Boston Scientific (BSX) AI Stock Analysis

• Market Cap: $138.71B
• Dividend Yield: N/A
• Average Volume (3M): 9.35M
• Price to Earnings (P/E): 49.1
• Beta (1Y): 0.85
• Revenue Growth: 21.62%
• EPS Growth: 54.80%
• Country: US
• Employees: 53,000
• Sector: Healthcare
• Sector Strength: 45
• Industry: Medical - Devices
• EPS (TTM): 0.75
• Shares Outstanding: 1,483,019,800
• 10 Day Avg. Volume: 12,621,115
• 30 Day Avg. Volume: 9,349,795
• PEG Ratio: 4.27
• Price to Book (P/B): 6.04
• Price to Sales (P/S): 7.85
• P/FCF Ratio: 49.69
• Enterprise Value/Market Cap: 1.06
• Enterprise Value/Revenue: 7.60
• Enterprise Value/Gross Profit: 11.68
• Enterprise Value/Ebitda: 29.27
• 1Y Price Target: $122.00
• Price Target Upside: 32.80% Upside
• Rating Consensus: Strong Buy
• Number of Analyst Covering: 17
• EPS Forecast (FY): N/A
• Revenue Forecast (FY): N/A

• Rating: 72 Outperform
• Price Target: $101.00 ▲(9.94% Upside)

BSX scores well on financial performance and earnings-call momentum (strong growth, rising margins, improving cash generation, and raised EPS guidance). This is tempered by clearly bearish technicals (below key moving averages with weak momentum) and a high P/E that limits valuation support, with added M&A integration/regulatory risk from the Penumbra deal.

Positive Factors

Revenue and profitability momentum

Sustained top-line expansion and rising net margins indicate durable operational improvement. Higher revenues with expanding margins support reinvestment in R&D and product commercialization, improving the company's ability to fund growth initiatives and service leverage over the next several quarters.

Strong cash generation and conversion

Robust free cash flow and high cash conversion of earnings show persistent internal funding capacity. This strengthens financial flexibility for organic investment, bolt-on M&A, and debt management, reducing dependency on external financing in the medium term.

Market-leading product momentum and diversified portfolio

Rapid growth in key franchises (WATCHMAN, EP/FARAPULSE) demonstrates strong product-market fit and diversified revenue drivers across cardiovascular and electrophysiology. Durable product leadership supports sustained adoption, pricing power, and cross-selling across clinical segments.

Negative Factors

Large Penumbra acquisition raises financing and execution risk

A ~$14.5B acquisition materially increases near-term financing and integration complexity. The large cash/debt funding needs and initial EPS dilution elevate execution and leverage risk over the next 2–6 months, making successful integration and synergies critical to realize strategic benefits.

Rising total debt and operating cash-flow dynamics

Higher absolute debt levels combined with operating cash flow still trailing net income create sensitivity to execution. Continued earnings and cash-flow improvement are needed to prevent leverage creep, particularly with upcoming acquisition-driven funding needs.

Regional and product-specific headwinds

Documented EMEA and product disruptions (ACURATE discontinuation, ERP backorders) plus softness in Urology and China VBP pressures indicate structural and market-specific risks. These can persist across quarters, pressuring regional growth and requiring remediation to restore consistent international performance.

Boston Scientific Business Overview & Revenue Model

Company Description

Boston Scientific Corporation develops, manufactures, and markets medical devices for use in various interventional medical specialties worldwide. It operates through three segments: MedSurg, Rhythm and Neuro, and Cardiovascular. The company offers devices to diagnose and treat gastrointestinal and pulmonary conditions; devices to treat various urological and pelvic conditions; implantable cardioverter and implantable cardiac resynchronization therapy defibrillators; pacemakers and implantable cardiac resynchronization therapy pacemakers; and remote patient management systems. It also provides medical technologies to diagnose and treat rate and rhythm disorders of the heart comprising 3-D cardiac mapping and navigation solutions, ablation catheters, diagnostic catheters, mapping catheters, intracardiac ultrasound catheters, delivery sheaths, and other accessories; spinal cord stimulator systems for the management of chronic pain; indirect decompression systems; and deep brain stimulation systems. In addition, the company offers interventional cardiology products, including drug-eluting coronary stent systems used in the treatment of coronary artery disease; percutaneous coronary interventions products to treat atherosclerosis; intravascular catheter-directed ultrasound imaging catheters, fractional flow reserve devices, and systems for use in coronary arteries and heart chambers, as well as various peripheral vessels; and structural heart therapies. Further, it provides stents, balloon catheters, wires, and atherectomy systems to treat arterial diseases; thrombectomy and acoustic pulse thrombolysis systems, wires, and stents to treat venous diseases; and peripheral embolization devices, radioactive microspheres, ablation systems, cryotherapy ablation systems, and micro and drainage catheters to treat cancer. The company was incorporated in 1979 and is headquartered in Marlborough, Massachusetts.

