BOSTON SCIENTIFIC CORP (BSX)
US1011371077 - Common Stock
BSX gets a fundamental rating of 5 out of 10. The analysis compared the fundamentals against 191 industry peers in the Health Care Equipment & Supplies industry. While BSX has a great profitability rating, there are some minor concerns on its financial health. BSX is not valued too expensively and it also shows a decent growth rate.
1. Profitability
1.1 Basic Checks
BSX had positive earnings in the past year.
In the past year BSX had a positive cash flow from operations.
Of the past 5 years BSX 4 years were profitable.
BSX had a positive operating cash flow in each of the past 5 years.
1.2 Ratios
BSX's Return On Assets of 4.82% is amongst the best of the industry. BSX outperforms 82.20% of its industry peers.
With an excellent Return On Equity value of 8.86%, BSX belongs to the best of the industry, outperforming 84.29% of the companies in the same industry.
Looking at the Return On Invested Capital, with a value of 5.64%, BSX belongs to the top of the industry, outperforming 80.10% of the companies in the same industry.
BSX had an Average Return On Invested Capital over the past 3 years of 5.38%. This is below the industry average of 8.47%.
The 3 year average ROIC (5.38%) for BSX is below the current ROIC(5.64%), indicating increased profibility in the last year.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 4.82% | ||
| ROE | 8.86% | ||
| ROIC | 5.64% |
ROA(3y)3.17%
ROA(5y)4.9%
ROE(3y)5.91%
ROE(5y)10.17%
ROIC(3y)5.38%
ROIC(5y)4.7%
1.3 Margins
The Profit Margin of BSX (12.01%) is better than 89.53% of its industry peers.
BSX's Profit Margin has declined in the last couple of years.
Looking at the Operating Margin, with a value of 17.22%, BSX belongs to the top of the industry, outperforming 90.05% of the companies in the same industry.
BSX's Operating Margin has been stable in the last couple of years.
With an excellent Gross Margin value of 69.46%, BSX belongs to the best of the industry, outperforming 81.15% of the companies in the same industry.
BSX's Gross Margin has been stable in the last couple of years.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| OM | 17.22% | ||
| PM (TTM) | 12.01% | ||
| GM | 69.46% |
OM growth 3Y23.29%
OM growth 5Y-0.75%
PM growth 3YN/A
PM growth 5Y-8.31%
GM growth 3Y2.2%
GM growth 5Y-0.42%
2. Health
2.1 Basic Checks
BSX has a Return on Invested Capital (ROIC), which is below the Cost of Capital (WACC), which means it is destroying value.
The number of shares outstanding for BSX has been increased compared to 1 year ago.
Compared to 5 years ago, BSX has more shares outstanding
BSX has a better debt/assets ratio than last year.
2.2 Solvency
An Altman-Z score of 4.83 indicates that BSX is not in any danger for bankruptcy at the moment.
BSX has a Altman-Z score of 4.83. This is in the better half of the industry: BSX outperforms 77.49% of its industry peers.
BSX has a debt to FCF ratio of 6.25. This is a slightly negative value and a sign of low solvency as BSX would need 6.25 years to pay back of all of its debts.
With a decent Debt to FCF ratio value of 6.25, BSX is doing good in the industry, outperforming 78.01% of the companies in the same industry.
BSX has a Debt/Equity ratio of 0.48. This is a healthy value indicating a solid balance between debt and equity.
BSX has a Debt to Equity ratio of 0.48. This is in the lower half of the industry: BSX underperforms 62.30% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.48 | ||
| Debt/FCF | 6.25 | ||
| Altman-Z | 4.83 |
ROIC/WACC0.62
WACC9.11%
2.3 Liquidity
A Current Ratio of 1.66 indicates that BSX should not have too much problems paying its short term obligations.
Looking at the Current ratio, with a value of 1.66, BSX is doing worse than 76.44% of the companies in the same industry.
BSX has a Quick Ratio of 1.14. This is a normal value and indicates that BSX is financially healthy and should not expect problems in meeting its short term obligations.
