UBS upgraded Thermo Fisher Scientific (TMO) to Buy from Neutral. The bank raised its price target for the stock to $730 from $540.
Analysts project organic revenue growth will reach 5% to 6% by 2027. The firm expects operating margins to expand alongside double-digit earnings per share growth.
Growth drivers include stabilizing market conditions in China and steady government funding. Artificial intelligence demand in industrial and applied markets is also fueling the outlook.
Reshoring and bioprocessing tool demand should support mid-to-high single-digit revenue growth. The upgrade aligns with a broader trend of analysts raising earnings estimates for the company.