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Is Thermo Fisher Scientific (TMO) Stock Outpacing Its Medical Peers This Year?

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The Medical group has plenty of great stocks, but investors should always be looking for companies that are outperforming their peers. Has Thermo Fisher Scientific (TMO - Free Report) been one of those stocks this year? Let's take a closer look at the stock's year-to-date performance to find out.

Thermo Fisher Scientific is a member of our Medical group, which includes 1112 different companies and currently sits at #11 in the Zacks Sector Rank. The Zacks Sector Rank considers 16 different groups, measuring the average Zacks Rank of the individual stocks within the sector to gauge the strength of each group.

The Zacks Rank is a successful stock-picking model that emphasizes earnings estimates and estimate revisions. The system highlights a number of different stocks that could be poised to outperform the broader market over the next one to three months. Thermo Fisher Scientific is currently sporting a Zacks Rank of #2 (Buy).

Within the past quarter, the Zacks Consensus Estimate for TMO's full-year earnings has moved 6% higher. This is a sign of improving analyst sentiment and a positive earnings outlook trend.

According to our latest data, TMO has moved about 39.8% on a year-to-date basis. At the same time, Medical stocks have lost an average of 7.4%. As we can see, Thermo Fisher Scientific is performing better than its sector in the calendar year.

Another Medical stock, which has outperformed the sector so far this year, is West Pharmaceutical Services (WST - Free Report) . The stock has returned 58.8% year-to-date.

In West Pharmaceutical Services' case, the consensus EPS estimate for the current year increased 3.2% over the past three months. The stock currently has a Zacks Rank #2 (Buy).

To break things down more, Thermo Fisher Scientific belongs to the Medical - Instruments industry, a group that includes 100 individual companies and currently sits at #178 in the Zacks Industry Rank. Stocks in this group have gained about 8% so far this year, so TMO is performing better this group in terms of year-to-date returns.

In contrast, West Pharmaceutical Services falls under the Medical - Dental Supplies industry. Currently, this industry has 21 stocks and is ranked #106. Since the beginning of the year, the industry has moved +13.5%.

Going forward, investors interested in Medical stocks should continue to pay close attention to Thermo Fisher Scientific and West Pharmaceutical Services as they could maintain their solid performance.


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