1、 Disclosures&Disclaimer This report must be read with the disclosures and the analyst certifications in the Disclosure appendix,and with the Disclaimer,which forms part of it.Issuer of report:HSBC Securities and Capital Markets(India)Private Limited View HSBC Global Research at:https:/ Market got th

2、e anticipated cut to 2026-27 growth guidance,lifting a key overhang on the stock,we contend that 2025 guidance raise supports the bull case,but questions persist about the medium term and growth beyond 2027 Cut TP to USD510(from USD540)on lower estimates;downgrade to Hold(from Buy)on a balanced risk

3、-reward setup Structural growth lower or a hiatus?:Three key updates from the analyst call post results:1)outlook for 2025 raised for both revenue and adj EPS,while indicating theres room for upside if a favorable tariff event plays out;2)new medium-term guidance for 2026/27,expecting to grow the to

4、p line by 3-6%organically along with 50-70bp of margin expansion per year,and return to 7%+growth beyond 2027;3)the current CFO is to retire in March 2026 to be succeeded by an internal candidate.We argued that the market was anticipating a downward revision in structural growth rates for Thermo in

5、our report Life Science Research and Tools:2026 growth the ongoing debate in Life Sciences,14 July 2025.While investors got the anticipated“clear the decks”event,we think the ongoing debate around whether structural growth is lower,or its just a hiatus for the subsector,persists.Danahers(DHR US,CMP

6、USD197.89,Buy)2026 guidance and Merck KGaAs(MRK GR,CMP EUR112.30,Buy)CMD both in October become key catalysts,we contend.Model update:Post the Q2 beat,we increase our 2025 adj EPS estimate by 1%.Our organic revenue growth of c2%in 2025e remains unchanged.We now model 4.5%organic growth in 2026e foll