THERMO FISHER SCIENTIFIC INC (TMO) Stock Fundamental Analysis
USA • New York Stock Exchange • NYSE:TMO • US8835561023
527.17 USD
-12.63 (-2.34%)
At close: Feb 11, 2026
527.17 USD
0 (0%)
After Hours: 2/11/2026, 5:33:21 PM
Taking everything into account, TMO scores 4 out of 10 in our fundamental rating. TMO was compared to 58 industry peers in the Life Sciences Tools & Services industry. There are concerns on the financial health of TMO while its profitability can be described as average. TMO has a correct valuation and a medium growth rate.
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.
- In the past 5 years TMO always reported a positive cash flow from operatings.
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.
- With a decent Return On Invested Capital value of 7.80%, TMO is doing good in the industry, outperforming 79.31% of the companies in the same industry.
- Measured over the past 3 years, the Average Return On Invested Capital for TMO is significantly below the industry average of 13.21%.
| 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 Operating Margin of 18.19%. This is amongst the best in the industry. TMO outperforms 82.76% of its industry peers.
- In the last couple of years the Operating Margin of TMO has declined.
- TMO's Gross Margin of 41.22% is in line compared to the rest of the industry. TMO outperforms 41.38% of its industry peers.
- 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
- The Return on Invested Capital (ROIC) is below the Cost of Capital (WACC), so TMO is destroying value.
- Compared to 1 year ago, TMO has less shares outstanding
- Compared to 5 years ago, TMO has less shares outstanding
- Compared to 1 year ago, TMO has a worse debt to assets ratio.
2.2 Solvency
- The Debt to FCF ratio of TMO is 6.26, which is on the high side as it means it would take TMO, 6.26 years of fcf income to pay off all of its debts.
- TMO's Debt to FCF ratio of 6.26 is fine compared to the rest of the industry. TMO outperforms 65.52% of its industry peers.
- TMO has a Debt/Equity ratio of 0.67. This is a neutral value indicating TMO is somewhat dependend on debt financing.
- TMO has a worse Debt to Equity ratio (0.67) than 74.14% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.67 | ||
| Debt/FCF | 6.26 | ||
| Altman-Z | N/A |
ROIC/WACC0.71
WACC10.95%
2.3 Liquidity
- A Current Ratio of 1.89 indicates that TMO should not have too much problems paying its short term obligations.
- The Current ratio of TMO (1.89) is worse than 62.07% of its industry peers.
- A Quick Ratio of 1.53 indicates that TMO should not have too much problems paying 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.
- TMO shows a small growth in Earnings Per Share. Measured over the last years, the EPS has been growing by 3.19% yearly.
- Looking at the last year, TMO shows a small growth in Revenue. The Revenue has grown by 3.91% in the last year.
- 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
- The Earnings Per Share is expected to grow by 10.96% on average over the next years. This is quite good.
- TMO is expected to show a small growth in Revenue. In the coming years, the Revenue will grow by 4.93% yearly.
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
- With a Price/Earnings ratio of 23.05, TMO is valued on the expensive side.
- TMO's Price/Earnings ratio is a bit cheaper when compared to the industry. TMO is cheaper than 77.59% of the companies in the same industry.
- TMO is valuated at similar levels of the S&P average when we compare the Price/Earnings ratio to 28.03, which is the current average of the S&P500 Index.
- A Price/Forward Earnings ratio of 21.24 indicates a rather expensive valuation of TMO.
- TMO's Price/Forward Earnings ratio is a bit cheaper when compared to the industry. TMO is cheaper than 77.59% of the companies in the same industry.
- TMO's Price/Forward Earnings ratio indicates a valuation a bit cheaper than the S&P500 average which is at 27.97.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 23.05 | ||
| Fwd PE | 21.24 |
4.2 Price Multiples
- Compared to the rest of the industry, the Enterprise Value to EBITDA ratio of TMO indicates a somewhat cheap valuation: TMO is cheaper than 68.97% of the companies listed in the same industry.
- Based on the Price/Free Cash Flow ratio, TMO is valued a bit cheaper than 70.69% of the companies in the same industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | 31.47 | ||
| EV/EBITDA | 21.3 |
4.3 Compensation for Growth
- The high PEG Ratio(NY), which compensates the Price/Earnings for growth, indicates an expensive valuation of the company.
- The decent profitability rating of TMO may justify a higher PE ratio.
PEG (NY)2.7
PEG (5Y)7.23
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 1.80.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 0.32% |
5.2 History
- The dividend of TMO is nicely growing with an annual growth rate of 14.69%!
- TMO has been paying a dividend for at least 10 years, so it has a reliable track record.
- TMO has not decreased its dividend for at least 10 years, so it has a reliable track record of non decreasing dividend.
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%
527.17
-12.63 (-2.34%)
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 Cap198.06B
Revenue(TTM)44.56B
Net Income(TTM)6.70B
Analysts83.13
Price Target678.16 (28.64%)
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 | 23.05 | ||
| Fwd PE | 21.24 | ||
| P/S | 4.45 | ||
| P/FCF | 31.47 | ||
| P/OCF | 25.33 | ||
| P/B | 3.71 | ||
| P/tB | N/A | ||
| EV/EBITDA | 21.3 |
EPS(TTM)22.87
EY4.34%
EPS(NY)24.82
Fwd EY4.71%
FCF(TTM)16.75
FCFY3.18%
OCF(TTM)20.81
OCFY3.95%
SpS118.59
BVpS142.17
TBVpS-31.37
PEG (NY)2.7
PEG (5Y)7.23
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
WACC10.95%
ROIC/WACC0.71
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.