Bausch Health Companies (BHC) AI Stock Analysis

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Bausch Health Companies

(TSX:BHC)

Select Model

Neutral 59 (OpenAI - 4o)

Rating:59Neutral

Price Target:

C$10.50

▲(22.09% Upside)

Bausch Health Companies' overall stock score is primarily influenced by its financial challenges, including high leverage and declining revenue growth. Positive earnings call sentiment and undervaluation provide some support, but technical indicators suggest limited upside potential. Addressing financial stability and profitability is crucial for improving the stock's outlook.

Bausch Health Companies (BHC) vs. iShares MSCI Canada ETF (EWC)

Market Cap

C$3.52B

Dividend YieldN/A

Average Volume (3M)441.91K

Price to Earnings (P/E)7.1

Beta (1Y)1.26

Revenue Growth8.68%

EPS GrowthN/A

CountryCA

Employees20,700

SectorN/A

Sector StrengthN/A

IndustryDrug Manufacturers - Specialty & Generic

Share Statistics

EPS (TTM)1.62

Shares Outstanding370,516,940

10 Day Avg. Volume433,898

30 Day Avg. Volume441,906

Financial Highlights & Ratios

PEG Ratio0.70

Price to Book (P/B)-2.32

Price to Sales (P/S)0.31

P/FCF Ratio2.36

Enterprise Value/Market CapN/A

Enterprise Value/RevenueN/A

Enterprise Value/Gross ProfitN/A

Enterprise Value/EbitdaN/A

Forecast

1Y Price Target

C$11.54

Price Target Upside34.20% Upside

Rating ConsensusHold

Number of Analyst Covering4

EPS Forecast (FY)N/A

Revenue Forecast (FY)N/A

Bausch Health Companies Business Overview & Revenue Model

Company DescriptionBausch Health Companies Inc. (BHC) is a global healthcare company focused on developing, manufacturing, and marketing a range of pharmaceutical and medical products. The company operates primarily in three sectors: Pharmaceuticals, Vision Care, and Medical Devices. Bausch Health's core products include a variety of prescription medications, over-the-counter products, and vision care solutions such as contact lenses and surgical devices, aimed at addressing a wide array of medical conditions.

How the Company Makes MoneyBausch Health generates revenue through several key streams, primarily from its pharmaceutical segment, which includes sales of prescription medications for various therapeutic areas such as dermatology, ophthalmology, and gastroenterology. The company also earns revenue from its vision care products, including both contact lenses and lens care solutions. Additionally, Bausch Health has established partnerships and collaborations with other healthcare organizations and research institutions, which contribute to its revenue through co-development and licensing agreements. The company's strategy includes focusing on high-growth segments and enhancing its product portfolios through acquisitions and innovation, further bolstering its financial performance.

Bausch Health Companies Earnings Call Summary

Earnings Call Date:Oct 29, 2025

(Q3-2025)

% Change Since: |

Next Earnings Date:Feb 25, 2026

Earnings Call Sentiment Positive

The earnings call reflects a positive sentiment with multiple quarters of revenue and EBITDA growth, significant debt reduction, and strong product-level performance. However, some challenges remain in international markets and specific segments.

Q3-2025 Updates

Positive Updates

Consecutive Revenue and EBITDA Growth

Bausch Health, excluding Bausch + Lomb, achieved its 10th consecutive quarter of year-over-year revenue and adjusted EBITDA growth, with a 7% increase in both metrics on a reported basis.

Debt Reduction

The company reduced its debt by approximately $600 million using cash on hand, showcasing strong financial management.

Solta and Salix Double-Digit Growth

Solta saw a 25% growth on a reported basis and 24% on an organic basis, while Salix delivered 12% growth on a reported basis and 11% on an organic basis.

Product-Level Achievements

Triple-digit growth for Cabtreo and Ryaltris, and double-digit growth for Xifaxan and Thermage were observed, indicating strong product performance.

Negative Updates

International Segment Revenue Decline

Revenues in the International segment decreased by 2% on a reported basis and 4% on an organic basis, with specific challenges in Canada and Latin America.

Diversified Segment Performance

The diversified segment saw a revenue decrease of 4% on a reported basis and 6% on an organic basis, primarily due to neurology business impacts.

Challenges in China

Growth in China was limited to 3% in Q3, primarily due to cautious consumer behavior in the aesthetics market amidst economic uncertainty.

