Thermo Fisher Valuation
| TMO Stock | USD 544.78 3.26 0.60% |
At this time, the company appears to be undervalued. Thermo Fisher Scientific has a current Real Value of $578.41 per share. The regular price of the company is $544.78. Our model measures the value of Thermo Fisher Scientific from inspecting the company fundamentals such as Shares Outstanding of 381.71 M, return on equity of 0.13, and Operating Margin of 0.19 % as well as reviewing its technical indicators and probability of bankruptcy. In general, most investors recommend obtaining undervalued stocks and abandoning overvalued stocks since, at some point, asset prices and their ongoing real values will draw towards each other. Key fundamental drivers impacting Thermo Fisher's valuation include:
Price Book 4.6166 | Enterprise Value 240.2 B | Enterprise Value Ebitda 21.8969 | Price Sales 5.0343 | Forward PE 26.1097 |
Undervalued
Today
Please note that Thermo Fisher's price fluctuation is very steady at this time. Calculation of the real value of Thermo Fisher Scientific is based on 3 months time horizon. Increasing Thermo Fisher's time horizon generally increases the accuracy of value calculation and significantly improves the predictive power of the methodology used.
Our valuation method for Thermo Fisher Scientific is useful when determining the fair value of the Thermo stock, which is usually determined by what a typical buyer is willing to pay for full or partial control of Thermo Fisher. Since Thermo Fisher is currently traded on the exchange, buyers and sellers on that exchange determine the market value of Thermo Stock. However, Thermo Fisher's intrinsic value may or may not be the same as its current market price, in which case there is an opportunity to profit from the mispricing, assuming the market price will eventually merge with its intrinsic value. | Historical | Market 544.78 | Real 578.41 | Target 601.88 | Hype 541.37 |
The real value of Thermo Stock, also known as its intrinsic value, is the underlying worth of Thermo Fisher Scientific Company, which is reflected in its stock price. It is based on Thermo Fisher's financial performance, assets, liabilities, growth prospects, management team, or industry conditions. The intrinsic value of Thermo Fisher's stock can be calculated using various methods such as discounted cash flow analysis, price-to-earnings ratio, or price-to-book ratio. That value may differ from its current market price, which is determined by supply and demand factors such as investor sentiment, market trends, news, and other external factors that may influence Thermo Fisher's stock price. It is important to note that the real value of any stock may change over time based on changes in the company's performance.
Estimating the potential upside or downside of Thermo Fisher Scientific helps investors to forecast how Thermo stock's addition to their portfolios will impact the overall performance. We also use other valuation drivers to help us estimate the true value of Thermo Fisher more accurately as focusing exclusively on Thermo Fisher's fundamentals will not take into account other important factors: Traditionally analysts and sophisticated investors use multiple methods for valuing a cash-flow-generating entity or its stock. For example, some money managers use Thermo Fisher's intrinsic value based on its ongoing forecasts of Thermo Fisher's financial statements. In contrast, other private, professional wealth advisors use a multiplier approach by looking to relative value analysis against Thermo Fisher's closest peers. When choosing an evaluation method for Thermo Fisher Scientific, ensure it is appropriate for the firm given its current financial situation and market classification. If more than one evaluation category is relevant, we suggest using both methods to arrive at a better estimate.
Thermo Fisher Investments |
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Thermo Valuation Trend
Knowing Thermo Fisher's actual value is paramount for traders to make sound investment determinations. Thermo Fisher's real value is not only important for the investor to make better decisions but also for a more accurate overall view of Thermo Fisher's financial worth over time since having this information enables investors and analysts to forecast the earnings more efficiently. Using both Thermo Fisher's enterprise value as well as its market capitalization is the best way to gauging the value of the company and is usually enough for investors to make market timing descisions.
Thermo Market Cap
Thermo Fisher Scientific is currently regarded as top stock in market capitalization category among related companies. Market capitalization of Health Care industry is at this time estimated at about 216.19 Billion. Thermo Fisher totals roughly 211.68 Billion in market capitalization claiming about 98% of equities under Health Care industry.Thermo Fisher Valuation Ratios as Compared to Competition
Comparative valuation techniques use various fundamental indicators to help in determining Thermo Fisher's current stock value. Our valuation model uses many indicators to compare Thermo Fisher value to that of its competitors to determine the firm's financial worth. You can analyze the relationship between different fundamental ratios across Thermo Fisher competition to find correlations between indicators driving Thermo Fisher's intrinsic value. More Info.Thermo Fisher Scientific is currently regarded as top stock in price to earning category among related companies. It is rated third in price to book category among related companies fabricating about 0.15 of Price To Book per Price To Earning. The ratio of Price To Earning to Price To Book for Thermo Fisher Scientific is roughly 6.71 . As of the 19th of April 2024, Price To Book Ratio is likely to grow to 4.60. Comparative valuation analysis is a catch-all model that can be used if you cannot value Thermo Fisher by discounting back its dividends or cash flows. This model doesn't attempt to find an intrinsic value for Thermo Fisher's Stock. Still, instead, it compares the stock's price multiples to a benchmark or nearest competition to determine if the stock is relatively undervalued or overvalued. The reason why the comparable model can be used in almost all circumstances is due to the vast number of multiples that can be utilized, such as the price-to-earnings (P/E), price-to-book (P/B), price-to-sales (P/S), price-to-cash flow (P/CF), and many others. The P/E ratio is the most commonly used of these ratios because it focuses on the Thermo Fisher's earnings, one of the primary drivers of an investment's value.Please note that valuation analysis is one of the essential comprehensive assessments in business. It evaluates Thermo Fisher's worth, which you can determine by considering its current assets, liabilities and future cash flows. The investors' valuation analysis is an important metric that will give you a perspective on different companies. It helps you know the worth of the potential investment in Thermo Fisher and how it compares across the competition.
