Thermo Fisher Scientific (TMO) Downgraded to Hold at Zacks Investment Research

Zacks Investment Research downgraded shares of Thermo Fisher Scientific (NYSE:TMO) from a buy rating to a hold rating in a research note published on Monday, Zacks.com reports.

According to Zacks, “Thermo Fisher ended first quarter 2019 with adjusted earnings and revenues surpassing the consensus mark. The company is demonstrating strength in all end markets categorized by customer type or geography. In the quarter, the company registered solid international performance with strong growth in Asia-Pacific including China. Also, a series of product launches aided its performance. We are looking forward to the company’s recent purchase of Brammer Bio in the field of Gene and Cell Therapy. This apart, the purchase of Gatan should boost electron microscopy suite. Even after considering the impact of impending divestiture of its Anatomical Pathology busiess, the company's 2019 guidance looks encouraging. Over the past three months, Thermo Fisher outperformed its industry. On the flip side, Thermo Fisher’s operating segments are getting impacted by unfavorable business mix. Competitive headwinds and escalating costs pose threat.”

A number of other research analysts have also weighed in on the stock. Argus lifted their price objective on shares of Thermo Fisher Scientific from $285.00 to $310.00 and gave the company a buy rating in a research note on Wednesday, May 1st. Needham & Company LLC reiterated a strong-buy rating and issued a $312.00 price objective (up from $271.00) on shares of Thermo Fisher Scientific in a research note on Monday, April 22nd. Bank of America reiterated a buy rating and issued a $300.00 price objective (up from $285.00) on shares of Thermo Fisher Scientific in a research note on Tuesday, April 16th. Robert W. Baird lifted their price objective on shares of Thermo Fisher Scientific from $270.00 to $288.00 and gave the company an outperform rating in a research note on Tuesday, March 26th. Finally, BTIG Research lifted their price objective on shares of Thermo Fisher Scientific to $310.00 and gave the company a buy rating in a research note on Tuesday, March 26th. Three equities research analysts have rated the stock with a hold rating, twelve have issued a buy rating and one has assigned a strong buy rating to the company. Thermo Fisher Scientific has an average rating of Buy and an average price target of $294.62.

Thermo Fisher Scientific stock opened at $276.89 on Monday. Thermo Fisher Scientific has a 1-year low of $202.83 and a 1-year high of $282.98. The company has a market capitalization of $110.48 billion, a P/E ratio of 24.90, a price-to-earnings-growth ratio of 1.83 and a beta of 1.11. The company has a quick ratio of 1.16, a current ratio of 1.69 and a debt-to-equity ratio of 0.61.

Thermo Fisher Scientific (NYSE:TMO) last released its quarterly earnings data on Wednesday, April 24th. The medical research company reported $2.81 earnings per share for the quarter, beating analysts’ consensus estimates of $2.74 by $0.07. Thermo Fisher Scientific had a net margin of 12.89% and a return on equity of 17.06%. The business had revenue of $6.13 billion during the quarter, compared to analyst estimates of $6.04 billion. During the same period in the previous year, the business earned $2.50 EPS. Thermo Fisher Scientific’s revenue was up 4.6% compared to the same quarter last year. Sell-side analysts forecast that Thermo Fisher Scientific will post 12.19 EPS for the current year.

The company also recently declared a quarterly dividend, which was paid on Tuesday, April 16th. Shareholders of record on Friday, March 15th were issued a $0.19 dividend. This represents a $0.76 annualized dividend and a yield of 0.27%. This is an increase from Thermo Fisher Scientific’s previous quarterly dividend of $0.17. The ex-dividend date was Thursday, March 14th. Thermo Fisher Scientific’s dividend payout ratio (DPR) is presently 6.83%.

In other Thermo Fisher Scientific news, CAO Peter E. Hornstra sold 5,920 shares of the firm’s stock in a transaction on Friday, February 15th. The shares were sold at an average price of $250.00, for a total value of $1,480,000.00. Following the completion of the transaction, the chief accounting officer now directly owns 17,057 shares of the company’s stock, valued at approximately $4,264,250. The sale was disclosed in a legal filing with the SEC, which can be accessed through the SEC website. Also, SVP Gregory J. Herrema sold 5,400 shares of the firm’s stock in a transaction on Tuesday, February 19th. The shares were sold at an average price of $251.51, for a total transaction of $1,358,154.00. Following the completion of the transaction, the senior vice president now directly owns 31,846 shares of the company’s stock, valued at $8,009,587.46. The disclosure for this sale can be found here. Over the last three months, insiders sold 87,640 shares of company stock valued at $23,243,423. Insiders own 0.45% of the company’s stock.

A number of large investors have recently made changes to their positions in TMO. Van Hulzen Asset Management LLC lifted its holdings in shares of Thermo Fisher Scientific by 3.1% during the 1st quarter. Van Hulzen Asset Management LLC now owns 1,197 shares of the medical research company’s stock worth $328,000 after acquiring an additional 36 shares during the last quarter. Valeo Financial Advisors LLC lifted its holdings in shares of Thermo Fisher Scientific by 2.0% during the 1st quarter. Valeo Financial Advisors LLC now owns 1,911 shares of the medical research company’s stock worth $523,000 after acquiring an additional 38 shares during the last quarter. Community Bank & Trust Waco Texas lifted its holdings in shares of Thermo Fisher Scientific by 1.8% during the 1st quarter. Community Bank & Trust Waco Texas now owns 2,366 shares of the medical research company’s stock worth $648,000 after acquiring an additional 42 shares during the last quarter. Archford Capital Strategies LLC lifted its holdings in shares of Thermo Fisher Scientific by 0.9% during the 4th quarter. Archford Capital Strategies LLC now owns 4,610 shares of the medical research company’s stock worth $1,032,000 after acquiring an additional 43 shares during the last quarter. Finally, Aries Wealth Management lifted its holdings in shares of Thermo Fisher Scientific by 1.1% during the 4th quarter. Aries Wealth Management now owns 4,269 shares of the medical research company’s stock worth $955,000 after acquiring an additional 45 shares during the last quarter. 88.84% of the stock is owned by hedge funds and other institutional investors.

Thermo Fisher Scientific Company Profile

Thermo Fisher Scientific Inc provides analytical and other instruments, laboratory equipment, software, consumables, reagents, instrument systems, chemicals, supplies, and services under the Thermo Scientific, Applied Biosystems, Invitrogen, Fisher Scientific, and Unity Lab Services brands worldwide.

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