Boston Scientific Target of Unusually Large Options Trading (NYSE:BSX)

Key Points

• Unusually high options activity: Investors purchased 113,986 Boston Scientific call options, 205% above the typical daily volume of 37,315 contracts.
• Analysts remain broadly positive: Twenty-four analysts rate BSX a Buy, while the consensus rating is “Moderate Buy” with a $71.62 price target, despite several recent target-price reductions.
• Insiders and institutions showed confidence: Company insiders bought 194,522 shares worth $9.4 million last quarter, while institutional investors own 89.07% of the stock. Boston Scientific also authorized a $5 billion buyback, covering up to 6.4% of outstanding shares.

Boston Scientific Corporation (NYSE:BSX - Get Free Report) was the recipient of some unusual options trading activity on Tuesday. Stock investors purchased 113,986 call options on the stock. This represents an increase of 205% compared to the typical daily volume of 37,315 call options.

Analyst Upgrades and Downgrades

A number of research firms recently commented on BSX. Stifel Nicolaus set a $60.00 target price on shares of Boston Scientific in a research report on Wednesday, July 29th. Raymond James Financial reaffirmed an "outperform" rating and issued a $57.00 price objective on shares of Boston Scientific in a report on Thursday, July 30th. Wells Fargo & Company cut their price target on shares of Boston Scientific from $55.00 to $50.00 and set an "equal weight" rating for the company in a report on Thursday, July 30th. UBS Group decreased their target price on Boston Scientific from $74.00 to $67.00 and set a "buy" rating on the stock in a research report on Thursday, July 30th. Finally, Royal Bank Of Canada lowered their price target on shares of Boston Scientific from $85.00 to $70.00 and set an "outperform" rating on the stock in a research report on Thursday, July 30th. Twenty-four research analysts have rated the stock with a Buy rating, five have issued a Hold rating and two have assigned a Sell rating to the stock. According to MarketBeat, the company presently has an average rating of "Moderate Buy" and a consensus target price of $71.62.

Insider Activity at Boston Scientific

In other news, Director David C. Habiger purchased 2,100 shares of the stock in a transaction dated Wednesday, August 5th. The stock was acquired at an average cost of $47.59 per share, for a total transaction of $99,939.00. Following the completion of the transaction, the director directly owned 17,160 shares in the company, valued at approximately $816,644.40. This represents a 13.94% increase in their position. The purchase was disclosed in a legal filing with the SEC, which is available at this link. Also, CEO Michael F. Mahoney purchased 186,240 shares of Boston Scientific stock in a transaction dated Monday, August 3rd. The shares were acquired at an average cost of $48.33 per share, for a total transaction of $9,000,979.20. Following the transaction, the chief executive officer directly owned 1,590,024 shares of the company's stock, valued at approximately $76,845,859.92. This represents a 13.27% increase in their position. The disclosure for this purchase is available in the SEC filing. In the last quarter, insiders purchased 194,522 shares of company stock worth $9,385,210. Insiders own 0.34% of the company's stock.

Institutional Trading of Boston Scientific

Several large investors have recently modified their holdings of the business. BlackRock Inc. acquired a new position in shares of Boston Scientific in the 2nd quarter valued at approximately $5,534,781,000. California State Teachers Retirement System grew its position in Boston Scientific by 4,113.5% in the 2nd quarter. California State Teachers Retirement System now owns 96,909,037 shares of the medical equipment provider's stock worth $4,136,078,000 after purchasing an additional 94,609,083 shares during the last quarter. State Street Corp boosted its position in Boston Scientific by 1.4% during the 4th quarter. State Street Corp now owns 65,846,059 shares of the medical equipment provider's stock worth $6,278,422,000 after acquiring an additional 920,495 shares during the period. Primecap Management Co. CA acquired a new position in shares of Boston Scientific during the second quarter valued at approximately $2,156,233,000. Finally, Capital World Investors boosted its position in shares of Boston Scientific by 1.9% during the 4th quarter. Capital World Investors now owns 27,151,575 shares of the medical equipment provider's stock valued at $2,588,953,000 after purchasing an additional 502,627 shares in the last quarter. 89.07% of the stock is currently owned by institutional investors and hedge funds.

Boston Scientific Trading Down 0.5%

Shares of BSX traded down $0.25 during mid-day trading on Tuesday, reaching $48.05. The company had a trading volume of 12,000,371 shares, compared to its average volume of 18,477,602. The stock has a market cap of $69.64 billion, a price-to-earnings ratio of 19.45, a price-to-earnings-growth ratio of 1.02 and a beta of 0.56. The company has a current ratio of 1.24, a quick ratio of 0.74 and a debt-to-equity ratio of 0.43. The firm has a fifty day simple moving average of $46.65 and a 200-day simple moving average of $56.35. Boston Scientific has a fifty-two week low of $42.20 and a fifty-two week high of $109.50.

Boston Scientific (NYSE:BSX - Get Free Report) last released its quarterly earnings data on Wednesday, July 29th. The medical equipment provider reported $0.86 earnings per share for the quarter, beating the consensus estimate of $0.83 by $0.03. The business had revenue of $5.44 billion for the quarter, compared to analyst estimates of $5.38 billion. Boston Scientific had a return on equity of 19.28% and a net margin of 17.50%.The company's revenue was up 7.5% compared to the same quarter last year. During the same period in the previous year, the company posted $0.75 EPS. Boston Scientific has set its Q3 2026 guidance at 0.800-0.820 EPS and its FY 2026 guidance at 3.280-3.320 EPS. On average, sell-side analysts anticipate that Boston Scientific will post 3.3 EPS for the current fiscal year.

Boston Scientific declared that its Board of Directors has approved a share buyback program on Monday, May 18th that authorizes the company to buyback $5.00 billion in outstanding shares. This buyback authorization authorizes the medical equipment provider to buy up to 6.4% of its stock through open market purchases. Stock buyback programs are typically 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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