Core Insights - Agilent Technologies reported Q3 fiscal 2025 earnings of $1.37 per share, exceeding the Zacks Consensus Estimate by 0.74% and reflecting a 3.8% year-over-year increase [1][9] - Revenues reached $1.74 billion, surpassing the Zacks Consensus Estimate by 4.6%, with a reported increase of 10.1% and an 8% rise on a core basis year over year [1][9] Revenue Breakdown - The Life Sciences and Diagnostics Markets Group (LDG) generated $670 million, accounting for 38.6% of total revenues, with a reported increase of 14.5% and a core increase of 9% year over year [3] - The Agilent CrossLab Group (ACG) reported revenues of $744 million, representing 42.8% of total revenues, with a reported growth of 7.7% and an 8% core growth year over year [4] - The Applied Markets Group (AMG) saw revenues increase by 7.3% year over year to $324 million, accounting for 18.6% of total revenues, with a 7% core growth [4] Operating Results - The non-GAAP operating margin for Q3 was 25.1%, down 220 basis points year over year [7] - LDG's operating margin decreased to 17.6%, ACG's to 33.3%, and AMG's to 21.9%, reflecting declines of 190 bps, 260 bps, and 130 bps respectively [7] Expenses - Research and development (R&D) expenses on a non-GAAP basis were $109 million, down 3.5% from the prior year, while selling, general and administrative (SG&A) expenses rose to $374 million, marking a 2.2% increase [6] - As a percentage of revenues, R&D expenses fell to 6.3%, and SG&A expenses decreased to 21.6% year over year [6] Guidance - For Q4 fiscal 2025, Agilent expects revenues between $1.822 billion and $1.842 billion, indicating a rise of 7.1% to 8.3% on a reported basis [11] - For the full fiscal year 2025, the company anticipates revenues between $6.91 billion and $6.93 billion, reflecting an increase of 6.2% to 6.5% on a reported basis [12]

Financial Performance - Q3 FY2025 - Revenue reached $1.74 billion, exceeding guidance by over $60 million[9] - Reported revenue growth was +10.1%[7, 11] - Core revenue growth was +6.1%[7, 16] - EPS was $1.37, a +4% year-over-year increase[7, 9] - Operating margin was 25.1%[7, 9] FY2025 Outlook - Core growth outlook raised to 4.5%[9, 14] - Revenue guidance increased by $150 million at the midpoint[9] - Net Revenue guidance is $6.91 to $6.93 billion[34] - EPS guidance is $5.56 to $5.59[34] Segment Performance - Q3 FY2025 - LDG (Life Sciences and Diagnostics Group) core growth was +14%[18] - ACG (Agilent CrossLab Group) core growth was +5%[18] - AMG (Agilent Molecular Spectroscopy Group) core growth was +7%[18] Revenue Breakdown - Americas accounted for 39% of Agilent's revenue[23] - Europe accounted for 28% of Agilent's revenue[23] - Asia-Pacific accounted for 33% of Agilent's revenue[23]

Core Viewpoint - Thermo Fisher Scientific Inc. has shown a positive trend in its stock performance, with shares increasing by approximately 1.8% since the last earnings report, outperforming the S&P 500 [1][2]. Financial Performance - The second-quarter 2025 adjusted earnings per share (EPS) for Thermo Fisher was $5.36, exceeding the Zacks Consensus Estimate by 2.7%, although it represented a 0.2% decrease year over year [3]. - Total revenues for the quarter rose by 2.9% year over year to $10.85 billion, surpassing the Zacks Consensus Estimate by 1.9% [4]. - Organic revenues increased by 2% year over year [4]. Segment Analysis - Life Sciences Solutions segment (23% of total revenues) saw a revenue increase of 6.1% year over year to $2.50 billion, exceeding estimates [5]. - Analytical Instruments segment (15.9% of total revenues) experienced a revenue decline of 3% year over year to $1.73 billion, missing estimates [6]. - Specialty Diagnostics segment (10.4% of total revenues) reported a revenue increase of 1.5% year over year to $1.13 billion, falling short of estimates [7]. - Laboratory Products and Biopharma Services segment (55.2% of total revenues) had revenues rise by 4.1% year over year to $5.99 billion, exceeding estimates [8]. Margin Performance - Gross margin for the second quarter was 41.2%, a contraction of 83 basis points year over year, attributed to a 4.4% increase in the cost of revenues [9]. - Selling, general, and administrative expenses rose by 5.4% to $1.78 billion, while research and development expenses increased by 3.8% to $352 million [9]. - The adjusted operating margin was 21.6%, reflecting a contraction of 124 basis points [9]. Financial Position - At the end of the second quarter of 2025, cash and cash equivalents and short-term investments totaled $6.39 billion, up from $5.95 billion at the end of the first quarter [10]. - Cumulative net cash from operating activities was $2.12 billion, down from $3.21 billion a year ago [10]. - The company has a consistent dividend-paying history, with a five-year annualized dividend growth of 14.86% [10]. Market Sentiment - There has been a downward trend in estimates for Thermo Fisher in the past month [11]. - The company currently holds a subpar Growth Score of D and a Momentum Score of F, with a value grade of C, placing it in the middle 20% for this investment strategy [12]. - Estimates have been trending downward, indicating a potential shift in market sentiment, with a Zacks Rank of 3 (Hold) suggesting an expectation of in-line returns in the coming months [13].

