BOSTON SCIENTIFIC CORP (BSX) Stock Fundamental Analysis
USA - New York Stock Exchange - NYSE:BSX - US1011371077 - Common Stock
96.88 USD
+0.28 (+0.29%)
96.84 USD
-0.04 (-0.04%)
Overall BSX gets a fundamental rating of 5 out of 10. We evaluated BSX against 188 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 showing excellent growth while it is valued at reasonable prices. Keep and eye on this one!
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.
BSX had positive earnings in 4 of the past 5 years.
Each year in the past 5 years BSX had a positive operating cash flow.
1.2 Ratios
BSX has a Return On Assets of 6.54%. This is amongst the best in the industry. BSX outperforms 85.64% of its industry peers.
With an excellent Return On Equity value of 11.93%, BSX belongs to the best of the industry, outperforming 87.77% of the companies in the same industry.
With an excellent Return On Invested Capital value of 8.09%, BSX belongs to the best of the industry, outperforming 84.57% of the companies in the same industry.
The Average Return On Invested Capital over the past 3 years for BSX 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
The Profit Margin of BSX (14.42%) is better than 90.43% of its industry peers.
In the last couple of years the Profit Margin of BSX has declined.
BSX has a Operating Margin of 19.40%. This is amongst the best in the industry. BSX outperforms 92.55% of its industry peers.
BSX's Operating Margin has been stable in the last couple of years.
BSX has a better Gross Margin (68.57%) than 74.47% of its industry peers.
In the last couple of years the Gross Margin of BSX has remained more or less at the same level.
| 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.
BSX has more shares outstanding than it did 1 year ago.
Compared to 5 years ago, BSX has more shares outstanding
BSX has a worse debt/assets ratio than last year.
2.2 Solvency
An Altman-Z score of 5.44 indicates that BSX is not in any danger for bankruptcy at the moment.
Looking at the Altman-Z score, with a value of 5.44, BSX is in the better half of the industry, outperforming 78.19% 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.
With an excellent Debt to FCF ratio value of 3.03, BSX belongs to the best of the industry, outperforming 84.04% of the companies in the same industry.
A Debt/Equity ratio of 0.48 indicates that BSX is not too dependend on debt financing.
BSX's Debt to Equity ratio of 0.48 is in line compared to the rest of the industry. BSX outperforms 43.62% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.48 | ||
| Debt/FCF | 3.03 | ||
| Altman-Z | 5.44 |
ROIC/WACC0.98
WACC8.27%
2.3 Liquidity
BSX has a Current Ratio of 1.51. This is a normal value and indicates that BSX is financially healthy and should not expect problems in meeting its short term obligations.
With a Current ratio value of 1.51, BSX is not doing good in the industry: 75.00% of the companies in the same industry are doing better.
A Quick Ratio of 0.96 indicates that BSX may have some problems paying its short term obligations.
BSX's Quick ratio of 0.96 is on the low side compared to the rest of the industry. BSX is outperformed by 79.79% of its industry peers.
| 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.
Measured over the past years, BSX shows a quite strong growth in Earnings Per Share. The EPS has been growing by 9.56% on average per year.
BSX shows a strong growth in Revenue. In the last year, the Revenue has grown by 21.62%.
The Revenue has been growing by 9.30% on average over the past years. This is quite good.
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 32.84.
Compared to the rest of the industry, the Price/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/Earnings ratio is at 25.45. BSX is valued slightly more expensive when compared to this.
BSX is valuated quite expensively with a Price/Forward Earnings ratio of 27.69.
72.87% of the companies in the same industry are more expensive than BSX, based on the Price/Forward Earnings ratio.
BSX is valuated at similar levels of the S&P average when we compare the Price/Forward Earnings ratio to 34.46, which is the current average of the S&P500 Index.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 32.84 | ||
| Fwd PE | 27.69 |
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 70.74% of the companies listed in the same industry.
Based on the Price/Free Cash Flow ratio, BSX is valued a bit cheaper than 75.53% of the companies in the same industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | 37.55 | ||
| EV/EBITDA | 30.14 |
4.3 Compensation for Growth
BSX's PEG Ratio(NY), which compensates the Price/Earnings for growth, indicates a correct valuation of the company.
BSX has a very decent profitability rating, which 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)1.49
PEG (5Y)3.43
EPS Next 2Y18.06%
EPS Next 3Y16.46%
5. Dividend
5.1 Amount
BSX does not give a dividend.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | N/A |
96.88
+0.28 (+0.29%)
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 Change-82.02%
Ins Owners0.15%
Ins Owner Change-1.21%
Market Cap143.55B
Revenue(TTM)19.35B
Net Income(TTM)2.79B
Analysts86.34
Price Target128.25 (32.38%)
Short Float %1.32%
Short Ratio2
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)1.58%
PT rev (3m)1.89%
EPS NQ rev (1m)2.29%
EPS NQ rev (3m)2.28%
EPS NY rev (1m)1.75%
EPS NY rev (3m)1.75%
Revenue NQ rev (1m)1.93%
Revenue NQ rev (3m)2.15%
Revenue NY rev (1m)0.98%
Revenue NY rev (3m)1.08%
Valuation
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 32.84 | ||
| Fwd PE | 27.69 | ||
| P/S | 7.42 | ||
| P/FCF | 37.55 | ||
| P/OCF | 31.04 | ||
| P/B | 6.14 | ||
| P/tB | N/A | ||
| EV/EBITDA | 30.14 |
EPS(TTM)2.95
EY3.05%
EPS(NY)3.5
Fwd EY3.61%
FCF(TTM)2.58
FCFY2.66%
OCF(TTM)3.12
OCFY3.22%
SpS13.06
BVpS15.79
TBVpS-1.34
PEG (NY)1.49
PEG (5Y)3.43
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 | 5.44 |
F-Score6
WACC8.27%
ROIC/WACC0.98
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 6 / 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 5 / 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.