Thermo Fisher Scientific's Stock Not Meeting Expectations Compared to the Dow Performance
In the ever-changing world of finance, Thermo Fisher Scientific Inc. (TMO) has been navigating through a mix of successes and challenges.
TMO's shares have surged 22% over the past three months, a significant increase compared to the Dow Jones Industrial Average (DOWI) which has fallen 7.9% during the same time frame. However, TMO's performance has been overshadowed by its top competitor, IDEXX Laboratories, Inc. (IDXX), which has outperformed TMO with a Year-to-Date (YTD) increase of 56.5% and a 34.4% rise over the past 52 weeks.
Despite this, TMO holds a leading position in bioproduction and research services. The company recently launched next-generation instruments, including the Orbitrap Astral Zoom, Orbitrap Excedion Pro, and the Krios 5 Cryo-TEM, as well as an expanded DynaDrive single-use bioreactor portfolio.
On July 23, TMO reported its Q2 2025 earnings, showing a revenue of $10.85 billion, a 3% year-over-year increase. The company's adjusted operating income also rose to $2.38 billion. TMO's adjusted EPS stood at $5.36.
TMO's shares have been trading above its 50-day and 200-day moving averages since early July and mid-August, indicating a recent uptrend. However, they have dropped 19.6% over the past 52 weeks, trailing the Dow Jones Industrial Average's 10.8% increase over the same period.
The consensus among analysts covering TMO's stock is a "Strong Buy". As of publication, TMO's mean price target of $550.40 suggests a 11.7% upside potential from current price levels.
It's worth noting that TMO's competitor, Danaher Corporation, has performed better than TMO in the last 52 weeks. This performance has caught the attention of notable investor Dan Loeb, who has decided to exit Thermo Fisher and focus on other companies.
TMO is a global life sciences company with a market cap of $186.6 billion. Despite the recent drops, TMO's shares have retreated 21.5% from its 52-week high of $627.88 touched on Sept. 10, 2021.
As always, it's important for investors to conduct their own research or consult with a financial advisor before making investment decisions. At the time of publication, Kritika Sarmah has no positions in any of the securities mentioned in this article.