About Thermo Fisher Valuation
The stock valuation mechanism determines the current worth of Thermo Fisher Scientific on a weekly basis. We use both absolute as well as relative valuation methodologies to arrive at the intrinsic value of Thermo Fisher Scientific. In general, an absolute valuation paradigm, as applied to this company, attempts to find the value of Thermo Fisher Scientific based exclusively on its fundamental and basic technical indicators. By analyzing Thermo Fisher's financials, quarterly and monthly indicators, and its related drivers such as dividends, operating cash flow, and various types of growth rates, we attempt to find the most accurate representation of Thermo Fisher's intrinsic value. In some cases, mostly for established, large-cap companies, we also incorporate more traditional valuation methods such as dividend discount, discounted cash flow, or asset-based models. As compared to an absolute model, our relative valuation model uses a comparative analysis of Thermo Fisher. We calculate exposure to Thermo Fisher's market risk, different technical and fundamental indicators, relevant financial multiples and ratios, and then comparing them to Thermo Fisher's related companies.| Last Reported | Projected for Next Year | ||
| Gross Profit | 17.6 B | 18.4 B | |
| Pretax Profit Margin | 0.15 | 0.08 | |
| Operating Profit Margin | 0.17 | 0.09 | |
| Net Profit Margin | 0.14 | 0.15 | |
| Gross Profit Margin | 0.36 | 0.34 |
Thermo Fisher Quarterly Retained Earnings |
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8 Steps to conduct Thermo Fisher's Valuation Analysis
Company's valuation is the process of determining the worth of any company in monetary terms. It estimates Thermo Fisher's potential worth based on factors such as financial performance, market conditions, growth prospects, and overall economic environment. The result of company valuation is a single number representing a Company's current market value. This value can be used as a benchmark for various financial transactions such as mergers and acquisitions, initial public offerings (IPOs), or private equity investments. To conduct Thermo Fisher's valuation analysis, follow these 8 steps:- Gather financial information: Obtain Thermo Fisher's financial statements, including balance sheets, income statements, and cash flow statements.
- Determine Thermo Fisher's revenue streams: Identify Thermo Fisher's primary sources of revenue, including products or services offered, target markets, and pricing strategies.
- Analyze market data: Research Thermo Fisher's industry and market trends, including the size of the market, growth rate, and competition.
- Establish Thermo Fisher's growth potential: Evaluate Thermo Fisher's management, business model, and growth potential.
- Determine Thermo Fisher's financial performance: Analyze its financial statements to assess its historical performance and future potential.
- Choose a valuation method: Consider the Company's specific circumstances and choose an appropriate valuation method, such as the discounted cash flow (DCF) or comparable analysis method.
- Calculate the value: Apply the chosen valuation method to the financial information and market data to calculate Thermo Fisher's estimated value.
- Review and adjust: Review the results and make necessary adjustments, considering any relevant factors that may have been missed or overlooked.
A single share of Thermo Fisher represents a small ownership stake in the entity. As a stockholder of Thermo, your percentage of company ownership is determined by dividing the number of shares you own by the total number of shares outstanding and then multiplying that amount by 100. Owning stock in a company generally confers both corporate voting rights and income from any dividends paid to the stock owner.
Thermo Fisher Dividends Analysis For Valuation
As of the 19th of April 2024, Dividends Paid is likely to grow to about (496.9 M). In addition to that, Dividend Yield is likely to drop to 0. At this time, Thermo Fisher's Retained Earnings are very stable compared to the past year. As of the 19th of April 2024, Retained Earnings Total Equity is likely to grow to about 50.6 B, though Price Earnings To Growth Ratio is likely to grow to (2.62).
| Last Reported | Projected for Next Year | ||
| Dividends Paid | -523 M | -496.9 M | |
| Dividend Yield | 0 | 0 | |
| Dividend Payout Ratio | 0.09 | 0.08 | |
| Dividend Paid And Capex Coverage Ratio | (8.79) | (9.23) |
There are various types of dividends Thermo Fisher can pay to its shareholders, and the actual value of the dividend is determined on a per-share basis. It is to be paid equally to all of Thermo shareholders on a specific date, known as the payable date. The cash dividend is the most common type of dividend payment - it is the payment of actual cash from Thermo Fisher Scientific directly to its shareholders. There are other types of dividends that companies can issue, such as stock dividends or asset dividends. When Thermo pays a dividend, it has no impact on its enterprise value. It does, however, lowers the Equity Value of Thermo Fisher by the value of the dividends paid out.