The Quick ratio of BSX (1.14) is worse than 75.92% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Current Ratio | 1.66 | ||
| Quick Ratio | 1.14 |
3. Growth
3.1 Past
The Earnings Per Share has grown by an nice 16.94% over the past year.
BSX shows a small growth in Earnings Per Share. Measured over the last years, the EPS has been growing by 6.73% yearly.
BSX shows quite a strong growth in Revenue. In the last year, the Revenue has grown by 12.74%.
Measured over the past years, BSX shows a small growth in Revenue. The Revenue has been growing by 7.71% on average per year.
EPS 1Y (TTM)16.94%
EPS 3Y28.77%
EPS 5Y6.73%
EPS Q2Q%19.15%
Revenue 1Y (TTM)12.74%
Revenue growth 3Y12.83%
Revenue growth 5Y7.71%
Sales Q2Q%13.78%
3.2 Future
BSX is expected to show quite a strong growth in Earnings Per Share. In the coming years, the EPS will grow by 12.48% yearly.
The Revenue is expected to grow by 9.82% on average over the next years. This is quite good.
EPS Next Y14.87%
EPS Next 2Y14.17%
EPS Next 3Y13.78%
EPS Next 5Y12.48%
Revenue Next Year13.39%
Revenue Next 2Y11.75%
Revenue Next 3Y10.99%
Revenue Next 5Y9.82%
3.3 Evolution
The EPS growth rate is accelerating: in the next years the growth will be better than in the last years.
When comparing the Revenue growth rate of the last years to the growth rate of the upcoming years, we see that the growth is accelerating.
4. Valuation
4.1 Price/Earnings Ratio
BSX is valuated quite expensively with a Price/Earnings ratio of 35.87.
Compared to the rest of the industry, the Price/Earnings ratio of BSX indicates a somewhat cheap valuation: BSX is cheaper than 74.35% of the companies listed in the same industry.
When comparing the Price/Earnings ratio of BSX to the average of the S&P500 Index (28.39), we can say BSX is valued slightly more expensively.
A Price/Forward Earnings ratio of 28.73 indicates a quite expensive valuation of BSX.
Compared to the rest of the industry, the Price/Forward Earnings ratio of BSX indicates a somewhat cheap valuation: BSX is cheaper than 74.35% of the companies listed in the same industry.
Compared to an average S&P500 Price/Forward Earnings ratio of 19.91, BSX is valued a bit more expensive.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 35.87 | ||
| Fwd PE | 28.73 |
4.2 Price Multiples
Compared to the rest of the industry, the Enterprise Value to EBITDA ratio of BSX indicates a somewhat cheap valuation: BSX is cheaper than 70.68% of the companies listed in the same industry.
75.92% of the companies in the same industry are more expensive than BSX, based on the Price/Free Cash Flow ratio.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | 66.46 | ||
| EV/EBITDA | 32.33 |
4.3 Compensation for Growth
The high PEG Ratio(NY), which compensates the Price/Earnings for growth, indicates BSX does not grow enough to justify the current Price/Earnings ratio.
The excellent profitability rating of BSX may justify a higher PE ratio.
BSX's earnings are expected to grow with 13.78% in the coming years. This may justify a more expensive valuation.
