THERMO FISHER SCIENTIFIC INC (TMO) Stock Fundamental Analysis
NYSE:TMO • US8835561023
504.82 USD
-5 (-0.98%)
At close: Feb 13, 2026
504.82 USD
0 (0%)
After Hours: 2/13/2026, 8:04:00 PM
Overall TMO gets a fundamental rating of 4 out of 10. We evaluated TMO against 58 industry peers in the Life Sciences Tools & Services industry. While TMO is still in line with the averages on profitability rating, there are concerns on its financial health. TMO has a decent growth rate and is not valued too expensively.
1. Profitability
1.1 Basic Checks
- TMO had positive earnings in the past year.
- TMO had a positive operating cash flow in the past year.
- TMO had positive earnings in each of the past 5 years.
- TMO had a positive operating cash flow in each of the past 5 years.
1.2 Ratios
- TMO has a Return On Assets of 6.08%. This is amongst the best in the industry. TMO outperforms 82.76% of its industry peers.
- The Return On Equity of TMO (12.55%) is better than 86.21% of its industry peers.
- Looking at the Return On Invested Capital, with a value of 7.80%, TMO is in the better half of the industry, outperforming 79.31% of the companies in the same industry.
- TMO had an Average Return On Invested Capital over the past 3 years of 8.04%. This is below the industry average of 12.42%.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 6.08% | ||
| ROE | 12.55% | ||
| ROIC | 7.8% |
ROA(3y)6.22%
ROA(5y)6.79%
ROE(3y)12.72%
ROE(5y)14.58%
ROIC(3y)8.04%
ROIC(5y)9.02%
1.3 Margins
- With an excellent Profit Margin value of 15.05%, TMO belongs to the best of the industry, outperforming 84.48% of the companies in the same industry.
- TMO's Profit Margin has declined in the last couple of years.
- TMO has a better Operating Margin (18.19%) than 82.76% of its industry peers.
- TMO's Operating Margin has declined in the last couple of years.
- TMO has a Gross Margin (41.22%) which is comparable to the rest of the industry.
- TMO's Gross Margin has declined in the last couple of years.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| OM | 18.19% | ||
| PM (TTM) | 15.05% | ||
| GM | 41.22% |
OM growth 3Y-1.32%
OM growth 5Y-5.71%
PM growth 3Y-0.93%
PM growth 5Y-5.33%
GM growth 3Y-0.55%
GM growth 5Y-3.49%
2. Health
2.1 Basic Checks
- TMO has a Return on Invested Capital (ROIC), which is below the Cost of Capital (WACC), which means it is destroying value.
- Compared to 1 year ago, TMO has less shares outstanding
- TMO has less shares outstanding than it did 5 years ago.
- The debt/assets ratio for TMO is higher compared to a year ago.
2.2 Solvency
- TMO has a debt to FCF ratio of 6.26. This is a slightly negative value and a sign of low solvency as TMO would need 6.26 years to pay back of all of its debts.
- TMO has a Debt to FCF ratio of 6.26. This is in the better half of the industry: TMO outperforms 65.52% of its industry peers.
- A Debt/Equity ratio of 0.67 indicates that TMO is somewhat dependend on debt financing.
- TMO's Debt to Equity ratio of 0.67 is on the low side compared to the rest of the industry. TMO is outperformed by 74.14% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.67 | ||
| Debt/FCF | 6.26 | ||
| Altman-Z | N/A |
ROIC/WACC0.72
WACC10.81%
2.3 Liquidity
- A Current Ratio of 1.89 indicates that TMO should not have too much problems paying its short term obligations.
- TMO has a Current ratio of 1.89. This is in the lower half of the industry: TMO underperforms 62.07% of its industry peers.
- TMO has a Quick Ratio of 1.53. This is a normal value and indicates that TMO is financially healthy and should not expect problems in meeting its short term obligations.
- TMO has a Quick ratio of 1.53. This is in the lower half of the industry: TMO underperforms 60.34% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Current Ratio | 1.89 | ||
| Quick Ratio | 1.53 |
3. Growth
3.1 Past
- The Earnings Per Share has been growing slightly by 4.62% over the past year.
- Measured over the past 5 years, TMO shows a small growth in Earnings Per Share. The EPS has been growing by 3.19% on average per year.
- TMO shows a small growth in Revenue. In the last year, the Revenue has grown by 3.91%.
- TMO shows a small growth in Revenue. Measured over the last years, the Revenue has been growing by 6.70% yearly.
EPS 1Y (TTM)4.62%
EPS 3Y-0.53%
EPS 5Y3.19%
EPS Q2Q%7.7%
Revenue 1Y (TTM)3.91%
Revenue growth 3Y-0.27%
Revenue growth 5Y6.7%
Sales Q2Q%7.2%
3.2 Future
- Based on estimates for the next years, TMO will show a quite strong growth in Earnings Per Share. The EPS will grow by 10.96% on average per year.
- Based on estimates for the next years, TMO will show a small growth in Revenue. The Revenue will grow by 4.93% on average per year.
