Thermo Fisher Scientific Inc (TMO): Today's Featured Health Services Winner

Editor's Note: TheStreet ratings do not represent the views of TheStreet's staff or its contributors. Ratings are established by computer based on metrics for performance (which includes growth, stock performance, efficiency and valuation) and risk (volatility and solvency). Companies with poor cash flow or high debt levels tend to earn lower ratings in our model

Thermo Fisher Scientific ( TMO) pushed the Health Services industry higher today making it today's featured health services winner. The industry as a whole closed the day up 0.1%. By the end of trading, Thermo Fisher Scientific rose $1.30 (1.5%) to $86.01 on average volume. Throughout the day, 2,571,832 shares of Thermo Fisher Scientific exchanged hands as compared to its average daily volume of 2,610,100 shares. The stock ranged in a price between $84.25-$86.19 after having opened the day at $84.64 as compared to the previous trading day's close of $84.71. Other companies within the Health Services industry that increased today were: American Shared Hospital Services ( AMS), up 12.9%, Arrhythmia Research Technology ( HRT), up 9.6%, Iridex Corporation ( IRIX), up 9.4% and American Caresource Holdings ( ANCI), up 9.1%.
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Thermo Fisher Scientific Inc. provides analytical instruments, equipment, reagents and consumables, software, and services for research, manufacture, analysis, discovery, and diagnostics. Thermo Fisher Scientific has a market cap of $30.3 billion and is part of the health care sector. The company has a P/E ratio of 23.4, above the S&P 500 P/E ratio of 17.7. Shares are up 32.8% year to date as of the close of trading on Tuesday. Currently there are 12 analysts that rate Thermo Fisher Scientific a buy, no analysts rate it a sell, and none rate it a hold.

TheStreet Ratings rates Thermo Fisher Scientific as a buy. The company's strengths can be seen in multiple areas, such as its solid stock price performance, impressive record of earnings per share growth, increase in net income, revenue growth and largely solid financial position with reasonable debt levels by most measures. We feel these strengths outweigh the fact that the company shows weak operating cash flow.

On the negative front, Oculus Innovative ( OCLS), down 8.6%, Retractable Technologies ( RVP), down 7.5%, Bovie Medical Corporation ( BVX), down 7.3% and LipoScience ( LPDX), down 6.9% , were all laggards within the health services industry with HCA Holdings ( HCA) being today's health services industry laggard.

For investors not wanting singular stock exposure, ETFs may be of interest. Investors who are bullish on the health services industry could consider Health Care Select Sector SPDR ( XLV) while those bearish on the health services industry could consider ProShares Ultra Short Health Care ( RXD).

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