BSX:NYSE
Boston Scientific Corporation
Data as of 2026-03-09 - not real-time
$71.90
Latest Price
7/10Risk
Risk Level: Medium
Executive Summary
Boston Scientific (BSX) is trading at $71.9, well above the DCF‑derived fair value of $51.8 and its current PE of 37×, which exceeds the industry average of 25×, indicating the stock is **overvalued**. The price sits below its 20‑day, 50‑day and 200‑day SMAs (74.4, 85.2 and 97.3), and the computed trend is bearish, yet the RSI of 33 suggests the stock is *oversold* and the MACD histogram is positive, hinting at a possible short‑term bounce toward the $76.9 resistance. Support at $69.5 is holding, and volume remains stable, providing a modest liquidity cushion.
Fundamentally, BSX posted a 15.9% revenue growth year‑over‑year, strong gross (68.8%) and operating margins (19.7%), and generated $3.24 bn of free cash flow, supporting an aggressive $5 bn share‑repurchase authorization. Forward EPS of $3.92 translates to a forward PE of 18×, suggesting earnings upside. However, the company faces high regulatory risk from multiple class‑action lawsuits and a federal investigation tied to a stent recall, which could pressure sentiment and earnings in the near term.
Fundamentally, BSX posted a 15.9% revenue growth year‑over‑year, strong gross (68.8%) and operating margins (19.7%), and generated $3.24 bn of free cash flow, supporting an aggressive $5 bn share‑repurchase authorization. Forward EPS of $3.92 translates to a forward PE of 18×, suggesting earnings upside. However, the company faces high regulatory risk from multiple class‑action lawsuits and a federal investigation tied to a stent recall, which could pressure sentiment and earnings in the near term.
Trading Recommendations
Short Term
< 1 yearbuy
Conviction: 6/10
Key Factors
- Oversold RSI indicating near‑term upside
- Support level at $69.5 holding
- Stable volume providing liquidity
Medium Term
1–3 yearshold
Conviction: 5/10
Key Factors
- Bearish trend and price below major SMAs
- High regulatory/legal headwinds
- Forward PE contraction to 18× suggests earnings improvement
Long Term
> 3 yearsbuy
Conviction: 8/10
Key Factors
- Sustained revenue growth and strong cash generation
- Aggressive share‑repurchase program enhancing EPS
- Forward earnings outlook improves valuation relative to current price
Key Metrics & Analysis
Financial Health
Revenue Growth15.90%
Profit Margin14.44%
P/E Ratio37.1
ROE12.45%
ROA5.98%
Debt/Equity48.92
P/B Ratio4.4
Op. Cash Flow$4.5B
Free Cash Flow$3.2B
Industry P/E25.4
Technical Analysis
TrendBearish
RSI33.3
Support$69.52
Resistance$76.87
MA 20$74.38
MA 50$85.16
MA 200$97.31
MACDBullish
VolumeStable
Fear & Greed Index75.89
Valuation
Fair Value$51.84
Target Price$104.24
Upside/Downside44.98%
GradeOvervalued
TypeGrowth
Risk Assessment
Beta0.59
Volatility61.20%
Sector RiskMedium
Reg. RiskHigh
Geo RiskLow
Currency RiskLow
Liquidity RiskLow
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This analysis may contain inaccuracies. Not financial advice. Always do your own research before making any investment decisions.