BOSTON SCIENTIFIC CORP (BSX) Stock Fundamental Analysis
USA - NYSE:BSX - US1011371077 - Common Stock
101.76 USD
-0.93 (-0.91%)
101.372 USD
-0.39 (-0.38%)
Taking everything into account, BSX scores 5 out of 10 in our fundamental rating. BSX was compared to 188 industry peers in the Health Care Equipment & Supplies industry. BSX scores excellent on profitability, but there are some minor concerns on its financial health. BSX is not overvalued while it is showing excellent growth. This is an interesting combination.
1. Profitability
1.1 Basic Checks
In the past year BSX was profitable.
In the past year BSX had a positive cash flow from operations.
Of the past 5 years BSX 4 years were profitable.
Each year in the past 5 years BSX had a positive operating cash flow.
1.2 Ratios
With an excellent Return On Assets value of 6.54%, BSX belongs to the best of the industry, outperforming 85.64% of the companies in the same industry.
BSX has a better Return On Equity (11.93%) than 87.23% of its industry peers.
Looking at the Return On Invested Capital, with a value of 8.09%, BSX belongs to the top of the industry, outperforming 85.11% of the companies in the same industry.
BSX had an Average Return On Invested Capital over the past 3 years of 6.59%. This is below the industry average of 8.98%.
The 3 year average ROIC (6.59%) for BSX is below the current ROIC(8.09%), indicating increased profibility in the last year.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 6.54% | ||
| ROE | 11.93% | ||
| ROIC | 8.09% |
ROA(3y)3.72%
ROA(5y)2.77%
ROE(3y)6.77%
ROE(5y)5.1%
ROIC(3y)6.59%
ROIC(5y)5.7%
1.3 Margins
BSX has a better Profit Margin (14.42%) than 89.89% of its industry peers.
BSX's Profit Margin has declined in the last couple of years.
BSX has a Operating Margin of 19.40%. This is amongst the best in the industry. BSX outperforms 92.02% of its industry peers.
In the last couple of years the Operating Margin of BSX has remained more or less at the same level.
With a decent Gross Margin value of 68.57%, BSX is doing good in the industry, outperforming 76.06% 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 | 19.4% | ||
| PM (TTM) | 14.42% | ||
| GM | 68.57% |
OM growth 3Y0.91%
OM growth 5Y1.48%
PM growth 3Y10.12%
PM growth 5Y-24.05%
GM growth 3Y-0.15%
GM growth 5Y-0.56%
2. Health
2.1 Basic Checks
The Return on Invested Capital (ROIC) is below the Cost of Capital (WACC), so BSX is destroying value.
Compared to 1 year ago, BSX has more shares outstanding
The number of shares outstanding for BSX has been increased compared to 5 years ago.
The debt/assets ratio for BSX is higher compared to a year ago.
2.2 Solvency
An Altman-Z score of 5.71 indicates that BSX is not in any danger for bankruptcy at the moment.
Looking at the Altman-Z score, with a value of 5.71, BSX is in the better half of the industry, outperforming 79.79% of the companies in the same industry.
BSX has a debt to FCF ratio of 3.03. This is a good value and a sign of high solvency as BSX would need 3.03 years to pay back of all of its debts.
Looking at the Debt to FCF ratio, with a value of 3.03, BSX belongs to the top of the industry, outperforming 84.57% 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.
With a Debt to Equity ratio value of 0.48, BSX perfoms like the industry average, outperforming 44.15% of the companies in the same industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.48 | ||
| Debt/FCF | 3.03 | ||
| Altman-Z | 5.71 |
ROIC/WACC0.97
WACC8.36%
2.3 Liquidity
A Current Ratio of 1.51 indicates that BSX should not have too much problems paying its short term obligations.
The Current ratio of BSX (1.51) is worse than 75.53% of its industry peers.
A Quick Ratio of 0.96 indicates that BSX may have some problems paying its short term obligations.
With a Quick ratio value of 0.96, BSX is not doing good in the industry: 79.79% of the companies in the same industry are doing better.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Current Ratio | 1.51 | ||
| Quick Ratio | 0.96 |
3. Growth
3.1 Past
The Earnings Per Share has grown by an impressive 25.00% over the past year.
The Earnings Per Share has been growing by 9.56% on average over the past years. This is quite good.
Looking at the last year, BSX shows a very strong growth in Revenue. The Revenue has grown by 21.62%.
Measured over the past years, BSX shows a quite strong growth in Revenue. The Revenue has been growing by 9.30% on average per year.