Core Insights - The Health Care Select Sector SPDR ETF (XLV) is designed to provide broad exposure to the Healthcare - Broad segment of the equity market, launched on December 16, 1998 [1] - XLV is the largest ETF in the Healthcare - Broad segment, with assets exceeding $32.7 billion [3] - The ETF has a low annual operating expense of 0.08% and a 12-month trailing dividend yield of 1.8% [5] Index and Holdings - The Health Care Select Sector Index includes companies from various industries such as pharmaceuticals, health care providers & services, health care equipment & supplies, biotechnology, life sciences tools & services, and health care technology [4] - Eli Lilly + Co (LLY) is the largest holding, accounting for approximately 12.82% of total assets, with the top 10 holdings representing about 55.33% of total assets [7][6] Performance Metrics - As of August 14, 2025, XLV has experienced a loss of about 2.24% year-to-date and a decline of approximately 10.27% over the past year [8] - The ETF has traded between $128.77 and $157.24 in the last 52 weeks, with a beta of 0.62 and a standard deviation of 14.03% over the trailing three-year period, indicating medium risk [8] Alternatives and Rankings - XLV holds a Zacks ETF Rank of 1 (Strong Buy), indicating strong expected returns based on various factors [9] - Other ETFs in the healthcare space include iShares Global Healthcare ETF (IXJ) with $3.72 billion in assets and Vanguard Health Care ETF (VHT) with $15.11 billion in assets, with expense ratios of 0.41% and 0.09% respectively [10]

Group 1 - The stock is currently trading at 19x estimated EPS for 2026, indicating that the market valuation appears to be accurate based on Bloomberg consensus estimates [1] Group 2 - The analysis emphasizes a focus on macroeconomic factors, portfolio management, and equity research, highlighting the importance of economic cycles and monetary policy in investment strategies [1]

Group 1 - The company assigned a Buy rating to Thermo Fisher Scientific Inc. (NYSE: TMO) in October 2024, anticipating a market recovery in 2025 [1] - The overall market has shown some early signs of recovery but remains weak this year [1] - The company raised its position in TMO through stock ownership, options, or other derivatives [1]

Health Care Select Sector SPDR ETF (XLV) can be played to tap the moderate momentum, although Trump's tax bill may lead millions of Americans to lose healthcare coverage. The fund has 30% exposure to the pharma industry, followed by 22.32% exposure to the healthcare providers & services industry, about 22% focus on Health Care Equipment & Supplies, 17.1% focus on the biotech sector and 8.7% focus on the life sciences tools & services. The fund sports a Zacks Rank #1 (Strong Buy). iShares U.S. Healthcare Pro ...

For the quarter ended June 2025, Avantor, Inc. (AVTR) reported revenue of $1.68 billion, down 1.1% over the same period last year. EPS came in at $0.24, compared to $0.25 in the year-ago quarter.The reported revenue compares to the Zacks Consensus Estimate of $1.68 billion, representing a surprise of +0.38%. The company delivered an EPS surprise of -4%, with the consensus EPS estimate being $0.25.While investors closely watch year-over-year changes in headline numbers -- revenue and earnings -- and how they ...

For the quarter ended June 2025, Revvity (RVTY) reported revenue of $720.28 million, up 4.1% over the same period last year. EPS came in at $1.18, compared to $1.22 in the year-ago quarter.The reported revenue compares to the Zacks Consensus Estimate of $711.27 million, representing a surprise of +1.27%. The company delivered an EPS surprise of +3.51%, with the consensus EPS estimate being $1.14.While investors closely watch year-over-year changes in headline numbers -- revenue and earnings -- and how they ...

Thermo Fisher Scientific (TMO) reported $10.86 billion in revenue for the quarter ended June 2025, representing a year-over-year increase of 3%. EPS of $5.36 for the same period compares to $5.37 a year ago. Shares of Thermo Fisher have returned +5.8% over the past month versus the Zacks S&P 500 composite's +5.9% change. The stock currently has a Zacks Rank #3 (Hold), indicating that it could perform in line with the broader market in the near term. Revenue Growth - Organic: 2% versus the five-analyst avera ...