm operates through four segments as of end-2023 (revenue figures include some cross-segment revenue): analytical technologies (17% of sales); specialty diagnostic products (10%); life science solutions (23%); and lab products and services, which includes CRO services (54%).

Unraveling the Financial Story of Thermo Fisher Scientific

Market Capitalization Analysis: The company's market capitalization is above the industry average, indicating that it is relatively larger in size compared to peers. This may suggest a higher level of investor confidence and market recognition.

Decline in Revenue: Over the 3 months period, Thermo Fisher Scientific faced challenges, resulting in a decline of approximately -1.37% in revenue growth as of 30 June, 2024. This signifies a reduction in the company's top-line earnings. As compared to competitors, the company encountered difficulties, with a growth rate lower than the average among peers in the Health Care sector.

Net Margin: Thermo Fisher Scientific's net margin surpasses industry standards, highlighting the company's exceptional financial performance. With an impressive 14.69% net margin, the company effectively manages costs and achieves strong profitability.

Return on Equity (ROE): Thermo Fisher Scientific's financial strength is reflected in its exceptional ROE, which exceeds industry averages. With a remarkable ROE of 3.33%, the company showcases efficient use of equity capital and strong financial health.

Return on Assets (ROA): The company's ROA is a standout performer, exceeding industry averages. With an impressive ROA of 1.58%, the company showcases effective utilization of assets.

Debt Management: The company maintains a balanced debt approach with a debt-to-equity ratio below industry norms, standing at 0.75.

To track all earnings releases for Thermo Fisher Scientific visit their earnings calendar on our site.

This article was generated by Benzinga's automated content engine and reviewed by an editor.