StockCall Review on Agilent Technologies and Thermo Fisher: Medical Research Stocks Announce Mild to Good Results

Feb 19, 2013, 08:00 ET from

LONDON, February 19, 2013 /PRNewswire/ --

Medical research companies are on the back foot. With the looming fear of Sequestration, the industry provides lackluster guidance. However, at the very same time, the companies are also planning to neutralize the impact of spending cuts by diversifying themselves. Agilent Technologies Inc. (NYSE: A) cut back its forecast on account of spending cuts while Thermo Fisher Scientific Inc. (NYSE: TMO) is looking to grow through acquisitions and is looking at Life Technologies for this purpose. The sector is likely to face volatile demand for the foreseeable future. StockCall analysts initiated preliminary technical research on Agilent Technologies and Thermo Fisher Scientific. These free reports are accessible by signing today at

Thermo Fisher Announces Q4 Results  

Thermo Fisher posted higher profits for its fourth quarter. Its net earnings increased 30 percent to $1.36 per share, beating consensus estimates of $1.28 per share in EPS. The company expects its 2013 EPS to be in the range of $5.32 and $5.46 per share while analysts expect the company to earn $5.43 in net income per share. The stock reacted positively to the robust earnings announcement. Register now to download the free research on Thermo Fisher Scientific Inc. at  

However, Thermo Fisher is anticipated to feel the negative impact of Sequestration as many of its clients may have to cut back their spending. The company also received flak for its faulty antibiotic test kits. The British Medical Journal claimed that the kit does not contain the right amount of antibiotic, while the company refuted the allegation. The company sales are likely to be negatively impacted by this development.

Thermo Fisher's stock grew 16 percent on a Year to Date basis. The company is not very big on dividend front as it offers only 0.81 percent dividend yield ration. However, it enhances its shareholders' value by buying back its shares. The company is looking to repurchase up to $600 million of its shares this year. Thermo Fisher Scientific Inc. is also rumored to be interested in acquiring Life Technologies. The acquisition may open new avenues for the company, providing fillip to its stock price.

Agilent Collaborates with Pfizer

Agilent Technologies recently inked a new deal with Pfizer for new developments in the field of companion diagnostics. The deal will help the company in tapping diagnostics medicine which is considered to have high potential. Agilent announced weak quarterly results and has cut its forecast. The new deal may help it to stem the tide. The free technical analysis on Agilent Technologies Inc. is available by signing up at

For its fiscal first quarter, the company reported 22 percent decline in its net income to 51 cents per share. Its adjusted net income stood at 63 cents per share. Its net revenue for the quarter showed minor improvement of 3 percent to touch $1.68 billion figure. However, it lagged behind $1.69 billion estimate for its revenue. Agilent also slashed its forecast. Its fiscal 2013 adjusted net income is likely to be in the range of $2.70 to $3 per share, while its earlier forecast stood in the range of $2.80 and $3.10 per share. The company also reduced its full year revenue expectations from the range of $7 billion-$7.2 billion to $6.9 billion-$7.1 billion.

Agilent Technologies' stock saw a sharp decline after its guidance cut. However, the impact seems to have been priced by the market. With its new deal in place, the company's stock offers a good upward potential.

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