Why Quality Investors Should Delve into THERMO FISHER SCIENTIFIC INC (NYSE:TMO) for Investment Opportunities.

In this article we will dive into THERMO FISHER SCIENTIFIC INC (NYSE:TMO) as a possible candidate for quality investing. Investors should always do their own research, but we noticed THERMO FISHER SCIENTIFIC INC showing up in our Caviar Cruise quality screen, which makes it worth to investigate a bit more.

A Deep Dive into THERMO FISHER SCIENTIFIC INC's Quality Metrics.

• TMO has demonstrated significant revenue growth over the past 5 years, with a 10.92% increase. This underscores the company's ability to adapt to market dynamics and capitalize on growth opportunities.
• TMO demonstrates impressive performance in terms of ROIC excluding cash and goodwill, with a 35.79% ratio. This highlights the company's efficient utilization of capital and its focus on maximizing returns for investors.
• With a Debt/Free Cash Flow Ratio of 4.3, TMO exhibits solid financial health and responsible debt management practices. This ratio indicates the company's ability to generate ample free cash flow to meet its debt obligations and pursue growth opportunities.
• With a favorable Profit Quality (5-year) ratio of 105.0%, TMO showcases its ability to consistently deliver high-quality profits. This metric signifies the company's financial strength and its capacity to generate sustainable earnings over an extended period.
• The 5-year EBIT growth of TMO has been remarkable, with 12.7% increase. This demonstrates the company's ability to improve its operational efficiency and indicates its competitiveness within the market.
• TMO has achieved superior EBIT 5-year growth compared to its Revenue 5-year growth. This demonstrates the company's ability to maximize its profitability through effective cost management and operational strategies.

Fundamental Analysis Observations

As part of its analysis, ChartMill provides a comprehensive Fundamental Rating for each stock. This rating, ranging from 0 to 10, is updated on a daily basis and is based on the evaluation of various fundamental indicators and properties.

Taking everything into account, TMO scores 6 out of 10 in our fundamental rating. TMO was compared to 54 industry peers in the Life Sciences Tools & Services industry. While TMO belongs to the best of the industry regarding profitability, there are some minor concerns on its financial health. TMO has a decent growth rate and is not valued too expensively.

For an up to date full fundamental analysis you can check the fundamental report of TMO

Our Caviar Cruise screen will find you more ideas suited for quality investing.

Disclaimer

This article should in no way be interpreted as advice. The article is based on the observed metrics at the time of writing, but you should always make your own analysis and trade or invest at your own responsibility.