Boston Scientific (BSX) AI Stock Analysis

• Market Cap: $157.13B
• Dividend Yield: N/A
• Average Volume (3M): 7.77M
• Price to Earnings (P/E): 63.3
• Beta (1Y): 0.83
• Revenue Growth: 21.45%
• EPS Growth: 36.19%
• Country: US
• Employees: 53,000
• Sector: Healthcare
• Sector Strength: 41
• Industry: Medical - Devices
• EPS (TTM): 0.75
• Shares Outstanding: 1,479,446,300
• 10 Day Avg. Volume: 8,922,123
• 30 Day Avg. Volume: 7,772,934
• PEG Ratio: 2.81
• Price to Book (P/B): 7.12
• Price to Sales (P/S): 0.00
• P/FCF Ratio: 55.06
• Enterprise Value/Market Cap: 1.07
• Enterprise Value/Revenue: 5.51
• Enterprise Value/Gross Profit: 32.64
• Enterprise Value/Ebitda: -219.76
• 1Y Price Target: $125.04
• Price Target Upside: 17.81% Upside
• Rating Consensus: Strong Buy
• Number of Analyst Covering: 24

• Rating: 80 Outperform
• Price Target: $124.00 ▲(16.83%Upside)

Boston Scientific's overall stock score reflects its strong financial performance and positive earnings outlook, supported by significant growth in key segments. Technical analysis shows bullish momentum, but valuation concerns due to a high P/E ratio could limit upside potential. Strategic investments and geographical expansion bolster long-term prospects despite short-term challenges from product discontinuation.

Positive Factors

Financial Performance

Boston Scientific delivered a standout performance, with net sales growth and organic growth above the high end of the prior guide, supported by strong growth in EP and WATCHMAN.

Growth Strategy

Management continues to effectively execute on their growth strategy across multiple lines of business, particularly EP and WATCHMAN, where FARAPULSE continues to maintain a dominant leadership position.

Revenue and Earnings

BSX reported Q2 revenue and EPS ahead of expectations due to strong performance in PFA and Watchman products.

Negative Factors

Gross Margin

BSX's gross margin was down due to inventory charges related to the ACCURATE discontinuation.

Inventory Charges

The adjusted income statement had a $100m impact in Q2 with the majority of this being inventory charges and the rest being sales returns.

Product Discontinuation

The discontinuation of Acurate is expected to negatively impact Interventional Cardiology growth.

Boston Scientific Business Overview & Revenue Model

Company Description

Boston Scientific Corporation (BSX) is a leading global medical technology company that develops, manufactures, and markets a wide range of medical devices used in various interventional medical specialties. The company operates in three main sectors: Cardiovascular, Rhythm Management, and MedSurg. Its core products include stents, catheters, pacemakers, implantable cardioverter-defibrillators, and other devices used in interventional cardiology, electrophysiology, endoscopy, urology, and pelvic health.

How the Company Makes Money

Boston Scientific makes money primarily through the sale of its medical devices and technologies across its different business sectors. The company generates revenue from hospitals, clinics, and health systems that purchase its products for use in various medical procedures. Key revenue streams for Boston Scientific include its Cardiovascular segment, which offers products for coronary interventions, structural heart therapies, and peripheral interventions; the Rhythm Management segment, providing devices for cardiac rhythm disorders; and the MedSurg segment, which includes products for endoscopy, urology, and pelvic health. Additionally, Boston Scientific benefits from strategic partnerships and acquisitions that enhance its product portfolio and expand its market presence, contributing to its overall earnings.

Boston Scientific Financial Statement Overview

Summary

Boston Scientific demonstrates robust financial performance with strong revenue growth, profitability, and cash flow management. The company's solid balance sheet, with a good debt-to-equity ratio and strong equity returns, supports strategic growth in the medical devices sector. Further debt reduction could enhance resilience.

Income Statement

Boston Scientific has demonstrated robust growth in its revenue, with a notable TTM (Trailing-Twelve-Months) increase of 4.81% compared to the previous year. The company maintains strong gross and net profit margins at 67.15% and 11.57% respectively, indicating efficient cost management and profitability. The EBIT and EBITDA margins are solid at 17.52% and 21.65%, reflecting operational efficiency. Overall, the company shows a positive growth trajectory in the medical devices industry.

