Thermo Fisher Scientific Stock Analysis (NYSE:TMO)
Thermo Fisher Scientific Analysis Video
View Thermo Fisher Scientific stock analysis video. This is our TMO analyst opinion covering the buy and sell arguments for TMO stock.
Thermo Fisher Scientific Inc. Stock Rating (3.6/5)
Our Thermo Fisher Scientific stock opinion is based on fundamentals of the company. This Thermo Fisher Scientific stock analysis is based on latest Q1 earnings for 2017. The stock price analysis takes into account a company's valuation metrics.
Should you buy TMO stock?
- Thermo Fisher Scientific had a healthy average operating margin of 13.6% over the last 4 quarters.
- Net margins stood at a healthy 11.6% (average) for Thermo Fisher Scientific in the Trailing Twelve Months.
- TMO stock is trading at an earnings multiple of 19.3 which is better than the industry average of 22.5.
- TMO stock is trading at a favorable price to sales multiple of 3.4 as against the Medical Instruments industry average multiple of 4.7.
- Thermo Fisher Scientific generates a high return on invested capital of 4.3%.
- Return On Equity (ROE) which is a measure of the company's profitability, looks great for Thermo Fisher Scientific at 10.1%.
- The company has a good Free Cash Flow (FCF) margin of 5.6%.
Should you sell TMO stock?
- With a debt/equity ratio of 0.78, Thermo Fisher Scientific is highly leveraged in comparison to Medical peers.
- The company has an operating cash flow which is 0.7 times the net income. This is not a healthy sign.