Boston Scientific (NYSE:BSX) Trading Down 5.1% Following Analyst Downgrade

Key Points

• Boston Scientific shares fell 5.1% after Royal Bank of Canada cut its price target from $100 to $85, though it kept an outperform rating. The stock traded as low as $42.45, well below the prior close of $44.65.
• Analyst sentiment remains mostly positive overall, with MarketBeat showing an average rating of Moderate Buy and an average target price of $80.72. Several firms have recently lowered targets, however, and one analyst downgraded the stock to strong sell.
• The company recently reported better-than-expected quarterly results, including EPS of $0.80 versus estimates of $0.79 and revenue of $5.20 billion. Boston Scientific also authorized a $5 billion share repurchase plan, signaling management confidence in the stock.

Boston Scientific Corporation (NYSE:BSX - Get Free Report)'s share price was down 5.1% during mid-day trading on Tuesday after Royal Bank Of Canada lowered their price target on the stock from $100.00 to $85.00. Royal Bank Of Canada currently has an outperform rating on the stock. Boston Scientific traded as low as $42.45 and last traded at $42.39. Approximately 4,403,202 shares traded hands during trading, a decline of 75% from the average daily volume of 17,961,764 shares. The stock had previously closed at $44.65.

Several other equities analysts have also recently issued reports on the company. Oppenheimer set a $90.00 price target on Boston Scientific in a research report on Thursday, April 23rd. Needham & Company LLC lowered their price objective on shares of Boston Scientific from $77.00 to $57.00 and set a "buy" rating on the stock in a research report on Wednesday, July 8th. BTIG Research restated a "buy" rating and issued a $65.00 target price on shares of Boston Scientific in a research note on Tuesday, June 16th. Citigroup dropped their price target on shares of Boston Scientific from $87.00 to $70.00 and set a "buy" rating on the stock in a research note on Thursday, May 28th. Finally, Zacks Research downgraded shares of Boston Scientific from a "hold" rating to a "strong sell" rating in a research report on Friday, June 5th. One analyst has rated the stock with a Strong Buy rating, twenty-three have given a Buy rating, four have issued a Hold rating and two have issued a Sell rating to the company's stock. According to MarketBeat, the stock presently has an average rating of "Moderate Buy" and an average target price of $80.72.

Insider Buying and Selling at Boston Scientific

In related news, Director Edward J. Ludwig purchased 3,580 shares of the stock in a transaction dated Wednesday, May 20th. The shares were acquired at an average cost of $56.68 per share, with a total value of $202,914.40. Following the purchase, the director directly owned 25,359 shares in the company, valued at $1,437,348.12. This trade represents a 16.44% increase in their position. The acquisition was disclosed in a legal filing with the SEC, which is available through the SEC website. Also, Director Cheryl Pegus purchased 1,770 shares of the business's stock in a transaction dated Wednesday, May 20th. The stock was bought at an average price of $56.49 per share, with a total value of $99,987.30. Following the acquisition, the director directly owned 1,770 shares in the company, valued at approximately $99,987.30. This represents a ∞ increase in their ownership of the stock. Additional details regarding this purchase are available in the official SEC disclosure. Over the last quarter, insiders acquired 9,800 shares of company stock valued at $554,012. 0.34% of the stock is owned by company insiders.

Institutional Investors Weigh In On Boston Scientific

Several institutional investors have recently modified their holdings of BSX. Renaissance Group LLC acquired a new stake in Boston Scientific during the 4th quarter valued at $28,064,000. Rathbones Group PLC raised its holdings in shares of Boston Scientific by 20.9% in the fourth quarter. Rathbones Group PLC now owns 2,759,657 shares of the medical equipment provider's stock worth $263,133,000 after acquiring an additional 477,680 shares during the last quarter. Tounjian Advisory Partners LLC purchased a new stake in shares of Boston Scientific in the fourth quarter valued at $1,477,000. Waycross Partners LLC purchased a new stake in shares of Boston Scientific in the fourth quarter valued at $2,384,000. Finally, Union Bancaire Privee UBP SA boosted its stake in shares of Boston Scientific by 15.0% during the fourth quarter. Union Bancaire Privee UBP SA now owns 248,497 shares of the medical equipment provider's stock valued at $23,417,000 after acquiring an additional 32,425 shares during the last quarter. Hedge funds and other institutional investors own 89.07% of the company's stock.

Boston Scientific Trading Down 5.1%

The firm has a market cap of $63.01 billion, a price-to-earnings ratio of 17.72, a price-to-earnings-growth ratio of 0.86 and a beta of 0.58. The business has a 50 day moving average of $49.15 and a 200 day moving average of $67.13. The company has a quick ratio of 1.22, a current ratio of 1.90 and a debt-to-equity ratio of 0.42.

Boston Scientific (NYSE:BSX - Get Free Report) last released its earnings results on Wednesday, April 22nd. The medical equipment provider reported $0.80 earnings per share (EPS) for the quarter, beating analysts' consensus estimates of $0.79 by $0.01. Boston Scientific had a net margin of 17.29% and a return on equity of 19.17%. The company had revenue of $5.20 billion for the quarter, compared to analyst estimates of $5.19 billion. During the same period in the prior year, the firm earned $0.75 EPS. The firm's quarterly revenue was up 11.6% on a year-over-year basis. Boston Scientific has set its Q2 2026 guidance at 0.820-0.840 EPS and its FY 2026 guidance at 3.340-3.410 EPS. On average, research analysts forecast that Boston Scientific Corporation will post 3.36 earnings per share for the current fiscal year.

Boston Scientific declared that its board has authorized a share repurchase plan on Monday, May 18th that permits the company to repurchase $5.00 billion in shares. This repurchase authorization permits the medical equipment provider to reacquire up to 6.4% of its shares through open market purchases. Shares repurchase plans are usually an indication that the company's board of directors believes its stock is undervalued.

Boston Scientific Company Profile

Boston Scientific Corporation NYSE: BSX is a global medical device company that develops, manufactures and markets a broad portfolio of products used in less-invasive medical procedures. Founded in 1979 by John Abele and Peter Nicholas, the company is headquartered in Marlborough, Massachusetts, and focuses on technologies that enable physicians to treat a wide range of cardiovascular, digestive, urologic, pulmonary and chronic pain conditions without open surgery.

Boston Scientific's activities span product development, clinical research, regulatory affairs and commercial sales.

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