Company Guidance

During the Bausch Health Third Quarter 2025 Earnings Conference Call, the company reported continued strong operational performance with its 10th consecutive quarter of revenue and adjusted EBITDA growth, excluding Bausch + Lomb. The revenue for Bausch Health, excluding Bausch + Lomb, grew by 7% on a reported basis and 5% on an organic basis year-over-year, while adjusted EBITDA saw a 7% rise, reaching $773 million, despite an $81 million charge related to R&D acquisition. Excluding this charge, adjusted EBITDA grew by 18%. The company reduced its debt by approximately $600 million and raised its full-year guidance for revenue, adjusted EBITDA, and adjusted cash flow from operations. Notable achievements included double-digit growth in the Solta and Salix segments, with Solta experiencing a 25% increase and Salix a 12% increase in revenue. Additionally, product-level highlights included triple-digit growth for Cabtreo and Ryaltris and double-digit growth for Xifaxan and Thermage. The company also discussed a 7% revenue growth for Bausch + Lomb and improvements in financial priorities, including optimizing its capital structure and assessing options to unlock value for stakeholders.

Bausch Health Companies Financial Statement Overview

Summary

Income Statement

Neutral

Balance Sheet

Negative

Cash Flow

Neutral

Breakdown
Income Statement
Total Revenue
Gross Profit
EBITDA
Net Income
Balance Sheet
Total Assets
Cash, Cash Equivalents and Short-Term Investments
Total Debt
Total Liabilities
Stockholders Equity
Cash Flow
Free Cash Flow
Operating Cash Flow
Investing Cash Flow
Financing Cash Flow

Bausch Health Companies Technical Analysis

Technical Analysis Sentiment

Positive

Last Price8.60

Price Trends

50DMA

9.12

Positive

100DMA

9.33

Positive

200DMA

8.66

Positive

Market Momentum

MACD

0.11

Positive

RSI

52.82

Neutral

STOCH

26.53

Neutral

Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For TSE:BHC, the sentiment is Positive. The current price of 8.6 is below the 20-day moving average (MA) of 9.41, below the 50-day MA of 9.12, and below the 200-day MA of 8.66, indicating a bullish trend. The MACD of 0.11 indicates Positive momentum. The RSI at 52.82 is Neutral, neither overbought nor oversold. The STOCH value of 26.53 is Neutral, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Positive sentiment for TSE:BHC.

Bausch Health Companies Peers Comparison

Overall Rating

UnderperformOutperform

Sector (―)

Financial Indicators

Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
Sector *	―	―	―	―	―	―	―
CPH	74 Outperform	C$372.68M	15.57	16.32%	―	94.28%	5.23%
DHT.UN	74 Outperform	C$895.50M	-12.50	-10.92%	3.54%	-0.94%	-540.90%
CRON	67 Neutral	C$1.55B	30.89	3.34%	―	22.20%	―
BHC	59 Neutral	C$3.52B	7.11	―	―	8.68%	―
GUD	57 Neutral	$595.56M	-169.01	-0.48%	―	18.70%	88.31%
HLS	51 Neutral	C$150.43M	-7.70	-20.49%	―	0.73%	33.51%

* Sector Average

Performance Comparison

TSE:BHC

Bausch Health Companies

9.49

-1.24

-11.56%

TSE:GUD

Knight Therapeutics

6.00

0.77

14.72%

TSE:CPH

Cipher Pharmaceuticals

14.69

0.03

0.20%

TSE:CRON

Cronos Group

4.05

1.19

41.61%

TSE:HLS

HLS Therapeutics Inc

4.81

1.06

28.27%

TSE:DHT.UN

DRI Healthcare

16.26

4.78

41.64%

Glossary

BuyA stock rated as a "Buy" is expected to perform better than the overall market or a specific benchmark over the near-to-medium term. This rating suggests the stock is likely to deliver higher returns compared to other stocks in the same sector or market index. Note: This is not investment advice; please consult a financial advisor before making investment decisions.

HoldA stock rated as a "Hold" is expected to perform in line with the overall market or a specific benchmark. This rating indicates that the stock is neither particularly compelling nor unfavorable for investment. Note: This is not investment advice; please consult a financial advisor before making investment decisions.

SellA stock rated as a "Sell" is expected to perform worse than the overall market or a specific benchmark over the near-to-medium term. This rating suggests the stock may deliver lower returns compared to other stocks in the same sector or market index. Note: This is not investment advice; please consult a financial advisor before making investment decisions.

Disclaimer

This AI Analyst Stock Report is automatically generated by our AI systems using advanced algorithms and publicly available financial, technical, and market data. While the information provided aims to be accurate and insightful, it is intended for informational purposes only and should not be considered financial advice. Any content created by an AI (Artificial Intelligence) system may contain inaccuracies and/or contain errors. Investing in stocks carries inherent risks, and past performance is not indicative of future results. This report does not account for your personal financial circumstances, objectives, or risk tolerance. Always conduct your own research or consult with a qualified financial advisor before making investment decisions. The analysis and recommendations provided are based on historical and current data and may not fully reflect future market conditions or unexpected developments. Neither the creators of this report nor its affiliated entities guarantee the accuracy, completeness, or reliability of the information presented. Use this report at your own discretion and risk.Date of analysis: Dec 02, 2025