How the Company Makes Money

Boston Scientific generates revenue primarily through the sale of its medical devices, which are used in a variety of procedures across multiple specialties. The company operates through several key segments, including Cardiovascular, Rhythm Management, MedSurg, and Neuromodulation, each contributing to its overall revenue. Major revenue streams include sales of implantable devices, surgical tools, and diagnostic equipment. Additionally, Boston Scientific benefits from strategic partnerships and collaborations with healthcare providers, hospitals, and research institutions, which enhance its distribution capabilities and expand its market reach. The company also invests in research and development to innovate and introduce new products, which serves as a significant driver of future revenue growth.

Boston Scientific Financial Statement Overview

Summary

Strong and improving fundamentals: revenue expanded to $16.7B (2024) and $19.4B (TTM), profitability strengthened (net margin 11.1% in 2024 and 14.4% TTM; EBIT margin 15.9% in 2024 and 19.0% TTM), and free cash flow rose to $3.8B TTM with healthy cash conversion. Leverage is manageable (debt/equity ~0.54 TTM) but total debt has increased (~$12.0B TTM) and operating cash flow has been below net income (though improving in TTM).

Income Statement

BSX shows a strong profitability and growth profile. Revenue expanded from $9.9B (2020) to $16.7B (2024), and reached $19.4B in TTM (Trailing-Twelve-Months), with growth accelerating to 4.6% in TTM versus ~0.2% in 2024. Profitability has improved meaningfully: net margin rose from a loss in 2020 to 11.1% in 2024 and 14.4% in TTM, alongside higher operating profitability (EBIT margin 15.9% in 2024 and 19.0% in TTM). A key watch item is some variability in gross margin (down in 2024 vs. 2023, then higher again in TTM), suggesting periodic mix or cost pressures even as bottom-line execution remains strong.

Balance Sheet

The balance sheet looks solid with moderate leverage and improving returns. Debt relative to equity is consistently around ~0.49–0.57 historically and 0.54 in TTM, indicating manageable balance sheet risk for a medical devices business. Shareholders’ equity has grown from $15.3B (2020) to $21.8B (2024) and $23.4B in TTM, supporting financial flexibility. Returns on equity have strengthened from negative in 2020 to 8.5% in 2024 and 12.8% in TTM, signaling better profit generation. The main weakness is that total debt has also climbed (to ~$12.0B in TTM), so continued earnings and cash flow momentum is important to keep leverage from drifting higher.

Cash Flow

Cash generation is strong and improving. Operating cash flow increased from $1.5B (2020) to $3.4B (2024) and $4.6B in TTM, while free cash flow rose to $2.6B (2024) and $3.8B in TTM, with a sharp 14.0% free-cash-flow growth rate in TTM. Cash conversion is healthy: free cash flow is ~77% of net income in 2024 and ~82% in TTM, indicating earnings are translating into cash. A mild concern is that operating cash flow remains below net income (coverage ~0.54 in 2024 and ~0.89 in TTM), though the trend is improving and nearing parity in the most recent period.