EPS 1Y (TTM)25%
EPS 3Y15.48%
EPS 5Y9.56%
EPS Q2Q%19.05%
Revenue 1Y (TTM)21.62%
Revenue growth 3Y12.1%
Revenue growth 5Y9.3%
Sales Q2Q%20.34%
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 15.01% yearly.
The Revenue is expected to grow by 12.51% on average over the next years. This is quite good.
EPS Next Y22.11%
EPS Next 2Y18.06%
EPS Next 3Y16.46%
EPS Next 5Y15.01%
Revenue Next Year20.9%
Revenue Next 2Y16.08%
Revenue Next 3Y14.18%
Revenue Next 5Y12.51%
3.3 Evolution
When comparing the EPS growth rate of the last years to the growth rate of the upcoming years, we see that the growth is accelerating.
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 34.49.
BSX's Price/Earnings ratio is a bit cheaper when compared to the industry. BSX is cheaper than 71.28% of the companies in the same industry.
When comparing the Price/Earnings ratio of BSX to the average of the S&P500 Index (25.56), we can say BSX is valued slightly more expensively.
BSX is valuated quite expensively with a Price/Forward Earnings ratio of 29.09.
Compared to the rest of the industry, the Price/Forward Earnings ratio of BSX indicates a somewhat cheap valuation: BSX is cheaper than 72.34% of the companies listed in the same industry.
The average S&P500 Price/Forward Earnings ratio is at 34.62. BSX is around the same levels.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 34.49 | ||
| Fwd PE | 29.09 |
4.2 Price Multiples
BSX's Enterprise Value to EBITDA ratio is a bit cheaper when compared to the industry. BSX is cheaper than 70.74% of the companies in the same industry.
Compared to the rest of the industry, the Price/Free Cash Flow ratio of BSX indicates a somewhat cheap valuation: BSX is cheaper than 75.00% of the companies listed in the same industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | 39.44 | ||
| EV/EBITDA | 31.83 |
4.3 Compensation for Growth
BSX's PEG Ratio(NY), which compensates the Price/Earnings for growth, indicates a correct valuation of the company.
The decent profitability rating of BSX may justify a higher PE ratio.
BSX's earnings are expected to grow with 16.46% in the coming years. This may justify a more expensive valuation.
PEG (NY)1.56
PEG (5Y)3.61
EPS Next 2Y18.06%
EPS Next 3Y16.46%
5. Dividend
5.1 Amount
No dividends for BSX!.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | N/A |
101.76
-0.93 (-0.91%)
Chartmill FA Rating
GICS SectorHealth Care
GICS IndustryGroupHealth Care Equipment & Services
GICS IndustryHealth Care Equipment & Supplies
Earnings (Last)
Earnings (Next)
Inst Owners93.27%
Inst Owner Change0.1%
Ins Owners0.15%
Ins Owner Change-3.61%
Market Cap150.78B
Revenue(TTM)19.35B
Net Income(TTM)2.79B
Analysts86.34
Price Target127.97 (25.76%)
Short Float %1.33%
Short Ratio2.11
Dividend
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | N/A |
Yearly Dividend0
Dividend Growth(5Y)N/A
DP0%
Div Incr Years0
Div Non Decr Years0
Ex-DateN/A
Surprises & Revisions
EPS beat(2)2
Avg EPS beat(2)3.27%
Min EPS beat(2)2.49%
Max EPS beat(2)4.06%
EPS beat(4)4
Avg EPS beat(4)5.68%
Min EPS beat(4)2.49%
Max EPS beat(4)10.56%
EPS beat(8)8
Avg EPS beat(8)6.15%
EPS beat(12)12
Avg EPS beat(12)5.77%
EPS beat(16)15
Avg EPS beat(16)4.37%
Revenue beat(2)2
Avg Revenue beat(2)1.69%
Min Revenue beat(2)0.96%
Max Revenue beat(2)2.43%
Revenue beat(4)4
Avg Revenue beat(4)1.6%
