Thermo Fisher Scientific Inc. (NYSE: TMO) stock fell -1.03% on Friday to $520.29 against a previous-day closing price of $525.69. With 1.13 million shares changed hands, the volume of the stock remained lighter than its average volume of 1.17 million shares. During the session, the Diagnostics & Research company that operates in wider Healthcare sector, reached to the highest price of $526.96 whereas the lowest price it dropped to was $518.57. The 52-week range on TMO shows that it touched its highest point at $672.34 and its lowest point at $497.83 during that stretch. It currently has a 1-year price target of $659.91. With its current market cap of 207.87 billion, TMO has annualized dividend of $1.20 while the current yield stands at 0.23%. Beta for the stock currently stands at 0.86.
Price Performance and Earnings:
Stock performance is one of the indicators that investors use to determine whether they will profit from a stock. The price performance of TMO was down-trending over the past week, with a drop of -5.74%, but this was down by -9.19% over a month. Three-month performance dropped to -3.76% while six-month performance fell -8.93%. The stock lost -14.23% in the past year, while it has lost -22.02% so far this year. A look at the trailing 12-month EPS for TMO yields 18.80 with Next year EPS estimates of 24.39. For the next quarter, that number is 4.82. This implies an EPS growth rate of 21.80% for this year and 6.07% for next year. EPS is expected to grow by 7.89% annually over the next five years; however, over the past five years, the company experienced an annual growth rate of 30.70%.
Float and Shares Shorts:
At present, 392.00 million TMO shares are outstanding with a float of 390.28 million shares on hand for trading. On Jul 14, 2022, short shares totaled 2.75 million, which was 0.70% higher than short shares on Jun 14, 2022. In addition to Mr. Marc N. Casper as the firm’s Chairman, Pres & CEO, Mr. Stephen Williamson serves as its Sr. VP & CFO.
Through their ownership of 90.99% of TMO’s outstanding shares, institutional investors have majority control over the company. Other institutions hold 51.96% of TMO, in contrast to 39.41% held by mutual funds. Shares owned by individuals account for 0.59%. As the largest shareholder in TMO with 7.70% of the stake, The Vanguard Group, Inc. holds 30,185,101 shares worth 30,185,101. A second-largest stockholder of TMO, BlackRock Fund Advisors, holds 18,886,350 shares, controlling over 4.82% of the firm’s shares. SSgA Funds Management, Inc. is the third largest shareholder in TMO, holding 16,023,439 shares or 4.09% stake. With a 2.96% stake in TMO, the Vanguard Total Stock Market Index is the largest stakeholder. A total of 11,589,382 shares are owned by the mutual fund manager. The Vanguard 500 Index Fund, which owns about 2.23% of TMO stock, is the second-largest Mutual Fund holder. It holds 8,736,455 shares valued at 4.76 billion. American Funds Growth Fund of Ame holds 1.31% of the stake in TMO, owning 5,133,062 shares worth 2.8 billion.
Reading analyst opinions is an effective way to decide where to invest, and there are several opinions available for TMO since 24 analysts follow the stock currently. There are 15 analysts who recommend BUY ratings, while 1 suggest SELL ratings. Of the remaining analysts, 5 believe that the stock is worth HOLDING, 3 give it an OVERWEIGHT rating, and 0 thinks that it’s UNDERWEIGHT. In the same way, a target price assigned to a stock can also reveal much about its potential. With TMO analysts setting a high price target of $715.00 and a low target of $525.00, the average target price over the next 12 months is $660.15. Based on these targets, TMO could surge 37.42% to reach the target high and rise by 0.91% to reach the target low. Reaching the average price target will result in a growth of 26.88% from current levels.
EPS: Estimates vs Actual
It is also common to use earnings estimates to evaluate a firm’s growth potential and to determine trading strategy. TMO will report FY 2022 earnings on 02/01/2023. Analysts have provided yearly estimates in a range of $23.26 being high and $22.84 being low. For TMO, this leads to a yearly average estimate of $22.97. The earnings surprise of a firm occurs when the actual results change from the consensus earnings estimate. Thermo Fisher Scientific Inc. surprised analysts by $0.52 when it reported $5.51 EPS against a consensus estimate of $4.99. The surprise factor in the prior quarter was $1.03. Based on analyst estimates, the high estimate for the next quarter is $5.12 and the low estimate is $4.56. The average estimate for the next quarter is thus $4.83.
Summary of Insider Activity:
Insiders traded TMO stock several times over the past three months with 7 Buys and 54 Sells. In these transactions, 74,583 shares were bought while 77,541 shares were sold. The number of buy transactions has increased to 47 while that of sell transactions has risen to 186 over the past year. The total number of shares bought during that period was 306,974 while 302,287 shares were sold.