Thermo Fisher Scientific recommended by BofA after recent downswing

 

• Bank of America thinks the recent sell-off in Thermo Fisher Scientific (TMO -0.1%) after a wave of positive COVID-19 vaccine news doesn't make sense.
• "We continue to stress that TMO is a major beneficiary from COVID-19 therapeutics and vaccines manufacturing, and has extensive exposure via its bioprocessing segments, fill/finish capabilities, and supply chain," notes the firm.
• "As far as the view that a successful vaccine will result in sharp drop-off in COVID-19 testing, we also disagree and believe that the ongoing wave of COVID-19 across the US and Europe (and commentary from DGX and at the AMP 2020 meeting this week) illustrates that COVID-19 testing products sold by TMO are still very much in demand and will likely remain so at least through 1H21, particularly as the COVID vaccine manufacturing and distribution ramp will take time."
• BofA keeps a Buy rating and price objective of $535 in place.
• https://seekingalpha.com/news/3638046-thermo-fisher-scientific-recommended-buy-bofa-after-recent-downward-swing