TMO US S&P 500Russell 1000 Earnings call · transcribed from the recording
Thermo Fisher Scientific (TMO) · Q3 2026 results and valuation
Share price: $717.71 · 2026-11-11
Thermo Fisher Scientific provides a portfolio of instruments, reagents, consumables, and services for the life sciences, analytical instruments, specialty diagnostics, and laboratory products markets. The company serves customers in the pharmaceutical, biotechnology, healthcare, academic, and government sectors globally. Its offerings include products for drug discovery, clinical diagnostics, and bioproduction. Source: 10-K annual report (2026-02-26)
Results Q3 2026 vs Q2 2026 · previous quarter · published 21 Oct 2026 and 23 Jul 2026
Management sounded upbeat, in its script and in answers to analysts.
1 · Numbers
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Figures not yet filed
Outlook given
2 · How management spoke
Upbeat
More upbeat than 83% of company calls
Answers to analysts: very upbeat, in line with the script.
Last call it was different: the answers were more upbeat than the script.
3 · What stood out
Thermo Fisher Scientific raised its revenue guidance to a new range of $47.7 billion to $48.2 billion, representing 7 to 8 percent reported revenue growth over 2025.
Valuation
Is Thermo Fisher Scientific undervalued?
Reverse DCF. Free cash flow from the last full fiscal year (2025-12-31), grown for 10 years, discounted back, plus a terminal value. “Implied growth” is the rate the current price assumes.
At −0.3% growth a year (3-year revenue growth), the model's fair value is $116.00 a share — the stock trades 519% above it. Today's price assumes 21.2% growth a year.
Current price
$717.71
close of 2026-11-11
Market implies growth of iThe yearly free-cash-flow growth, for the next 10 years, that today’s share price already assumes. If you believe the company grows faster than this, the stock is cheap under this model; slower, and it is expensive.
+21.2% for 10 yrs
Fair value / share
$116.00
Buy below
$87.00
Price vs fair value
Overvalued >200%
Price vs buy-below price
Overvalued >200%
Management expects
Growth +5% · from the Q3 2026 report: “The company updated its guidance to expect growth of 5% in the second half.”
A guidance figure for growth, usually one year ahead, not a 10-year free-cash-flow rate.
Read between the lines
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Guidance
TMO raised its revenue guidance to a new range of $47.7 billion to $48.2 billion, representing 7 to 8 percent reported revenue growth over 2025.
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Guidance
Q3 revenue exceeded prior guidance by more than $200 million due to two points stronger organic revenue growth and favorability from foreign exchange.
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Key theme
TMO raised its expected free cash flow range to between $7 and $7.5 billion for the year.
Source quote
“And we're raising our expected free cash flow range to be between $7 and $7.5 billion for the year.”
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Figure
Revenue grew 9% to $12.14 billion while adjusted EPS increased 15% to $6.68 per share, reflecting growth in both total sales and profitability.
Source quote
“Our revenue grew 9% to $12.14 billion. Adjusted operating income grew 15% to $2.97 billion. Adjusted operating margin expanded by 120 basis points to 24.5%. And we grew adjusted EPS by 15% to $6.68 per share.”
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Figure
TMO repaid approximately $1.1 billion of senior notes and returned $175 million of capital through dividends in Q3.
Source quote
“In Q3, we repaid approximately $1.1 billion of senior notes and returned $175 million of capital through dividends.”
4 more
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Guidance
The company updated its guidance to expect growth of 5% in the second half.
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Key theme
TMO reported high single-digit growth in the pharma and biotech segments during the quarter.
Source quote
“Starting with pharma and biotech, we delivered high single-digit growth during the quarter.”
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Key theme
The Clario acquisition is performing well and integrating smoothly to build momentum toward delivering meaningful revenue synergies.
Source quote
“We're very pleased with the progress of our Clario acquisition. The business is performing well, the integration is going smoothly, and we're excited about the momentum building to deliver meaningful revenue synergies from the acquisition.”
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Key theme
The product launch expands the serve market for Orbitrap franchise.
Source quote
“This product launch expands the serve market for Orbitrap franchise.”