Min Revenue beat(4)0.96%
Max Revenue beat(4)2.43%
Revenue beat(8)8
Avg Revenue beat(8)2.16%
Revenue beat(12)11
Avg Revenue beat(12)2.08%
Revenue beat(16)13
Avg Revenue beat(16)1.61%
PT rev (1m)1.36%
PT rev (3m)1.75%
EPS NQ rev (1m)2.29%
EPS NQ rev (3m)2.28%
EPS NY rev (1m)1.77%
EPS NY rev (3m)3.98%
Revenue NQ rev (1m)1.93%
Revenue NQ rev (3m)2.15%
Revenue NY rev (1m)0.99%
Revenue NY rev (3m)1.31%
Valuation
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 34.49 | ||
| Fwd PE | 29.09 | ||
| P/S | 7.79 | ||
| P/FCF | 39.44 | ||
| P/OCF | 32.6 | ||
| P/B | 6.45 | ||
| P/tB | N/A | ||
| EV/EBITDA | 31.83 |
EPS(TTM)2.95
EY2.9%
EPS(NY)3.5
Fwd EY3.44%
FCF(TTM)2.58
FCFY2.54%
OCF(TTM)3.12
OCFY3.07%
SpS13.06
BVpS15.79
TBVpS-1.34
PEG (NY)1.56
PEG (5Y)3.61
Graham Number32.37
Profitability
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 6.54% | ||
| ROE | 11.93% | ||
| ROCE | 10.04% | ||
| ROIC | 8.09% | ||
| ROICexc | 8.38% | ||
| ROICexgc | 28.19% | ||
| OM | 19.4% | ||
| PM (TTM) | 14.42% | ||
| GM | 68.57% | ||
| FCFM | 19.76% |
ROA(3y)3.72%
ROA(5y)2.77%
ROE(3y)6.77%
ROE(5y)5.1%
ROIC(3y)6.59%
ROIC(5y)5.7%
ROICexc(3y)6.75%
ROICexc(5y)5.93%
ROICexgc(3y)22.84%
ROICexgc(5y)19.53%
ROCE(3y)8.18%
ROCE(5y)7.08%
ROICexgc growth 3Y9.18%
ROICexgc growth 5Y7.17%
ROICexc growth 3Y4.96%
ROICexc growth 5Y5.6%
OM growth 3Y0.91%
OM growth 5Y1.48%
PM growth 3Y10.12%
PM growth 5Y-24.05%
GM growth 3Y-0.15%
GM growth 5Y-0.56%
F-Score6
Asset Turnover0.45
Health
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.48 | ||
| Debt/FCF | 3.03 | ||
| Debt/EBITDA | 2.18 | ||
| Cap/Depr | 59.36% | ||
| Cap/Sales | 4.14% | ||
| Interest Coverage | 250 | ||
| Cash Conversion | 90.6% | ||
| Profit Quality | 136.98% | ||
| Current Ratio | 1.51 | ||
| Quick Ratio | 0.96 | ||
| Altman-Z | 5.71 |
F-Score6
WACC8.36%
ROIC/WACC0.97
Cap/Depr(3y)57.82%
Cap/Depr(5y)54.13%
Cap/Sales(3y)4.78%
Cap/Sales(5y)4.85%
Profit Quality(3y)134.31%
Profit Quality(5y)N/A
High Growth Momentum
Growth
EPS 1Y (TTM)25%
EPS 3Y15.48%
EPS 5Y9.56%
EPS Q2Q%19.05%
EPS Next Y22.11%
EPS Next 2Y18.06%
EPS Next 3Y16.46%
EPS Next 5Y15.01%
Revenue 1Y (TTM)21.62%
Revenue growth 3Y12.1%
Revenue growth 5Y9.3%
Sales Q2Q%20.34%
Revenue Next Year20.9%
Revenue Next 2Y16.08%
Revenue Next 3Y14.18%
Revenue Next 5Y12.51%
EBIT growth 1Y30.66%
EBIT growth 3Y13.12%
EBIT growth 5Y10.92%
EBIT Next Year35.51%
EBIT Next 3Y19.85%
EBIT Next 5Y17.37%
FCF growth 1Y125.15%
FCF growth 3Y26.15%
FCF growth 5Y16.61%
OCF growth 1Y96.47%
OCF growth 3Y22.44%
OCF growth 5Y13.34%
BOSTON SCIENTIFIC CORP / BSX FAQ
What is the ChartMill fundamental rating of BOSTON SCIENTIFIC CORP (BSX) stock?
ChartMill assigns a fundamental rating of 5 / 10 to BSX.
What is the valuation status of BOSTON SCIENTIFIC CORP (BSX) stock?
ChartMill assigns a valuation rating of 4 / 10 to BOSTON SCIENTIFIC CORP (BSX). This can be considered as Fairly Valued.
How profitable is BOSTON SCIENTIFIC CORP (BSX) stock?
BOSTON SCIENTIFIC CORP (BSX) has a profitability rating of 7 / 10.
Can you provide the financial health for BSX stock?
The financial health rating of BOSTON SCIENTIFIC CORP (BSX) is 4 / 10.
What is the expected EPS growth for BOSTON SCIENTIFIC CORP (BSX) stock?
The Earnings per Share (EPS) of BOSTON SCIENTIFIC CORP (BSX) is expected to grow by 22.11% in the next year.