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TMO (Thermo Fisher Scientific) PS Ratio : 4.96 (As of Oct. 31, 2024)


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What is Thermo Fisher Scientific PS Ratio?

The PS Ratio, or Price-to-Sales ratio, or Price/Sales, is a financial ratio used to compare a company's market price to its Revenue per Share. As of today, Thermo Fisher Scientific's share price is $546.32. Thermo Fisher Scientific's Revenue per Share for the trailing twelve months (TTM) ended in Sep. 2024 was $110.12. Hence, Thermo Fisher Scientific's PS Ratio for today is 4.96.

The historical rank and industry rank for Thermo Fisher Scientific's PS Ratio or its related term are showing as below:

TMO' s PS Ratio Range Over the Past 10 Years
Min: 2.9   Med: 4.55   Max: 7.41
Current: 5

During the past 13 years, Thermo Fisher Scientific's highest PS Ratio was 7.41. The lowest was 2.90. And the median was 4.55.

TMO's PS Ratio is ranked worse than
68.22% of 214 companies
in the Medical Diagnostics & Research industry
Industry Median: 3.145 vs TMO: 5.00

Thermo Fisher Scientific's Revenue per Sharefor the three months ended in Sep. 2024 was $27.60. Its Revenue per Share for the trailing twelve months (TTM) ended in Sep. 2024 was $110.12.

Warning Sign:

Thermo Fisher Scientific Inc revenue growth has slowed down over the past 12 months.

During the past 12 months, the average Revenue per Share Growth Rate of Thermo Fisher Scientific was -1.30% per year. During the past 3 years, the average Revenue per Share Growth Rate was 11.00% per year. During the past 5 years, the average Revenue per Share Growth Rate was 15.40% per year. During the past 10 years, the average Revenue per Share Growth Rate was 13.10% per year.

During the past 13 years, Thermo Fisher Scientific's highest 3-Year average Revenue per Share Growth Rate was 21.60% per year. The lowest was -12.90% per year. And the median was 8.90% per year.

Back to Basics: PS Ratio


Thermo Fisher Scientific PS Ratio Historical Data

The historical data trend for Thermo Fisher Scientific's PS Ratio can be seen below:

* For Operating Data section: All numbers are indicated by the unit behind each term and all currency related amount are in USD.
* For other sections: All numbers are in millions except for per share data, ratio, and percentage. All currency related amount are indicated in the company's associated stock exchange currency.

* Premium members only.

Thermo Fisher Scientific PS Ratio Chart

Thermo Fisher Scientific Annual Data
Trend Dec14 Dec15 Dec16 Dec17 Dec18 Dec19 Dec20 Dec21 Dec22 Dec23
PS Ratio
Get a 7-Day Free Trial Premium Member Only Premium Member Only 5.13 5.77 6.76 4.83 4.81

Thermo Fisher Scientific Quarterly Data
Dec19 Mar20 Jun20 Sep20 Dec20 Mar21 Jun21 Sep21 Dec21 Mar22 Jun22 Sep22 Dec22 Mar23 Jun23 Sep23 Dec23 Mar24 Jun24 Sep24
PS Ratio Get a 7-Day Free Trial Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only 4.54 4.81 5.29 5.04 5.62

Competitive Comparison of Thermo Fisher Scientific's PS Ratio

For the Diagnostics & Research subindustry, Thermo Fisher Scientific's PS Ratio, along with its competitors' market caps and PS Ratio data, can be viewed below:

* Competitive companies are chosen from companies within the same industry, with headquarter located in same country, with closest market capitalization; x-axis shows the market cap, and y-axis shows the term value; the bigger the dot, the larger the market cap. Note that "N/A" values will not show up in the chart.


Thermo Fisher Scientific's PS Ratio Distribution in the Medical Diagnostics & Research Industry

For the Medical Diagnostics & Research industry and Healthcare sector, Thermo Fisher Scientific's PS Ratio distribution charts can be found below:

* The bar in red indicates where Thermo Fisher Scientific's PS Ratio falls into.



Thermo Fisher Scientific PS Ratio Calculation

The PS Ratio, or Price-to-Sales ratio, or Price/Sales, is a financial ratio used to compare a company's market price to its Revenue per Share. It is a ratio widely used to value stocks and it was first used by Ken Fisher.

