BOSTON SCIENTIFIC CORP (BSX) Stock Fundamental Analysis
USA - NYSE:BSX - US1011371077 - Common Stock
100.3 USD
-0.67 (-0.66%)
100.23 USD
-0.07 (-0.07%)
Taking everything into account, BSX scores 6 out of 10 in our fundamental rating. BSX was compared to 189 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 showing excellent growth while it is valued at reasonable prices. Keep and eye on this one! These ratings could make BSX a good candidate for growth investing.
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 6.03% is amongst the best of the industry. BSX outperforms 83.60% of its industry peers.
The Return On Equity of BSX (11.17%) is better than 87.30% of its industry peers.
Looking at the Return On Invested Capital, with a value of 7.66%, BSX belongs to the top of the industry, outperforming 84.13% of the companies in the same industry.
BSX had an Average Return On Invested Capital over the past 3 years of 6.54%. This is below the industry average of 9.01%.
The 3 year average ROIC (6.54%) for BSX is below the current ROIC(7.66%), indicating increased profibility in the last year.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 6.03% | ||
| ROE | 11.17% | ||
| ROIC | 7.66% |
ROA(3y)3.72%
ROA(5y)2.77%
ROE(3y)6.77%
ROE(5y)5.1%
ROIC(3y)6.54%
ROIC(5y)5.68%
1.3 Margins
Looking at the Profit Margin, with a value of 13.54%, BSX belongs to the top of the industry, outperforming 91.01% of the companies in the same industry.
In the last couple of years the Profit Margin of BSX has declined.
Looking at the Operating Margin, with a value of 18.69%, BSX belongs to the top of the industry, outperforming 89.95% of the companies in the same industry.
BSX's Operating Margin has been stable in the last couple of years.
BSX has a Gross Margin of 68.30%. This is in the better half of the industry: BSX outperforms 75.13% of its industry peers.
BSX's Gross Margin has been stable in the last couple of years.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| OM | 18.69% | ||
| PM (TTM) | 13.54% | ||
| GM | 68.3% |
OM growth 3Y0.33%
OM growth 5Y1.13%
PM growth 3Y10.12%
PM growth 5Y-24.05%
GM growth 3Y-0.3%
GM growth 5Y-0.65%
2. Health
2.1 Basic Checks
The Return on Invested Capital (ROIC) is below the Cost of Capital (WACC), so BSX is destroying value.
The number of shares outstanding for BSX has been increased compared to 1 year ago.
BSX has more shares outstanding than it did 5 years ago.
BSX has a worse debt/assets ratio than last year.
2.2 Solvency
An Altman-Z score of 5.60 indicates that BSX is not in any danger for bankruptcy at the moment.
BSX has a better Altman-Z score (5.60) than 82.01% of its industry peers.
The Debt to FCF ratio of BSX is 3.33, which is a good value as it means it would take BSX, 3.33 years of fcf income to pay off all of its debts.
BSX has a Debt to FCF ratio of 3.33. This is amongst the best in the industry. BSX outperforms 85.71% of its industry peers.
A Debt/Equity ratio of 0.50 indicates that BSX is not too dependend on debt financing.
BSX has a Debt to Equity ratio (0.50) which is comparable to the rest of the industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.5 | ||
| Debt/FCF | 3.33 | ||
| Altman-Z | 5.6 |
ROIC/WACC0.93
WACC8.22%
2.3 Liquidity
BSX has a Current Ratio of 1.37. This is a normal value and indicates that BSX is financially healthy and should not expect problems in meeting its short term obligations.
BSX has a worse Current ratio (1.37) than 77.78% of its industry peers.
BSX has a Quick Ratio of 1.37. This is a bad value and indicates that BSX is not financially healthy enough and could expect problems in meeting its short term obligations.
BSX has a Quick ratio of 0.82. This is amonst the worse of the industry: BSX underperforms 83.60% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Current Ratio | 1.37 | ||
| Quick Ratio | 0.82 |
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
BSX is expected to show quite a strong growth in Earnings Per Share. In the coming years, the EPS will grow by 14.40% yearly.
BSX is expected to show quite a strong growth in Revenue. In the coming years, the Revenue will grow by 12.12% yearly.
EPS Next Y20.01%
EPS Next 2Y17.07%
EPS Next 3Y15.64%
EPS Next 5Y14.4%
Revenue Next Year19.72%
Revenue Next 2Y15.31%
Revenue Next 3Y13.68%
Revenue Next 5Y12.12%
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
A Price/Earnings ratio of 34.00 indicates a quite expensive valuation of BSX.
BSX's Price/Earnings ratio is a bit cheaper when compared to the industry. BSX is cheaper than 70.90% of the companies in the same industry.
When comparing the Price/Earnings ratio of BSX to the average of the S&P500 Index (26.76), we can say BSX is valued slightly more expensively.
The Price/Forward Earnings ratio is 29.15, which means the current valuation is very expensive for BSX.
72.49% of the companies in the same industry are more expensive than BSX, based on the Price/Forward Earnings ratio.
BSX is valuated rather expensively when we compare the Price/Forward Earnings ratio to 22.63, which is the current average of the S&P500 Index.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 34 | ||
| Fwd PE | 29.15 |
4.2 Price Multiples
BSX's Enterprise Value to EBITDA ratio is a bit cheaper when compared to the industry. BSX is cheaper than 70.90% of the companies in the same industry.