PEG (NY)2.41
PEG (5Y)5.33
EPS Next 2Y14.17%
EPS Next 3Y13.78%
5. Dividend
5.1 Amount
BSX does not give a dividend.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | N/A |
BOSTON SCIENTIFIC CORP
NYSE:BSX (6/14/2024, 7:04:01 PM)
After market: 77 +0.24 (+0.31%)76.76
-0.2 (-0.26%)
Chartmill FA Rating
GICS SectorHealth Care
GICS IndustryGroupHealth Care Equipment & Services
GICS IndustryHealth Care Equipment & Supplies
Earnings (Last)
Earnings (Next)
Inst Owners
Inst Owner Change
Ins Owners
Ins Owner Change
Market Cap112.85B
Analysts
Price Target
Dividend
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | N/A |
Dividend Growth(5Y)
DP
Div Incr Years
Div Non Decr Years
Ex-Date
Surprises & Revisions
EPS beat(2)
Avg EPS beat(2)
Min EPS beat(2)
Max EPS beat(2)
EPS beat(4)
Avg EPS beat(4)
Min EPS beat(4)
Max EPS beat(4)
EPS beat(8)
Avg EPS beat(8)
EPS beat(12)
Avg EPS beat(12)
EPS beat(16)
Avg EPS beat(16)
Revenue beat(2)
Avg Revenue beat(2)
Min Revenue beat(2)
Max Revenue beat(2)
Revenue beat(4)
Avg Revenue beat(4)
Min Revenue beat(4)
Max Revenue beat(4)
Revenue beat(8)
Avg Revenue beat(8)
Revenue beat(12)
Avg Revenue beat(12)
Revenue beat(16)
Avg Revenue beat(16)
PT rev (1m)
PT rev (3m)
EPS NQ rev (1m)
EPS NQ rev (3m)
EPS NY rev (1m)
EPS NY rev (3m)
Revenue NQ rev (1m)
Revenue NQ rev (3m)
Revenue NY rev (1m)
Revenue NY rev (3m)
Valuation
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 35.87 | ||
| Fwd PE | 28.73 | ||
| P/S | |||
| P/FCF | |||
| P/OCF | |||
| P/B | |||
| P/tB | |||
| EV/EBITDA |
EPS(TTM)
EY
EPS(NY)
Fwd EY
FCF(TTM)
FCFY
OCF(TTM)
OCFY
SpS
BVpS
TBVpS
PEG (NY)2.41
PEG (5Y)5.33
Profitability
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 4.82% | ||
| ROE | 8.86% | ||
| ROCE | |||
| ROIC | |||
| ROICexc | |||
| ROICexgc | |||
| OM | 17.22% | ||
| PM (TTM) | 12.01% | ||
| GM | 69.46% | ||
| FCFM |
ROA(3y)
ROA(5y)
ROE(3y)
ROE(5y)
ROIC(3y)
ROIC(5y)
ROICexc(3y)
ROICexc(5y)
ROICexgc(3y)
ROICexgc(5y)
ROCE(3y)
ROCE(5y)
ROICexcg growth 3Y
ROICexcg growth 5Y
ROICexc growth 3Y
ROICexc growth 5Y
OM growth 3Y
OM growth 5Y
PM growth 3Y
PM growth 5Y
GM growth 3Y
GM growth 5Y
F-Score
Asset Turnover0.4
Health
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.48 | ||
| Debt/FCF | |||
| Debt/EBITDA | |||
| Cap/Depr | |||
| Cap/Sales | |||
| Interest Coverage | |||
| Cash Conversion | |||
| Profit Quality | |||
| Current Ratio | 1.66 | ||
| Quick Ratio | 1.14 | ||
| Altman-Z |
F-Score
WACC
ROIC/WACC
Cap/Depr(3y)
Cap/Depr(5y)
Cap/Sales(3y)
Cap/Sales(5y)
Profit Quality(3y)
Profit Quality(5y)
High Growth Momentum
Growth
EPS 1Y (TTM)16.94%
EPS 3Y28.77%
EPS 5Y
EPS Q2Q%
EPS Next Y14.87%
EPS Next 2Y
EPS Next 3Y
EPS Next 5Y
Revenue 1Y (TTM)12.74%
Revenue growth 3Y12.83%
Revenue growth 5Y
Sales Q2Q%
Revenue Next Year
Revenue Next 2Y
Revenue Next 3Y
Revenue Next 5Y
EBIT growth 1Y
EBIT growth 3Y
EBIT growth 5Y
EBIT Next Year
EBIT Next 3Y
EBIT Next 5Y
FCF growth 1Y
FCF growth 3Y
FCF growth 5Y
OCF growth 1Y
OCF growth 3Y
OCF growth 5Y