Zacks Investment Research downgraded shares of Thermo Fisher Scientific (NYSE:TMO) from a hold rating to a sell rating in a report published on Thursday.
According to Zacks, “Post a promising third-quarter 2017 performance we are encouraged by Thermo Fisher’s series of product launches along with progress in precision medicine initiatives. At the same time, we are upbeat about Thermo Fisher recently completing the acquisition of Phenom-World. Moreover, the newly-integrated FEI Company has already started to boost its analytical instruments arm. We are currently looking forward to Thermo Fisher gaining entry into the CDMO market through the recently-closed $7.2 billion acquisition of Patheon. The raised guidance is all the more impressive and indicative of this overall bullish trend to continue through 2017. Unfavorable macroeconomic conditions continue to weigh heavily on Thermo Fisher's stocks. Over the past six months, Thermo Fisher is trading above the broader industry. On the flip side, competitive headwinds and rising operating costs continue to pose a threat on the stock's value.”
Several other research firms have also recently weighed in on TMO. Leerink Swann increased their target price on shares of Thermo Fisher Scientific from $190.00 to $207.00 and gave the company an outperform rating in a research note on Monday, October 9th. Deutsche Bank set a $226.00 target price on shares of Thermo Fisher Scientific and gave the company a buy rating in a research note on Thursday, October 26th. Barclays reiterated an overweight rating and issued a $215.00 target price (up previously from $200.00) on shares of Thermo Fisher Scientific in a research note on Monday, September 25th. Evercore ISI started coverage on shares of Thermo Fisher Scientific in a research note on Wednesday, January 3rd. They issued an outperform rating and a $220.00 target price for the company. Finally, Goldman Sachs Group started coverage on shares of Thermo Fisher Scientific in a research note on Tuesday, September 26th. They issued a buy rating and a $225.00 target price for the company. One analyst has rated the stock with a sell rating, one has assigned a hold rating and fifteen have given a buy rating to the company’s stock. The company presently has a consensus rating of Buy and an average price target of $212.21.
Thermo Fisher Scientific (NYSE:TMO) last released its earnings results on Wednesday, October 25th. The medical research company reported $2.31 earnings per share for the quarter, beating the Thomson Reuters’ consensus estimate of $2.24 by $0.07. Thermo Fisher Scientific had a net margin of 11.73% and a return on equity of 15.94%. The business had revenue of $5.12 billion during the quarter, compared to analysts’ expectations of $5.03 billion. During the same quarter last year, the company earned $2.03 earnings per share. The firm’s revenue was up 13.9% on a year-over-year basis. sell-side analysts predict that Thermo Fisher Scientific will post 9.36 earnings per share for the current year.
The firm also recently declared a quarterly dividend, which will be paid on Monday, January 15th. Shareholders of record on Friday, December 15th will be paid a dividend of $0.15 per share. This represents a $0.60 dividend on an annualized basis and a yield of 0.29%. The ex-dividend date of this dividend is Thursday, December 14th. Thermo Fisher Scientific’s dividend payout ratio is 10.19%.
In other Thermo Fisher Scientific news, CEO Marc N. Casper sold 50,000 shares of the firm’s stock in a transaction dated Wednesday, November 15th. The shares were sold at an average price of $188.39, for a total transaction of $9,419,500.00. Following the completion of the transaction, the chief executive officer now owns 252,577 shares in the company, valued at $47,582,981.03. The sale was disclosed in a filing with the SEC, which can be accessed through the SEC website. 0.49% of the stock is owned by company insiders.
Hedge funds and other institutional investors have recently bought and sold shares of the company. Amalgamated Bank increased its holdings in shares of Thermo Fisher Scientific by 57.0% during the second quarter. Amalgamated Bank now owns 44,921 shares of the medical research company’s stock worth $7,837,000 after buying an additional 16,308 shares in the last quarter. Mutual of America Capital Management LLC increased its holdings in shares of Thermo Fisher Scientific by 2.1% during the second quarter. Mutual of America Capital Management LLC now owns 47,728 shares of the medical research company’s stock worth $8,327,000 after buying an additional 977 shares in the last quarter. State Board of Administration of Florida Retirement System increased its holdings in shares of Thermo Fisher Scientific by 0.9% during the second quarter. State Board of Administration of Florida Retirement System now owns 580,712 shares of the medical research company’s stock worth $101,317,000 after buying an additional 5,213 shares in the last quarter. San Francisco Sentry Investment Group CA acquired a new stake in shares of Thermo Fisher Scientific during the second quarter worth approximately $1,451,000. Finally, Huntington National Bank increased its holdings in shares of Thermo Fisher Scientific by 2.4% during the third quarter. Huntington National Bank now owns 195,348 shares of the medical research company’s stock worth $36,959,000 after buying an additional 4,655 shares in the last quarter. 86.22% of the stock is owned by institutional investors.
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Thermo Fisher Scientific Company Profile
Thermo Fisher Scientific Inc develops, manufactures and sells a range of products. The Company provides analytical instruments, equipment, reagents and consumables, software and services for research, manufacturing, analysis, discovery and diagnostics. It operates through four segments: Life Sciences Solutions, Analytical Instruments, Specialty Diagnostics, and Laboratory Products and Services.
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