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 1.2%. By the end of trading, Thermo Fisher Scientific rose $1.40 (1.6%) to $88.76 on light volume. Throughout the day, 1,832,032 shares of Thermo Fisher Scientific exchanged hands as compared to its average daily volume of 2,605,500 shares. The stock ranged in a price between $87.41-$89.10 after having opened the day at $87.53 as compared to the previous trading day's close of $87.36. Other companies within the Health Services industry that increased today were: EnteroMedics ( ETRM), up 30.8%, Lakeland Industries ( LAKE), up 16.4%, IsoRay ( ISR), up 15.0% and Bovie Medical Corporation ( BVX), up 14.3%.
  • EXCLUSIVE OFFER: Jim Cramer's Protégé, Dave Peltier, only buys Stocks Under $10 that he thinks could potentially double. See what he's trading today with a 14-day FREE pass.

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 $31.7 billion and is part of the health care sector. The company has a P/E ratio of 24.5, above the S&P 500 P/E ratio of 17.7. Shares are up 37.0% year to date as of the close of trading on Wednesday. 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, Kips Bay Medical ( KIPS), down 14.0%, Spherix ( SPEX), down 6.7%, Nanosphere ( NSPH), down 5.8% and AtriCure ( ATRC), down 4.8%.

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).

3x UPSIDE POTENTIAL: TheStreet Quant Ratings has identified a handful of stocks that can potentially TRIPLE in the next 12-months. Learn more.
null

If you liked this article you might like

Jim Cramer: Agilent Technology Has Been One of My Favorites

Secondaries Get Primary Attention; Discerning Market -- Cramer's Top Thoughts

Cramer: Secondary Offerings Get Primary Attention

The Stock Market Is on Fire, Especially in These Sectors: Market Recon

PerkinElmer Among Targets Fitting Thermo Fisher's M&A Criteria