Thermo Fisher Scientific (TMO) Stock Declines While Market Improves: Some Information for Investors
In the latest trading session, Thermo Fisher Scientific (TMO) closed at $580.05, marking a -0.46% move from the previous day. The stock trailed the S&P 500, which registered a daily gain of 0.89%. Meanwhile, the Dow gained 1.03%, and the Nasdaq, a tech-heavy index, added 1.25%.
Shares of the maker of scientific instrument and laboratory supplies have appreciated by 6.31% over the course of the past month, outperforming the Medical sector's gain of 0.72% and the S&P 500's gain of 3.56%.
Investors will be eagerly watching for the performance of Thermo Fisher Scientific in its upcoming earnings disclosure. It is anticipated that the company will report an EPS of $4.71, marking a 6.36% fall compared to the same quarter of the previous year. Meanwhile, the latest consensus estimate predicts the revenue to be $10.14 billion, indicating a 5.28% decrease compared to the same quarter of the previous year.
In terms of the entire fiscal year, the Zacks Consensus Estimates predict earnings of $21.53 per share and a revenue of $42.74 billion, indicating changes of -0.09% and -0.28%, respectively, from the former year.
It is also important to note the recent changes to analyst estimates for Thermo Fisher Scientific. These latest adjustments often mirror the shifting dynamics of short-term business patterns. Consequently, upward revisions in estimates express analysts' positivity towards the company's business operations and its ability to generate profits.
Empirical research indicates that these revisions in estimates have a direct correlation with impending stock price performance. To take advantage of this, we've established the Zacks Rank, an exclusive model that considers these estimated changes and delivers an operational rating system.
The Zacks Rank system, which varies between #1 (Strong Buy) and #5 (Strong Sell), carries an impressive track record of exceeding expectations, confirmed by external audits, with stocks at #1 delivering an average annual return of +25% since 1988. Over the past month, the Zacks Consensus EPS estimate has remained steady. Currently, Thermo Fisher Scientific is carrying a Zacks Rank of #3 (Hold).
Digging into valuation, Thermo Fisher Scientific currently has a Forward P/E ratio of 27.07. For comparison, its industry has an average Forward P/E of 27.24, which means Thermo Fisher Scientific is trading at a discount to the group.
We can also see that TMO currently has a PEG ratio of 2.45. This metric is used similarly to the famous P/E ratio, but the PEG ratio also takes into account the stock's expected earnings growth rate. By the end of yesterday's trading, the Medical - Instruments industry had an average PEG ratio of 2.36.
The Medical - Instruments industry is part of the Medical sector. This industry currently has a Zacks Industry Rank of 65, which puts it in the top 26% of all 250+ industries.
The Zacks Industry Rank evaluates the power of our distinct industry groups by determining the average Zacks Rank of the individual stocks forming the groups. Our research shows that the top 50% rated industries outperform the bottom half by a factor of 2 to 1.
Be sure to follow all of these stock-moving metrics, and many more, on Zacks.com.
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Thermo Fisher Scientific Inc. (TMO) : Free Stock Analysis Report
