We recently published a list of 10 Hottest Mega-Cap Stocks So Far in 2025. In this article, we are going to take a look at where Thermo Fisher (NYSE:TMO) stands against other hottest mega-cap stocks so far in 2025.
Many mega-cap stocks have started 2025 with a bang and we’ll be taking a closer look into each of them to learn why they’ve performed so well already.
If you skim the trends in the past two years, it should be clear that it’s worthwhile to look into mega-cap stocks that have gained a lot already. Investors who defied the conventional wisdom and doubled down on the mega-cap stocks last year have outperformed the benchmark index by a wide margin.
We used a stock screener and sorted public companies — those tagged by the screener as trading in the U.S. — with a market capitalization above $100 billion by their year-to-date (YTD) gains.
Will lightning strike again this year and take these stocks even higher by the end of 2025? It’s not rational to paint all these companies with the same brush, so let’s dive into the nitty gritty of each mega-cap stock in this list.
A workstation in a research lab stocked with laboratory products and services.
Thermo Fisher Scientific Inc (TMO)
- YTD Total Return: 6.21%
If you’ve ever benefited from a diagnostic test at a hospital, or taken medicine for a serious condition, there’s a good chance Thermo Fisher (NYSE:TMO) had a hand in making it possible.
Thermo Fisher (NYSE:TMO)’s recent quarters have revealed steady (though not always spectacular) top-line results. In their third quarter of 2024, they reported around $10.6 billion in revenue — virtually flat over the previous year — and an adjusted EPS of $5.28. The company still projects its annual revenue to land between $42.4 billion and $43.3 billion, with adjusted EPS in the neighborhood of $21.35 to $22.07 for 2024.
On the stock market side, Thermo Fisher (NYSE:TMO) had hovered in the low-to-mid-$500s in early January 2025. In my view, that reticence is pretty standard for a large-cap science services provider when overall biotech and pharmaceutical markets are a bit unpredictable. But the fact that the company is still holding quarterly earnings calls with stable guidance and regularly issuing dividends signals that top management feels comfortable with Thermo Fisher’s cash flow.
Regardless, TMO makes the list due to a recent recovery from a selloff that started after its Q3 report. The stock has mostly traded sideways since 2021 and I see no reason to believe that it will deliver spectacular returns this year.
Overall, TMO ranks 9th on our list of hottest mega-cap stocks so far in 2025. While we acknowledge the potential of TMO as an investment, our conviction lies in the belief that some AI stocks hold greater promise for delivering higher returns and doing so within a shorter time frame.If you are looking for an AI stock that is more promising than TMO but that trades at less than 5 times its earnings, check out our report about the cheapest AI stock.
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Disclosure: None. This article is originally published at Insider Monkey.
