Bausch Health Cos (NYSE:BHC) Upgraded at Zacks Research

Key Points

• Zacks Research upgraded Bausch Health from “Strong Sell” to “Hold” and issued multi-year EPS estimates, including $4.24 for fiscal 2026 and $3.84 for fiscal 2027.
• Analyst sentiment remains cautious: six analysts rate the stock Hold and one rates it Sell, producing a consensus “Reduce” rating and an average price target of $8.00.
• Bausch Health recently beat quarterly expectations, reporting $1.26 EPS and $2.83 billion in revenue, while maintaining significant financial risk with a 54.68 debt-to-equity ratio and negative net margin.

Bausch Health Cos (NYSE:BHC - Get Free Report) was upgraded by research analysts at Zacks Research from a "strong sell" rating to a "hold" rating in a research report issued on Thursday,Zacks.com reports. Zacks Research also issued estimates for Bausch Health Cos' Q4 2026 earnings at $1.16 EPS, FY2026 earnings at $4.24 EPS, Q1 2027 earnings at $0.84 EPS, Q2 2027 earnings at $0.91 EPS, Q3 2027 earnings at $1.07 EPS, Q4 2027 earnings at $1.02 EPS, FY2027 earnings at $3.84 EPS, Q1 2028 earnings at $0.65 EPS, Q2 2028 earnings at $0.86 EPS and FY2028 earnings at $3.04 EPS.

BHC has been the topic of a number of other reports. Wall Street Zen raised shares of Bausch Health Cos from a "buy" rating to a "strong-buy" rating in a research note on Saturday, August 1st. Weiss Ratings raised shares of Bausch Health Cos from a "sell (d-)" rating to a "sell (d)" rating in a report on Friday, July 31st. Royal Bank Of Canada lowered their target price on shares of Bausch Health Cos from $10.00 to $9.00 and set a "sector perform" rating on the stock in a research report on Monday, April 27th. Finally, Jefferies Financial Group raised shares of Bausch Health Cos to a "hold" rating in a report on Wednesday, July 22nd. Six research analysts have rated the stock with a Hold rating and one has given a Sell rating to the company's stock. Based on data from MarketBeat, the company presently has an average rating of "Reduce" and an average price target of $8.00.

Bausch Health Cos Price Performance

Shares of BHC opened at $6.42 on Thursday. The company has a debt-to-equity ratio of 54.68, a quick ratio of 1.08 and a current ratio of 1.44. Bausch Health Cos has a fifty-two week low of $4.33 and a fifty-two week high of $8.00. The firm has a 50-day simple moving average of $5.36 and a 200-day simple moving average of $5.46. The company has a market capitalization of $2.40 billion, a price-to-earnings ratio of -2.17 and a beta of 0.38.

Bausch Health Cos (NYSE:BHC - Get Free Report) last issued its earnings results on Wednesday, July 29th. The company reported $1.26 earnings per share for the quarter, beating the consensus estimate of $0.96 by $0.30. Bausch Health Cos had a negative net margin of 10.12% and a negative return on equity of 561.95%. The business had revenue of $2.83 billion for the quarter, compared to the consensus estimate of $2.59 billion. On average, equities research analysts anticipate that Bausch Health Cos will post 4.35 earnings per share for the current year.

Insider Buying and Selling at Bausch Health Cos

In other Bausch Health Cos news, insider Aimee J. Lenar sold 36,827 shares of Bausch Health Cos stock in a transaction dated Wednesday, August 19th. The stock was sold at an average price of $7.03, for a total value of $258,893.81. Following the completion of the sale, the insider owned 334,853 shares in the company, valued at $2,354,016.59. The trade was a 9.91% decrease in their position. The transaction was disclosed in a filing with the Securities & Exchange Commission, which is available through this link. The transaction was executed under a pre-arranged Rule 10b5-1 trading plan. 20.67% of the stock is currently owned by corporate insiders.

Hedge Funds Weigh In On Bausch Health Cos

Several hedge funds and other institutional investors have recently modified their holdings of the company. Paulson & CO. Inc. acquired a new stake in shares of Bausch Health Cos in the second quarter valued at about $361,151,000. MFN Partners Management LP acquired a new position in Bausch Health Cos during the 2nd quarter worth approximately $29,580,000,000. Norges Bank purchased a new position in Bausch Health Cos in the 4th quarter worth approximately $25,592,000. MUFG Securities EMEA plc purchased a new position in Bausch Health Cos in the 2nd quarter worth approximately $22,644,000. Finally, Royal Bank of Canada grew its position in Bausch Health Cos by 24.9% in the first quarter. Royal Bank of Canada now owns 11,363,498 shares of the company's stock valued at $61,362,000 after acquiring an additional 2,262,894 shares in the last quarter. 78.65% of the stock is owned by institutional investors and hedge funds.

Bausch Health Cos News Summary

Here are the key news stories impacting Bausch Health Cos this week:

• Positive Sentiment: Upgraded to Buy: BHC was raised to Zacks Rank #2 (Buy), reflecting improved expectations for the company’s earnings and potentially supporting further near-term gains. Bausch Upgraded to Buy
• Positive Sentiment: Higher earnings estimates: Zacks analysts raised forecasts across multiple periods, including FY2027 EPS to $3.84 from $3.59 and FY2028 EPS to $3.04 from $3.02. Estimates for several 2027 and 2028 quarters were also increased, reinforcing the view that earnings momentum could drive the stock higher. Rising Earnings Estimates
• Positive Sentiment: Bausch + Lomb growth thesis: An investment analysis highlighted 9% year-over-year revenue growth in the second quarter, margin expansion and strong operating cash flow. Growth in premium intraocular lenses and branded pharmaceuticals could improve product mix, EBITDA and cash generation while supporting deleveraging. Bausch Plus Lomb Analysis
• Neutral Sentiment: Despite the estimate increases, Zacks Research continues to rate BHC Strong Sell. The broader analyst consensus is “Reduce,” with an average price target of $8, indicating limited upside relative to current trading levels.
• Negative Sentiment: Insider Aimee Lenar sold 36,827 shares worth approximately $258,894 under a pre-arranged Rule 10b5-1 plan. Although the scheduled nature reduces its significance, the transaction cut her direct holding by 9.91%. Insider Share Sale

About Bausch Health Cos

Bausch Health Cos Inc, formerly known as Valeant Pharmaceuticals International, is a global specialty pharmaceutical company headquartered in Laval, Quebec, Canada. The company operates through two primary segments: Ophthalmology, led by its Bausch + Lomb franchise, and Diversified Brands, which encompasses prescription dermatology, gastrointestinal, neurology and branded pharmaceutical products. Bausch Health develops, manufactures and markets a range of therapeutic and over-the-counter offerings designed to address conditions such as cataracts, dry eye, glaucoma, acne, rosacea, migraine and gastrointestinal disorders.

The Ophthalmology segment under the Bausch + Lomb name provides products for eye health, including prescription drops, contact lens care solutions, intraocular lenses, surgical instruments and diagnostic devices.

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