Balance Sheet

The balance sheet reflects a healthy financial position with a Debt-to-Equity ratio of 0.51, showing manageable leverage. The Return on Equity (ROE) stands at a strong 9.15%, indicating effective utilization of shareholders' equity. The Equity Ratio is 55.33%, suggesting a stable asset base supported by equity. Overall, the company maintains a strong balance between debt and equity, although there is room for improvement in reducing debt levels.

Cash Flow

Boston Scientific exhibits strong cash flow management with a Free Cash Flow growth rate of 8.62%, indicating improved cash generation. The Operating Cash Flow to Net Income ratio is 1.88, demonstrating the company's ability to convert income into cash efficiently. The Free Cash Flow to Net Income ratio is 1.41, reflecting good cash flow productivity. Overall, the company shows robust cash flow health, supporting its financial stability and operational needs.

Breakdown	Dec 2024	Dec 2023	Dec 2022	Dec 2021	Dec 2020
Income Statement
Total Revenue	16.75B	14.24B	12.68B	11.89B	9.91B
Gross Profit	11.49B	9.89B	8.68B	8.13B	6.40B
EBITDA	3.86B	3.45B	2.74B	2.52B	1.51B
Net Income	1.85B	1.59B	698.00M	1.04B	-140.00M
Balance Sheet
Total Assets	39.40B	35.14B	32.47B	32.23B	30.78B
Cash, Cash Equivalents and Short-Term Investments	414.00M	865.00M	928.00M	1.93B	1.73B
Total Debt	11.15B	9.49B	9.28B	9.45B	9.54B
Total Liabilities	17.39B	15.61B	14.90B	15.61B	15.45B
Stockholders Equity	21.77B	19.28B	17.57B	16.62B	15.33B
Cash Flow
Free Cash Flow	2.65B	1.70B	914.00M	1.32B	1.13B
Operating Cash Flow	3.44B	2.50B	1.53B	1.87B	1.51B
Investing Cash Flow	-5.69B	-2.57B	-2.01B	-1.60B	-411.00M
Financing Cash Flow	1.81B	5.00M	-548.00M	-95.00M	293.00M

Boston Scientific Technical Analysis

• Technical Analysis Sentiment: Positive
• Last Price: 106.14
• 50DMA: Positive
• 100DMA: Positive
• 200DMA: Positive
• 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 Positive. The current price of 106.14 is above the 20-day moving average (MA) of 104.46, above the 50-day MA of 103.67, and above the 200-day MA of 97.44, indicating a bullish trend. The MACD of 0.69 indicates Negative momentum. The RSI at 57.27 is Neutral, neither overbought nor oversold. The STOCH value of 66.52 is Neutral, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Positive sentiment for BSX.

Boston Scientific Peers Comparison

Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
SYK	81 Outperform	$151.59B	53.53	14.26%	0.82%	10.76%	-15.22%
BSX	80 Outperform	$157.13B	63.31	9.65%	―	21.45%	36.19%
DXCM	78 Outperform	$34.89B	66.80	23.72%	―	9.11%	-17.87%
MDT	77 Outperform	$118.29B	25.54	9.49%	3.02%	3.62%	31.18%
ABT	73 Outperform	$218.59B	15.74	30.66%	1.83%	5.85%	―
EW	71 Outperform	$44.46B	54.90	16.73%	―	-5.23%	-40.13%
Sector *	65 Neutral	¥354.70B	11.38	-2.99%	2.49%	11.76%	-10.21%

Boston Scientific Corporate Events

Boston Scientific Discontinues Aortic Valve Systems

On May 28, 2025, Boston Scientific announced the discontinuation of its ACURATE neo2™ and ACURATE Prime™ Aortic Valve Systems, ceasing global sales and halting pursuit of FDA approval due to increased regulatory demands. Despite the financial implications, the company expects to meet its sales and earnings guidance for 2025, though it is withholding reaffirmation of its GAAP EPS guidance until further updates in its second quarter earnings call.

The most recent analyst rating on (BSX) stock is a Buy with a $113.00 price target. To see the full list of analyst forecasts on Boston Scientific stock, see the BSX Stock Forecast page.

Boston Scientific Stockholders Approve Key Governance Proposals

On May 1, 2025, Boston Scientific held its Annual Meeting of Stockholders virtually, where all 10 director nominees were elected for a one-year term. Additionally, stockholders approved the compensation for the company’s Named Executive Officers, ratified the appointment of Ernst & Young LLP as the independent public accounting firm for 2025, and supported a proposal for a simple majority vote, indicating strong shareholder engagement and support for the company’s governance and strategic direction.