Breakdown	TTM	Dec 2024	Dec 2023	Dec 2022	Dec 2021	Dec 2020
Income Statement
Total Revenue	19.35B	16.75B	14.24B	12.68B	11.89B	9.91B
Gross Profit	12.59B	10.27B	8.83B	7.71B	7.46B	5.58B
EBITDA	5.02B	3.94B	3.45B	2.74B	2.52B	1.51B
Net Income	2.79B	1.85B	1.59B	698.00M	1.04B	-82.00M
Balance Sheet
Total Assets	42.71B	39.40B	35.14B	32.47B	32.23B	30.78B
Cash, Cash Equivalents and Short-Term Investments	1.27B	414.00M	865.00M	928.00M	1.93B	1.73B
Total Debt	12.05B	11.15B	9.49B	9.28B	9.45B	9.54B
Total Liabilities	19.08B	17.39B	15.61B	14.90B	15.61B	15.45B
Stockholders Equity	23.39B	21.77B	19.28B	17.57B	16.62B	15.33B
Cash Flow
Free Cash Flow	3.77B	2.65B	1.70B	914.00M	1.32B	1.13B
Operating Cash Flow	4.63B	3.44B	2.50B	1.53B	1.87B	1.51B
Investing Cash Flow	-5.83B	-5.69B	-2.57B	-2.01B	-1.60B	-411.00M
Financing Cash Flow	3.00M	1.81B	5.00M	-548.00M	-95.00M	293.00M

Boston Scientific Technical Analysis

• Technical Analysis Sentiment: Negative
• Last Price: 91.87
• 50DMA: Negative
• 100DMA: Negative
• 200DMA: Negative
• MACD: Negative
• RSI: Neutral
• STOCH: Neutral

Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For BSX, the sentiment is Negative. The current price of 91.87 is below the 20-day moving average (MA) of 93.75, below the 50-day MA of 95.25, and below the 200-day MA of 100.51, indicating a bearish trend. The MACD of -0.88 indicates Negative momentum. The RSI at 43.18 is Neutral, neither overbought nor oversold. The STOCH value of 62.01 is Neutral, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Negative sentiment for BSX.

Boston Scientific Peers Comparison

Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
MDT	80 Outperform	$132.00B	27.81	9.81%	2.76%	5.34%	13.15%
EW	79 Outperform	$47.21B	34.64	13.59%	―	0.19%	65.58%
ZBH	73 Outperform	$17.26B	21.55	6.41%	1.05%	5.47%	-23.03%
BSX	72 Outperform	$138.71B	49.14	12.66%	―	21.62%	54.80%
SYK	72 Outperform	$141.33B	44.00	15.08%	0.95%	10.95%	-18.32%
ABT	70 Outperform	$190.06B	29.30	―	1.88%	6.37%	142.39%
Sector *	51 Neutral	$7.86B	-0.30	-43.30%	2.27%	22.53%	-2.21%

Boston Scientific Corporate Events

Boston Scientific to Acquire Penumbra in Cash-Stock Merger

On January 14, 2026, Boston Scientific entered into a definitive agreement to acquire Penumbra, Inc. via a merger in which Penumbra will become a wholly owned subsidiary, with Penumbra shareholders able to elect either cash of $374 per share or 3.8721 Boston Scientific shares per Penumbra share, subject to proration that targets roughly 73% cash and 27% stock. The deal includes detailed treatment of Penumbra stock options and restricted stock units, customary closing conditions such as antitrust and other regulatory approvals, Penumbra shareholder approval, stock exchange listing of new Boston Scientific shares, and mutual covenants restricting Penumbra from soliciting competing bids except under a fiduciary out, alongside substantial reverse and standard termination fees that underscore both parties’ commitment and highlight regulatory and competitive risks for investors and other stakeholders.

The most recent analyst rating on (BSX) stock is a Buy with a $121.00 price target. To see the full list of analyst forecasts on Boston Scientific stock, see the BSX Stock Forecast page.

Boston Scientific Approves 2026 Bonus Plan

On November 18, 2025, Boston Scientific‘s Board of Directors approved the 2026 Annual Bonus Plan and two performance share programs, aiming to align executive compensation with company performance and shareholder interests. The bonus plan and performance share programs, effective from January 1, 2026, to December 31, 2028, are designed to incentivize employees based on company-wide metrics such as global sales, earnings, and sustainability goals, with potential impacts on executive compensation through policies like the Dodd-Frank Clawback Policy.

The most recent analyst rating on (BSX) stock is a Buy with a $132.00 price target. To see the full list of analyst forecasts on Boston Scientific stock, see the BSX Stock Forecast page.