At the time of my April 25, 2025 Thermo Fisher (TMO) – Headwinds Present A Buying Opportunity post, it had just released its Q1 2025 results and FY2025 guidance. In that post, I disclosed the purchase of:
- a few TMO shares @ ~$431.03/share in a 'Core' account in the FFJ Portfolio on April 17, 2025; and
- 100 shares @ $421.37 in a 'Side' account in the FFJ Portfolio on April 24, 2025.
Following these purchases, I held 383 shares and TMO was my 21st largest holding when I completed my 2025 Mid-Year Portfolio Review; TMO's share price at the time of this mid-year review was ~$428.65. In comparison, I held 277 shares and it was my 22nd largest holding when I completed my 2024 FFJ Portfolio Year-End Review; TMO's share price at the time was ~$520.23.
TMO remains out of favor with many investors because of the direct and indirect impact of tariffs on its revenue and profitability. On the Q1 2205 earnings call with analysts, management touched upon the direct impact of tariffs - a ~5% earnings reduction to the FY2025 guidance presented when TMO released its Q4 and FY2024 results earlier this year. The potentially more damaging indirect impact, a slowdown in China-US trade activity, is less certain.
I debated on whether to delay increasing my TMO exposure until such time as I had had the opportunity to review the Q2 and YTD2025 results which are scheduled for release on July 23, 2025. After some deliberation, however, I acquired an additional 75 shares @ $421.9667 share in a 'Core' account in the FFJ Portfolio on July 7. I now hold 458 shares (358 in 'Core' accounts and 100 in a 'Side' account).
Final Thoughts
In my April 25, 2025 post I state:
If TMO's share price increases to ~$520 - still well below ~$550 which I consider to be a fair value - from my recent $421.37 purchase price, this would be a ~23.4% price appreciation. I am prepared to withstand TMO's short-term headwinds for this potential return.
TMO's share price experiences considerable volatility within a year; the current 52 Week Range is $385.46 - $627.88. A good time to acquire shares is when the company appears to have fallen out of favor with most investors. Now appears to be such a time.
NOTE: I intend to review TMO following the release of its Q2 and YTD2025 results.
I wish you much success on your journey to financial freedom!
Note: Please send any feedback, corrections, or questions to [email protected].
Disclosure: I am long TMO.
Disclaimer: I do not know your circumstances and do not provide individualized advice or recommendations. I encourage you to make investment decisions by conducting your research and due diligence. Consult your financial advisor about your specific situation.
I wrote this article myself and it expresses my own opinions. I do not receive compensation for it and have no business relationship with any company mentioned in this article.