Thermo Fisher Scientific's PS Ratio for today is calculated as

PS Ratio=Share Price/Revenue per Share (TTM)
=546.32/110.118
=4.96

Thermo Fisher Scientific's Share Price of today is $546.32.
Thermo Fisher Scientific's Revenue per Share for the trailing twelve months (TTM) ended in Sep. 2024 adds up the quarterly data reported by the company within the most recent 12 months, which was $110.12.

* For Operating Data section: All numbers are indicated by the unit behind each term and all currency related amount are in USD.
* For other sections: All numbers are in millions except for per share data, ratio, and percentage. All currency related amount are indicated in the company's associated stock exchange currency.

It can also be calculated from the numbers for the whole company:

PS Ratio=Market Cap/Revenue

The Revenue here is for the trailing 12 months.


Thermo Fisher Scientific  (NYSE:TMO) PS Ratio Explanation

The PS Ratio is an excellent valuation indicator if you want to compare a stock with its historical valuation or with the stocks in the same industry. The PS Ratio works especially well when you want to compare the stock's current valuation with its historical valuation. The PS Ratio is a great valuation tool for evaluating cyclical businesses where the PE Ratio works poorly. It works the best when comparing the current valuation with the historical valuation because over time, a company's profit margin tends to revert to the mean.

When the PS Ratio is applied to the whole stock market, it can be used to evaluate the current market valuation and projected returns. In this case, the price is the total market cap of all stocks that are traded, and sales are the GDP of the country. This is how Warren Buffett estimates the broad market valuation and project future returns.

Similar to the PE Ratio or Price-to-Operating-Cash-Flow or Price-to-Free-Cash-Flow , the PS Ratio measures the valuation based on the earning power of the company. This is where it is different from the PB Ratio , which measures the valuation based on the company's balance sheet.


Be Aware

The PS Ratio does not tell you how cheap or expensive the stock is. It cannot be used to compare companies in different industries. It works better for companies within the same industry because these companies tend to have similar capital structures and profit margins. It works the best when comparing a company with itself in the past.


Thermo Fisher Scientific PS Ratio Related Terms

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Thermo Fisher Scientific Business Description

Address
168 Third Avenue, Waltham, MA, USA, 02451
Thermo Fisher Scientific sells scientific instruments and laboratory equipment, diagnostics consumables, and life science reagents. The firm operates through four segments as of end-2023 (revenue figures include some cross-segment revenue): analytical technologies (17% of sales); specialty diagnostic products (10%); life science solutions (23%); and lab products and services, which includes CRO services (54%).
Executives
Marc N Casper officer: Senior Vice President C/O THERMO FISHER SCIENTIFIC, 168 THIRD AVENUE, WALTHAM MA 02451
Lisa P. Britt officer: Sr. VP and Chief HR Officer 168 THIRD AVENUE, WALTHAM MA 02451
Joseph R. Holmes officer: VP & Chief Accounting Officer 168 THIRD AVENUE, WALTHAM MA 02451
Gianluca Pettiti officer: Executive Vice President C/O BUTTERFLY NETWORK, INC., 530 OLD WHITFIELD STREET, GUILFORD CT 06437
Michael A Boxer officer: Sr. VP and Gen. Counsel 168 THIRD AVENUE, WALTHAM MA 02451
Michel Lagarde officer: Senior Vice President 450 LEXINGTON AVE., 31ST FLOOR, NEW YORK NY 10017
Stephen Williamson officer: Sr. VP and CFO 81 WYMAN STREET, WALTHAM MA 02451
Debora L Spar director C/O GOLDMAN, SACHS & CO., 200 WEST STREET, NEW YORK NY 10282
Jennifer M Johnson director C/O FRANKLIN RESOURCES, INC., ONE FRANKLIN PARKWAY, SAN MATEO CA 94403-1906
Jim P Manzi director 81 WYMAN ST, POST OFFICE BOX 9046, WALTHAM MA 02454
Ruby R Chandy director 630 DUNDEE ROAD, SUITE 400, NORTHBROOK IL 60062
Mark P Stevenson officer: Executive Vice President 850 LINCOLN CENTRE DRIVE, FOSTER CITY CA 94404
R. Alexandra Keith director ONE PROCTER & GAMBLE PLAZA, CINCINNATI OH 45202
Peter E Hornstra officer: Chief Accounting Officer 81 WYMAN ST, POST OFFICE BOX 9046, WALTHAM MA 02454
Syed A. Jafry officer: Sr. Vice President 345 E. MAIN STREET, WARSAW IN 46580