1、M IdeaStrong 2Q in challenging macro.TMO reported a top and bottom line beat with org.growth+$75M ahead of expectations.2025 guidance was raised to reflect the 2Q beat and improved FX assumption while leaving cushion for upside(notably not including any improvement to tariff outlook for 2H despite a

2、n improved landscape).Commentary on the biopharma end market was also generally positive.One knock on the quarter was a soft 1-2 yr guide by mgmt for expectations of 3-6%org.growth in FY 2026/2027.While the midterm guide comes in roughly in line with Street estimates for+4.8/+5.6%org growth for 2026

3、/2027 respectively,we think buyside expectations may have already been at/below these levels and as a result the stock is reacting positively today to an otherwise strong quarter.Looking ahead,while acknowledging significant near-term uncertainty across Tools end markets,we continue to be confident

4、that TMOs proven strategy of innovation,trusted partner status and best-in-class commercial engine,coupled with PPI,well positions the company to drive above-peer/-market growth and differentiated earnings performance,with our Overweight thesis reinforced following todays print.We increase our PT to

5、$560 from$550,using a target EV/26E EBITDA multiple of 20.5x(a premium over comps trading at 18x,inline with our prior view).Whats Changed Thermo Fisher Scientific Inc.(TMO.N)FromToPrice Target$550.00$560.00Thermo Fisher Scientific Inc.|North America2Q25 Review:Operational Excellence Shines in Chall

6、enging MacroSolid 2Q driven by strong execution,recovering biopharma demand,and share gains from innovation.FY25 guide raised and framing of 3Y growth outlook help allay concerns/provide clarity.Reiterate OW on diversified portfolio,scale,and strong execution.Morgan Stanley&Co.LLCPatrick A.Wood,CFAE