Boston Scientific Corporation (BSX) Fundamental Analysis: Bull vs. Bear Case

BSX

Boston Scientific Corporation

Fundamental data last updated:June 7, 2026

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company profile

SECTOR

Healthcare

industry

Medical - Devices

Exchange

NYSE

County of HQ

US

Next Earnings Date

07/29/2026

Business Summary

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.

VALUATION

P/E

20.29 Market Cap ($M USD)

$72.16B

Forward P/E

9.35 PEG

0.08 PRICE TO SALES

3.50 PRICE TO BOOK

2.79 EV / EBITDA

17.15 5-Year Average P/E

Free Cash Flow Yield

4.77%

DCF Value

$83.28

Graham Number

$30.62

Price to FCF

20.97 EV to FCF

23.73 Earnings Yield

4.93%

FCF Yield

4.77%

DIVIDEND

Yield

0.00%

Annual Payout

$0.00

Payout Ratio

0.00%

Consecutive Years of Dividend Growth

5-Year Dividend Growth Rate

Financial Health & Profitability

Earnings Per Share

$2.39

Next Year EPS Growth Estimate

$5.20

Next Year Revenue Growth Estimate

$3.06T

Return on Equity (ROE)

14.82%

FREE CASH FLOW

Operating Margin

20.12%

Debt-to-Equity

0.51 Piotroski F-Score

7 Altman Z-Score

3.49 Return on Invested Capital (ROIC)

10.42%

Current Ratio

1.90 Quick Ratio

1.22 Net Debt to EBITDA

2.00 Interest Coverage

11.62 Gross Profit margin

70.41%

FCF PER SHARE

$2.32

REVENUE PER SHARE

$13.88

Gainseekers Quantitative Analysis

Summary

Boston Scientific Corporation appears significantly undervalued when juxtaposed with its DCF Value and Graham Number. The stock’s Forward P/E ratio suggests a compelling growth narrative, while the Earnings Yield indicates a reasonable return potential. With an Altman Z-score of 3.73, the company demonstrates financial stability, reducing bankruptcy risk. The market seems to have mispriced this stock, offering a potential opportunity for savvy investors who recognize its intrinsic value.

AI Exposure / Tech Reliance

Operating within the Medical Devices industry, Boston Scientific is well-positioned to leverage AI and tech advancements. The integration of AI in healthcare can enhance device functionality and patient outcomes, aligning with the company's innovation-driven approach. This adaptability ensures resilience in a rapidly evolving tech landscape.

The Bull Case

For value and GARP investors, Boston Scientific offers an enticing proposition. With a robust ROIC of 10.42% and a solid Piotroski F-Score of 7, the company demonstrates efficient capital allocation and financial health. Its Free Cash Flow Yield, although modest, complements a strong operating margin of 20.12%, indicating effective cost management and pricing power. These metrics collectively paint a picture of a company poised for sustainable growth.

The Bear Case

Despite its strengths, Boston Scientific faces challenges with its valuation multiples. The Price/Sales and Price/Book ratios are elevated, suggesting the stock may be overvalued relative to its peers. Additionally, the stock's proximity to its 52-week high raises concerns about potential overextension. Investors should be cautious of these structural risks, which could impact future returns.

Market Sentiment & Smart Money

Short Interest %

Analyst Consensus

Buy

Average Analyst Price Target

$83.84

Institutional Ownership %

1-Year Beta

0.62 Insider Buying % (6 Mo)

Distance to 52-Week High

125.54%

Distance to 52-Week Low

2.84%

EARNINGS SURPRISE %

1.52%

50-DAY SMA

$58.78

200-DAY SMA

$84.39

⚠️ Financial Disclaimer:
This content is for informational purposes only and is not financial advice. Information may be delayed or inaccurate. We may earn a commission from partner links.