EPS Next Y8.54%
EPS Next 2Y9%
EPS Next 3Y9.51%
EPS Next 5Y10.96%
Revenue Next Year5.68%
Revenue Next 2Y5.47%
Revenue Next 3Y5.78%
Revenue Next 5Y4.93%
3.3 Evolution
- The EPS growth rate is accelerating: in the next years the growth will be better than in the last years.
- When comparing the Revenue growth rate of the last years to the growth rate of the upcoming years, we see that the growth is decreasing.
4. Valuation
4.1 Price/Earnings Ratio
- Based on the Price/Earnings ratio of 22.07, the valuation of TMO can be described as rather expensive.
- Based on the Price/Earnings ratio, TMO is valued a bit cheaper than the industry average as 77.59% of the companies are valued more expensively.
- TMO's Price/Earnings ratio indicates a valuation a bit cheaper than the S&P500 average which is at 27.97.
- Based on the Price/Forward Earnings ratio of 20.34, the valuation of TMO can be described as rather expensive.
- Based on the Price/Forward Earnings ratio, TMO is valued a bit cheaper than 79.31% of the companies in the same industry.
- TMO is valuated rather cheaply when we compare the Price/Forward Earnings ratio to 27.96, which is the current average of the S&P500 Index.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 22.07 | ||
| Fwd PE | 20.34 |
4.2 Price Multiples
- Based on the Enterprise Value to EBITDA ratio, TMO is valued a bit cheaper than the industry average as 67.24% of the companies are valued more expensively.
- Based on the Price/Free Cash Flow ratio, TMO is valued a bit cheaper than 72.41% of the companies in the same industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | 30.13 | ||
| EV/EBITDA | 20.26 |
4.3 Compensation for Growth
- The high PEG Ratio(NY), which compensates the Price/Earnings for growth, indicates TMO does not grow enough to justify the current Price/Earnings ratio.
- The decent profitability rating of TMO may justify a higher PE ratio.
PEG (NY)2.59
PEG (5Y)6.93
EPS Next 2Y9%
EPS Next 3Y9.51%
5. Dividend
5.1 Amount
- TMO has a yearly dividend return of 0.32%, which is pretty low.
- Compared to an average industry Dividend Yield of 0.09, TMO pays a better dividend. On top of this TMO pays more dividend than 84.48% of the companies listed in the same industry.
- With a Dividend Yield of 0.32, TMO pays less dividend than the S&P500 average, which is at 1.79.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 0.32% |
5.2 History
- On average, the dividend of TMO grows each year by 14.69%, which is quite nice.
- TMO has been paying a dividend for at least 10 years, so it has a reliable track record.
- TMO has not decreased their dividend for at least 10 years, which is a reliable track record.
Dividend Growth(5Y)14.69%
Div Incr Years7
Div Non Decr Years12
5.3 Sustainability
- 9.49% of the earnings are spent on dividend by TMO. This is a low number and sustainable payout ratio.
- The dividend of TMO is growing, but the earnings are growing slower. This means the dividend growth is not sustainable.
DP9.49%
EPS Next 2Y9%
EPS Next 3Y9.51%
504.82
-5 (-0.98%)
Chartmill FA Rating
GICS SectorHealth Care
GICS IndustryGroupPharmaceuticals, Biotechnology & Life Sciences
GICS IndustryLife Sciences Tools & Services
Earnings (Last)01-29 2026-01-29/bmo
Earnings (Next)04-21 2026-04-21/bmo
Inst Owners92.78%
Inst Owner Change-2.48%
Ins Owners0.1%
Ins Owner Change4.84%
Market Cap189.67B
Revenue(TTM)44.56B
Net Income(TTM)6.70B
Analysts83.13
Price Target678.16 (34.34%)
Short Float %1.04%
Short Ratio1.95
Dividend
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 0.32% |
Yearly Dividend1.68
Dividend Growth(5Y)14.69%
DP9.49%
Div Incr Years7
Div Non Decr Years12
Ex-DateN/A
Surprises & Revisions
EPS beat(2)2
Avg EPS beat(2)2.64%
Min EPS beat(2)0.91%
