Involved in Scientific Research? Then you must have heard about MA-based Thermo Fisher Scientific, Inc. TMO, one of the leading scientific instrument manufacturers across the world. Interestingly for this acquisition-friendly company, the latest buy out of Life Technologies is expected to give birth to an unrivaled market leader serving research, Specialty Diagnostics and applied markets.
Currently, Thermo Fisher has a Zacks Rank #2 (Buy) which matches with the company's better-than-expected third-quarter 2015 earnings report which has just released. However, year-over-year decline in revenues adds to our concern. We have highlighted some of the key details from the just-released announcement below:
Earnings: The Zacks Consensus Estimate dropped a penny over the last 30 days at $1.78 per share. Thermo Fisher’s adjusted earnings per share of $1.80 beat this estimate by 1.1%.
Revenues: Thermo Fisher posted revenues of $4.123 billion, remaining marginally ahead of the Zacks Consensus Estimate for revenues of $4.09 billion.
Key Stats: Among its four business segments, Thermo Fisher delivered revenues of $1.08 billion (up 0.9%) in Life Sciences Solutions, $779 million (down 0.9%) in Analytical Instruments, $777 million (down 4.3%) in Specialty Diagnostics and $1.64 billion (down 0.6%) in Laboratory Products and Services respectively.
Major Factors: In China markets, Thermo Fisher continued to make excellent progress and delivered strong results driven by strong customer demand in biopharma, environmental and food safety markets. The company is also hopeful about its recent launch of a set of new products including new immunodiagnostic tests and instruments, and a high-throughput HPLC. It also obtained CE marks for clinical use of HPLC, mass spectrometry and related software in Europe. Other new product launches like Ion S5 and Ion S5 XL to enable targeted next-generation sequencing are expected to drive growth.
Stock Price: Following the earnings release, Thermo Fisher has lost 0.17% in the pre-market trading session. This reflects investors’ pessimism on the results. However, the price movement during the full trading session will show whether the results have affected the market.
Check back later for our full write up on this Thermo Fisher earnings report later!
Want the latest recommendations from Zacks Investment Research? Today, you can download 7 Best Stocks for the Next 30 Days. Click to get this free report >>
Want the latest recommendations from Zacks Investment Research? Today, you can download 7 Best Stocks for the Next 30 Days. Click to get this free report
Be the first to comment