Thermo Fisher Growth Indicators
Growth stocks usually refer to those companies expected to grow sales and earnings faster than the market average. Growth stocks typically don't pay dividends, often look expensive, and usually trading at a high P/E ratio. Nevertheless, such valuations could be relatively cheap if the company continues to grow, which will drive the share price up. However, since most investors are paying a high price for a growth stock, based on expectations, if those expectations are not fully realized, growth stocks can see dramatic declines. Note, investing in growth stocks can be very risky. If the company such as Thermo Fisher does not do well, investors take a loss on the stock when it is time to sell. Also, because growth stocks typically do not pay dividends, the only opportunity an investor has to make money on their investment is when they eventually sell their shares.
| Common Stock Shares Outstanding | 388 M | |
| Quarterly Earnings Growth Y O Y | 0.054 | |
| Forward Price Earnings | 26.1097 |
Thermo Fisher Current Valuation Indicators
Valuation refers to the process of determining the present value of Thermo Fisher Scientific and all of its assets. It can be calculated using a number of techniques. As many analysts who try to value Thermo we look at many different elements of the entity such as Thermo's management, its prospective future earnings, the current market value of the company's assets, as well as its capital structure formation. Thermo Fisher's valuation analysis is also a process of estimating the intrinsic value of all assets and outstanding equities. There are different methodologies and models we use to develop the final Thermo Fisher's valuation. The techniques such as discounted cash flow and fundamental indicators such as book value per share or market capitalization are well known and widely used across most financial advisers and money managers.
Valuations are an essential part of business, for companies themselves, but also for investors. For companies, such as Thermo Fisher, valuations can help measure their progress and success and can help them track their performance in the market compared to others. In addition, investors can use Thermo Fisher's valuations to help determine the worth of potential investments. They can do this by using data and information made public by a company. Regardless of who the valuation is for, it essentially describes Thermo Fisher's worth.When determining whether Thermo Fisher Scientific offers a strong return on investment in its stock, a comprehensive analysis is essential. The process typically begins with a thorough review of Thermo Fisher's financial statements, including income statements, balance sheets, and cash flow statements, to assess its financial health. Key financial ratios are used to gauge profitability, efficiency, and growth potential of Thermo Fisher Scientific Stock. Outlined below are crucial reports that will aid in making a well-informed decision on Thermo Fisher Scientific Stock: Check out World Market Map to better understand how to build diversified portfolios, which includes a position in Thermo Fisher Scientific. Also, note that the market value of any company could be tightly coupled with the direction of predictive economic indicators such as signals in population. You can also try the Correlation Analysis module to reduce portfolio risk simply by holding instruments which are not perfectly correlated.
Complementary Tools for Thermo Stock analysis
When running Thermo Fisher's price analysis, check to measure Thermo Fisher's market volatility, profitability, liquidity, solvency, efficiency, growth potential, financial leverage, and other vital indicators. We have many different tools that can be utilized to determine how healthy Thermo Fisher is operating at the current time. Most of Thermo Fisher's value examination focuses on studying past and present price action to predict the probability of Thermo Fisher's future price movements. You can analyze the entity against its peers and the financial market as a whole to determine factors that move Thermo Fisher's price. Additionally, you may evaluate how the addition of Thermo Fisher to your portfolios can decrease your overall portfolio volatility.
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Is Thermo Fisher's industry expected to grow? Or is there an opportunity to expand the business' product line in the future? Factors like these will boost the valuation of Thermo Fisher. If investors know Thermo will grow in the future, the company's valuation will be higher. The financial industry is built on trying to define current growth potential and future valuation accurately. All the valuation information about Thermo Fisher listed above have to be considered, but the key to understanding future value is determining which factors weigh more heavily than others.
Quarterly Earnings Growth 0.054 | Dividend Share 1.4 | Earnings Share 15.47 | Revenue Per Share 111.028 | Quarterly Revenue Growth (0.05) |
The market value of Thermo Fisher Scientific is measured differently than its book value, which is the value of Thermo that is recorded on the company's balance sheet. Investors also form their own opinion of Thermo Fisher's value that differs from its market value or its book value, called intrinsic value, which is Thermo Fisher's true underlying value. Investors use various methods to calculate intrinsic value and buy a stock when its market value falls below its intrinsic value. Because Thermo Fisher's market value can be influenced by many factors that don't directly affect Thermo Fisher's underlying business (such as a pandemic or basic market pessimism), market value can vary widely from intrinsic value.
Please note, there is a significant difference between Thermo Fisher's value and its price as these two are different measures arrived at by different means. Investors typically determine if Thermo Fisher is a good investment by looking at such factors as earnings, sales, fundamental and technical indicators, competition as well as analyst projections. However, Thermo Fisher's price is the amount at which it trades on the open market and represents the number that a seller and buyer find agreeable to each party.