Skip to navigationSkip to main contentSkip to right columnADVERTISEMENTNoor Ul Ain RehmanFri, July 31, 2026 at 9:09 PM GMT+2 4 min readThermo Fisher Scientific Inc. (NYSE:TMO) recently announced strong fiscal Q2 2026 results, with revenue growing 10% to $11.99 billion, GAAP diluted EPS rising 9% to $4.68, and adjusted EPS growing 13% to $6.03. The results prompted several analysts to raise their price targets, but after the post-earnings rally, investors must decide whether the recovery story still has room to run.Bernstein Says Life Science Sector is Improving, Resumes Thermo Fisher Scientific (TMO) CoverageBull CaseDuring the quarter, the company expanded its portfolio with several new analytical instruments, including the Orbitrap Tribrid Apex Mass Spectrometer, Orbitrap Excedion Mass Spectrometer, and Applied Biosystems PowerFlex Thermal Cycler. Continued product innovation has historically supported Thermo Fisher Scientific Inc.'s (NYSE:TMO) pricing power and competitive positioning, particularly in premium laboratory equipment.The improving demand environment also translated into stronger profitability, with adjusted operating margin expanding to 22.8% during the quarter, demonstrating that earnings growth is being driven by both higher sales and operating leverage rather than revenue growth alone.The company's Life Sciences Solutions segment also reinforced the recovery narrative. Reported revenue climbed 13% year over year, while organic revenue rose 3%, led by continued strength in the high-margin bioproduction business. Healthy demand in this segment is particularly encouraging because it reflects ongoing investments and supports management's view that end-market conditions continue to improve.An even more encouraging development was the recovery in Thermo Fisher Scientific Inc.'s (NYSE:TMO) Analytical Instruments segment, which has faced muted demand over the past two years as biotech funding slowed. The business returned to growth during the quarter, reinforcing the view that laboratory spending is beginning to recover. Management also highlighted improving customer activity across pharmaceutical and biotech markets, suggesting the rebound is supported by strengthening end-market demand rather than a short-lived increase in orders.The stronger results also prompted analysts to become more constructive on the stock.. RBC Capital lifted its price target on Thermo Fisher Scientific Inc. (NYSE:TMO) to $580 from $490, stating that the rating suggests confidence in progressive end market improvement and company execution balanced against structural risks to the company's 7% long-term organic growth aspiration. The firm also highlighted broad-based improvement across the business, although it cautioned that management's second-half outlook still appears appropriately conservative.Terms and Privacy PolicyEU DSA contactPrivacy & Cookie SettingsMore Info