5 Best Healthcare Stocks To Buy Now

2. Thermo Fisher Scientific Inc. (NYSE:TMO)

Number of Hedge Fund Holders: 101

Thermo Fisher Scientific Inc. (NYSE:TMO) is a life science and diagnostics equipment provider headquartered in Waltham, Massachusetts, United States. The firm provides several products that are used in laboratories and by companies to manufacture biopharmaceuticals.

Thermo Fisher Scientific Inc. (NYSE:TMO) is one of the more stable stocks out there, as close to 89% of its shares are owned by institutional investors, which leaves the shares immune to wild market swings. Additionally, the firm will benefit from the current wave of the coronavirus pandemic, as it is one of the largest providers of diagnostic tests. These tests saw a rival upgrade its earnings guidance by roughly $1.5 billion earlier in July 2022. Thermo Fisher Scientific Inc. (NYSE:TMO) pays a 30 cent dividend for a 0.2% yield.

Barclays lowered Thermo Fisher Scientific Inc. (NYSE:TMO)’s share price target to $630 from $675 in July 2022. However, the investment bank said that the company’s tools business will weather the recessionary storm. Out of the 912 hedge funds part of Insider Monkey’s Q1 2022 survey, 101 had invested in the company.

Out of these, Ken Fisher’s Fisher Asset Management is Thermo Fisher Scientific Inc. (NYSE:TMO)’s largest investor. It owns 2.2 million shares that are worth $1.3 billion.

Stewart Asset Management mentioned the company in its Q2 2022 investor letter. Here is what the fund said:

“Recently we initiated two new investments. One in Thermo Fischer Scientific (NYSE:TMO), a supplier to the life sciences industry. We have followed the company for many years and the recent downturn in share price gave us a good entry price at which to invest. Thermo has had strong earnings growth for many years and is led by a superb team. The company’s recent acquisitions make it a full-service supplier to the biopharma and biotech industries.”