Thermo Fisher Scientific Inc — Earnings Quality Grade F
TMO · Healthcare
Major red flags
Screening Summary
Financial Trends
Revenue & Net Income ($B)
Margins (%)
18-Point Screening
Revenue Quality
DSO 73 days, change +3 days YoY
AR growth 8.7% vs revenue growth 3.9%
Revenue 3.9%, CFFO -9.8%. Cash follows revenue
Expense Quality
Inventory 9.0% vs COGS 4.5%. Normal
CapEx growth 8.9% vs revenue 3.9%. Normal
SG&A/Gross Profit = 47.9%. Normal
Gross margin 40.9%, change -0.3pp. Stable
Cash Flow Quality
CFFO/NI = 1.17. Profits backed by cash
FCF $6.3B, FCF/NI = 0.94
Accruals ratio = -1.0%. Low accruals
Cash $10.1B covers only 26% of debt $39.4B
Balance Sheet Health
Goodwill+Intangibles $65.2B = 122% of equity. Over 50%
Debt/EBITDA = 3.4x. Healthy
Other assets grew 30.7% vs revenue 3.9%
No write-off data
Acquisition Risk
FCF after acquisitions positive
Goodwill+Intangibles change 6% YoY. Normal
Manipulation Score
M-Score = -2.46 (< -2.22). Unlikely manipulator
Beneish M-Score
Altman Z-Score
Generated from public financial data using forensic accounting frameworks. Not investment advice. Data: Yahoo Finance · 2026-04-09