BOSTON SCIENTIFIC CORP (BSX) Stock Fundamental Analysis
USA - New York Stock Exchange - NYSE:BSX - US1011371077 - Common Stock
98.38 USD
-0.27 (-0.27%)
98.38 USD
0 (0%)
We assign a fundamental rating of 5 out of 10 to BSX. BSX was compared to 185 industry peers in the Health Care Equipment & Supplies industry. While BSX belongs to the best of the industry regarding profitability, there are some minor concerns on its financial health. BSX is not priced too expensively while it is growing strongly. Keep and eye on this one!
1. Profitability
1.1 Basic Checks
BSX had positive earnings in the past year.
BSX had a positive operating cash flow in the past year.
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
BSX's Return On Assets of 6.54% is amongst the best of the industry. BSX outperforms 86.49% of its industry peers.
With an excellent Return On Equity value of 11.93%, BSX belongs to the best of the industry, outperforming 88.11% of the companies in the same industry.
BSX has a better Return On Invested Capital (8.09%) than 84.32% of its industry peers.
BSX had an Average Return On Invested Capital over the past 3 years of 6.59%. This is below the industry average of 8.84%.
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 90.81% 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 92.43% of its industry peers.
In the last couple of years the Operating Margin of BSX has remained more or less at the same level.
BSX's Gross Margin of 68.57% is fine compared to the rest of the industry. BSX outperforms 74.59% of its industry peers.
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
BSX has a Return on Invested Capital (ROIC), which is below the Cost of Capital (WACC), which means it is destroying value.
Compared to 1 year ago, BSX has more shares outstanding
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 5.52 indicates that BSX is not in any danger for bankruptcy at the moment.
The Altman-Z score of BSX (5.52) is better than 78.38% of its industry peers.
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.
The Debt to FCF ratio of BSX (3.03) is better than 83.24% of its industry peers.
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 comparable to the rest of the industry: BSX outperforms 43.24% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.48 | ||
| Debt/FCF | 3.03 | ||
| Altman-Z | 5.52 |
ROIC/WACC0.84
WACC9.59%
2.3 Liquidity
A Current Ratio of 1.51 indicates that BSX should not have too much problems paying its short term obligations.
BSX has a Current ratio of 1.51. This is in the lower half of the industry: BSX underperforms 72.97% of its industry peers.
A Quick Ratio of 0.96 indicates that BSX may have some problems paying its short term obligations.
BSX has a worse Quick ratio (0.96) than 77.84% 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%.
BSX shows quite a strong growth in Revenue. Measured over the last years, the Revenue has been growing by 9.30% yearly.
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
Based on estimates for the next years, BSX will show a quite strong growth in Earnings Per Share. The EPS will grow by 15.01% on average per year.
BSX is expected to show quite a strong growth in Revenue. In the coming years, the Revenue will grow by 12.51% yearly.
EPS Next Y22.13%
EPS Next 2Y18.12%
EPS Next 3Y16.5%
EPS Next 5Y15.01%
Revenue Next Year20.9%
Revenue Next 2Y16.08%
Revenue Next 3Y14.18%
Revenue Next 5Y12.51%
3.3 Evolution
The EPS growth rate is accelerating: in the next years the growth will be better than in the last years.
The Revenue growth rate is accelerating: in the next years the growth will be better than in the last years.
4. Valuation
4.1 Price/Earnings Ratio
BSX is valuated quite expensively with a Price/Earnings ratio of 33.35.
72.97% of the companies in the same industry are more expensive than BSX, based on the Price/Earnings ratio.
BSX's Price/Earnings ratio indicates a valuation a bit more expensive than the S&P500 average which is at 27.00.
BSX is valuated quite expensively with a Price/Forward Earnings ratio of 28.09.
Compared to the rest of the industry, the Price/Forward Earnings ratio of BSX indicates a somewhat cheap valuation: BSX is cheaper than 74.05% of the companies listed in the same industry.
Compared to an average S&P500 Price/Forward Earnings ratio of 23.70, BSX is valued at the same level.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 33.35 | ||
| Fwd PE | 28.09 |
4.2 Price Multiples
BSX's Enterprise Value to EBITDA ratio is a bit cheaper when compared to the industry. BSX is cheaper than 71.35% of the companies in the same industry.
Based on the Price/Free Cash Flow ratio, BSX is valued a bit cheaper than 77.30% of the companies in the same industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | 38.15 | ||
| EV/EBITDA | 30.67 |
4.3 Compensation for Growth
The 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 16.50% in the coming years. This may justify a more expensive valuation.
PEG (NY)1.51
PEG (5Y)3.49
EPS Next 2Y18.12%
EPS Next 3Y16.5%
5. Dividend
5.1 Amount
No dividends for BSX!.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 0% |
98.38
-0.27 (-0.27%)
Chartmill FA Rating
GICS SectorHealth Care
GICS IndustryGroupHealth Care Equipment & Services
GICS IndustryHealth Care Equipment & Supplies
Earnings (Last)
Earnings (Next)
Inst Owners94.07%
Inst Owner Change0%
Ins Owners0.15%
Ins Owner Change-0.4%
Market Cap145.84B
Revenue(TTM)19.35B
Net Income(TTM)2.79B
Analysts86
Price Target127.2 (29.29%)
Short Float %1.3%
Short Ratio2.1
Dividend
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 0% |
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)-0.82%
PT rev (3m)0.75%
EPS NQ rev (1m)0%
EPS NQ rev (3m)2.36%
EPS NY rev (1m)0.01%
EPS NY rev (3m)1.79%
Revenue NQ rev (1m)0%
Revenue NQ rev (3m)2.17%
Revenue NY rev (1m)0%
Revenue NY rev (3m)1%
Valuation
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 33.35 | ||
| Fwd PE | 28.09 | ||
| P/S | 7.54 | ||
| P/FCF | 38.15 | ||
| P/OCF | 31.53 | ||
| P/B | 6.23 | ||
| P/tB | N/A | ||
| EV/EBITDA | 30.67 |
EPS(TTM)2.95
EY3%
EPS(NY)3.5
Fwd EY3.56%
FCF(TTM)2.58
FCFY2.62%
OCF(TTM)3.12
OCFY3.17%
SpS13.05
BVpS15.78
TBVpS-1.34
PEG (NY)1.51
PEG (5Y)3.49
Graham Number32.36
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 | 5.52 |
F-Score6
WACC9.59%
ROIC/WACC0.84
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 Y22.13%
EPS Next 2Y18.12%
EPS Next 3Y16.5%
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 Year37.61%
EBIT Next 3Y20.84%
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 for 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.
What is the valuation of BOSTON SCIENTIFIC CORP based on its PE and PB ratios?
The Price/Earnings (PE) ratio for BOSTON SCIENTIFIC CORP (BSX) is 33.35 and the Price/Book (PB) ratio is 6.23.
Can you provide the expected EPS growth for BSX stock?
The Earnings per Share (EPS) of BOSTON SCIENTIFIC CORP (BSX) is expected to grow by 22.13% in the next year.