Max EPS beat(2)4.37%
EPS beat(4)3
Avg EPS beat(4)1.7%
Min EPS beat(4)-0.07%
Max EPS beat(4)4.37%
EPS beat(8)6
Avg EPS beat(8)2.42%
EPS beat(12)7
Avg EPS beat(12)1.02%
EPS beat(16)11
Avg EPS beat(16)2.83%
Revenue beat(2)2
Avg Revenue beat(2)1.08%
Min Revenue beat(2)0.95%
Max Revenue beat(2)1.21%
Revenue beat(4)4
Avg Revenue beat(4)0.77%
Min Revenue beat(4)0.28%
Max Revenue beat(4)1.21%
Revenue beat(8)6
Avg Revenue beat(8)0.22%
Revenue beat(12)7
Avg Revenue beat(12)-0.27%
Revenue beat(16)11
Avg Revenue beat(16)1.95%
PT rev (1m)4.94%
PT rev (3m)8.59%
EPS NQ rev (1m)-5.63%
EPS NQ rev (3m)-5.81%
EPS NY rev (1m)-0.17%
EPS NY rev (3m)-0.4%
Revenue NQ rev (1m)-1.29%
Revenue NQ rev (3m)-1.22%
Revenue NY rev (1m)0.66%
Revenue NY rev (3m)0.69%
Valuation
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 22.07 | ||
| Fwd PE | 20.34 | ||
| P/S | 4.26 | ||
| P/FCF | 30.13 | ||
| P/OCF | 24.26 | ||
| P/B | 3.55 | ||
| P/tB | N/A | ||
| EV/EBITDA | 20.26 |
EPS(TTM)22.87
EY4.53%
EPS(NY)24.82
Fwd EY4.92%
FCF(TTM)16.75
FCFY3.32%
OCF(TTM)20.81
OCFY4.12%
SpS118.59
BVpS142.17
TBVpS-31.37
PEG (NY)2.59
PEG (5Y)6.93
Graham Number270.48
Profitability
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 6.08% | ||
| ROE | 12.55% | ||
| ROCE | 8.52% | ||
| ROIC | 7.8% | ||
| ROICexc | 8.73% | ||
| ROICexgc | 37.4% | ||
| OM | 18.19% | ||
| PM (TTM) | 15.05% | ||
| GM | 41.22% | ||
| FCFM | 14.13% |
ROA(3y)6.22%
ROA(5y)6.79%
ROE(3y)12.72%
ROE(5y)14.58%
ROIC(3y)8.04%
ROIC(5y)9.02%
ROICexc(3y)8.83%
ROICexc(5y)9.85%
ROICexgc(3y)40.31%
ROICexgc(5y)46.65%
ROCE(3y)8.78%
ROCE(5y)9.93%
ROICexgc growth 3Y-13.91%
ROICexgc growth 5Y-12.87%
ROICexc growth 3Y-6.93%
ROICexc growth 5Y-10.12%
OM growth 3Y-1.32%
OM growth 5Y-5.71%
PM growth 3Y-0.93%
PM growth 5Y-5.33%
GM growth 3Y-0.55%
GM growth 5Y-3.49%
F-Score5
Asset Turnover0.4
Health
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.67 | ||
| Debt/FCF | 6.26 | ||
| Debt/EBITDA | 3.29 | ||
| Cap/Depr | 54.86% | ||
| Cap/Sales | 3.42% | ||
| Interest Coverage | 250 | ||
| Cash Conversion | 71.83% | ||
| Profit Quality | 93.88% | ||
| Current Ratio | 1.89 | ||
| Quick Ratio | 1.53 | ||
| Altman-Z | N/A |
F-Score5
WACC10.81%
ROIC/WACC0.72
Cap/Depr(3y)47.77%
Cap/Depr(5y)61.4%
Cap/Sales(3y)3.38%
Cap/Sales(5y)4.31%
Profit Quality(3y)108.05%
Profit Quality(5y)102.29%
High Growth Momentum
Growth
EPS 1Y (TTM)4.62%
EPS 3Y-0.53%
EPS 5Y3.19%
EPS Q2Q%7.7%
EPS Next Y8.54%
EPS Next 2Y9%
EPS Next 3Y9.51%
EPS Next 5Y10.96%
Revenue 1Y (TTM)3.91%
Revenue growth 3Y-0.27%
Revenue growth 5Y6.7%
Sales Q2Q%7.2%
Revenue Next Year5.68%
Revenue Next 2Y5.47%
Revenue Next 3Y5.78%
Revenue Next 5Y4.93%
EBIT growth 1Y5.05%
EBIT growth 3Y-1.59%
EBIT growth 5Y0.61%
EBIT Next Year19.29%
EBIT Next 3Y11.41%
EBIT Next 5Y10.61%
FCF growth 1Y-13.39%
FCF growth 3Y-3.07%
FCF growth 5Y-1.58%
OCF growth 1Y-9.78%
OCF growth 3Y-5.12%
OCF growth 5Y-1.16%
THERMO FISHER SCIENTIFIC INC / TMO FAQ
What is the ChartMill fundamental rating of THERMO FISHER SCIENTIFIC INC (TMO) stock?
ChartMill assigns a fundamental rating of 4 / 10 to TMO.
What is the valuation status of THERMO FISHER SCIENTIFIC INC (TMO) stock?
ChartMill assigns a valuation rating of 4 / 10 to THERMO FISHER SCIENTIFIC INC (TMO). This can be considered as Fairly Valued.
What is the profitability of TMO stock?
THERMO FISHER SCIENTIFIC INC (TMO) has a profitability rating of 6 / 10.
What is the financial health of THERMO FISHER SCIENTIFIC INC (TMO) stock?
The financial health rating of THERMO FISHER SCIENTIFIC INC (TMO) is 3 / 10.
What is the expected EPS growth for THERMO FISHER SCIENTIFIC INC (TMO) stock?
The Earnings per Share (EPS) of THERMO FISHER SCIENTIFIC INC (TMO) is expected to grow by 8.54% in the next year.