Tone
How upbeat the language was, compared with other companiesiTone counts positive minus negative finance words, adjusted for length. Executives mostly speak positively, so the labels compare each call with every company's latest call: “typical” is the middle third, “very upbeat” the top tenth, “cautious” the bottom tenth.. Dot: Q3 2026. Ring: Q2 2026.
Script and answers carried a similar tone, so the script's message held up under questioning.
Sentences that drove the tone
“In Q3, we delivered very strong growth in our pharma services business and our research and safety market channel and also had strong growth in our clinical research business.”
“So another quarter of excellent high-impact innovation, further strengthening our industry leadership, advancing our customers' important work, and driving market share gain.”
“So wrapping up the end markets, the improved end market conditions we saw in Q2 continued in Q3, and our team executed very well to capture the opportunities allowing us...”
Full figures
Q3 2026 figures are not available yet: the company files its quarterly report (10-Q) a few weeks after the call. This page compares what management said; the figures are added when the report is filed.
Topics
Most discussed now
- Performance was led by Thermo Fisher Scientific's pharma services business and its research and safety market channel.
- Thermo Fisher Scientific also had strong growth in its clinical research business.
- The business, while delivering good growth, was less strong in terms of the growth relative to the past few quarters,...
- The bioprocess design centers are incredibly important because it allows customers to actually work with Thermo Fisher Scientific's…
- More recently, Thermo Fisher Scientific acquired Clario, and it's a great technology set of capabilities that is going to be one...
Faded since Q2 2026
- Fading In Diagnostics and Health Care, Thermo Fisher Scientific grew in the mid-single digits in the quarter driven by its Health Care...
- Fading In Academic and Government, Thermo Fisher Scientific grew low single digits in the second quarter, driven by its Chromatography and Mass…
- Fading Thermo Fisher Scientific's proven growth strategy is enhancing its capabilities, further advancing its trusted partner status with…
- Dropped It's nice to see the team deliver growth, and that obviously helped contribute to Thermo Fisher Scientific's overall growth in the…
Latest announcements
Official filings, newest first. Summaries are generated from each filing and its attachment; every figure is checked against the source.
- Director or officer change · SEC 8-K
- Results of operations · SEC 8-K
Thermo Fisher Scientific reported third-quarter revenue of $12.14 billion, up 9% from $11.12 billion in the same quarter of 2025, with GAAP diluted EPS of $4.64.
- Results of operations · SEC 8-K
Thermo Fisher Scientific reported second-quarter revenue of $11.99 billion, up 10% from $10.85 billion in the same quarter of 2025, with GAAP diluted EPS of $4.68.
- Shareholder vote results · SEC 8-K · routine
- Results of operations · SEC 8-K
Thermo Fisher Scientific reported first-quarter revenue of $11.01 billion, up 6% from $10.36 billion in the same quarter of 2025, with GAAP diluted EPS of $4.43, up 11% year over year.
- Other events · SEC 8-K
Thermo Fisher Scientific completed the acquisition of Clario Holdings, Inc. for $8.875 billion in cash, with the transaction expected to contribute $0.45 of adjusted earnings per share in the first year.
- Material agreement; Other events · SEC 8-K
- Results of operations · SEC 8-K
Thermo Fisher Scientific reported fourth-quarter revenue of $12.21 billion, up 7% from $11.40 billion in the same quarter of 2024, and full-year revenue of $44.56 billion, up 4% from $42.88 billion in 2024.
Catalyst calendar
management-stated targets — from the latest earnings call; plans, not promises.
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2026
full year revenue guidance
Source quote
“We're raising our revenue guidance to a new range of $47.7 billion to $48.2 billion, representing 7 to 8 percent reported revenue growth over 2025.”
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2026
full year adjusted earnings per share guidance
Source quote
“We're also raising our adjusted earnings per share guidance to be in the range of $25.13 to $25.43 per share, which now represents 10 to 11% growth over 2025.”
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fourth quarter
maintaining our organic revenue guidance of 4%
Source quote
“This reflects exceeding our Q3 organic revenue expectations and maintaining our organic revenue guidance of 4% for the fourth quarter.”
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fourth quarter
deploying about $40 million of additional reinvestment
Source quote
“5 cents from the net impact of tariff refund recovery after deploying about $40 million of additional reinvestment in the fourth quarter,”
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for the year
expected net interest expense
Source quote
“We expect approximately $650 million of net interest expense for the year.”