BSX's Price/Free Cash Flow ratio is a bit cheaper when compared to the industry. BSX is cheaper than 77.25% of the companies in the same industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | 42.66 | ||
| EV/EBITDA | 33.67 |
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 15.64% in the coming years. This may justify a more expensive valuation.
PEG (NY)1.7
PEG (5Y)3.56
EPS Next 2Y17.07%
EPS Next 3Y15.64%
5. Dividend
5.1 Amount
No dividends for BSX!.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | N/A |
100.3
-0.67 (-0.66%)
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 Change0.32%
Ins Owners0.15%
Ins Owner Change-1.53%
Market Cap148.62B
Revenue(TTM)19.35B
Net Income(TTM)2.50B
Analysts86.34
Price Target127.97 (27.59%)
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)6.53%
Min EPS beat(2)2.49%
Max EPS beat(2)10.56%
EPS beat(4)4
Avg EPS beat(4)6.23%
Min EPS beat(4)2.49%
Max EPS beat(4)10.56%
EPS beat(8)8
Avg EPS beat(8)6.12%
EPS beat(12)11
Avg EPS beat(12)5.14%
EPS beat(16)15
Avg EPS beat(16)4.28%
Revenue beat(2)2
Avg Revenue beat(2)1.7%
Min Revenue beat(2)0.97%
Max Revenue beat(2)2.43%
Revenue beat(4)4
Avg Revenue beat(4)2.15%
Min Revenue beat(4)0.97%
Max Revenue beat(4)3.16%
Revenue beat(8)8
Avg Revenue beat(8)2.1%
Revenue beat(12)11
Avg Revenue beat(12)2.01%
Revenue beat(16)12
Avg Revenue beat(16)1.41%
PT rev (1m)0%
PT rev (3m)4.27%
EPS NQ rev (1m)0.05%
EPS NQ rev (3m)2.16%
EPS NY rev (1m)0.02%
EPS NY rev (3m)2.19%
Revenue NQ rev (1m)0.22%
Revenue NQ rev (3m)2.16%
Revenue NY rev (1m)0.1%
Revenue NY rev (3m)2.03%
Valuation
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 34 | ||
| Fwd PE | 29.15 | ||
| P/S | 8.04 | ||
| P/FCF | 42.66 | ||
| P/OCF | 34.69 | ||
| P/B | 6.63 | ||
| P/tB | N/A | ||
| EV/EBITDA | 33.67 |
EPS(TTM)2.95
EY2.94%
EPS(NY)3.44
Fwd EY3.43%
FCF(TTM)2.35
FCFY2.34%
OCF(TTM)2.89
OCFY2.88%
SpS12.48
BVpS15.13
TBVpS-1.97
PEG (NY)1.7
PEG (5Y)3.56
Graham Number31.69
Profitability
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 6.03% | ||
| ROE | 11.17% | ||
| ROCE | 9.51% | ||
| ROIC | 7.66% | ||
| ROICexc | 7.77% | ||
| ROICexgc | 26.52% | ||
| OM | 18.69% | ||
| PM (TTM) | 13.54% | ||
| GM | 68.3% | ||
| FCFM | 18.84% |
ROA(3y)3.72%
ROA(5y)2.77%
ROE(3y)6.77%
ROE(5y)5.1%
ROIC(3y)6.54%
ROIC(5y)5.68%
ROICexc(3y)6.7%
ROICexc(5y)5.9%
ROICexgc(3y)22.68%
ROICexgc(5y)19.43%
ROCE(3y)8.12%
ROCE(5y)7.05%
ROICexgc growth 3Y8.56%
ROICexgc growth 5Y6.81%
ROICexc growth 3Y4.36%
ROICexc growth 5Y5.23%
OM growth 3Y0.33%
OM growth 5Y1.13%
PM growth 3Y10.12%
PM growth 5Y-24.05%
GM growth 3Y-0.3%
GM growth 5Y-0.65%
F-Score5
Asset Turnover0.45
Health
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.5 | ||
| Debt/FCF | 3.33 | ||
| Debt/EBITDA | 2.33 | ||
| Cap/Depr | 60.84% | ||
| Cap/Sales | 4.33% | ||
| Interest Coverage | 250 | ||
| Cash Conversion | 89.77% | ||
| Profit Quality | 139.08% | ||
| Current Ratio | 1.37 | ||
| Quick Ratio | 0.82 | ||
| Altman-Z | 5.6 |
F-Score5
WACC8.22%
ROIC/WACC0.93
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 Y20.01%
EPS Next 2Y17.07%
EPS Next 3Y15.64%
EPS Next 5Y14.4%
Revenue 1Y (TTM)21.62%
Revenue growth 3Y12.1%
Revenue growth 5Y9.3%
Sales Q2Q%20.34%
Revenue Next Year19.72%
Revenue Next 2Y15.31%
Revenue Next 3Y13.68%
Revenue Next 5Y12.12%
EBIT growth 1Y26.44%
EBIT growth 3Y12.47%
EBIT growth 5Y10.54%
EBIT Next Year35.51%
EBIT Next 3Y19.85%
EBIT Next 5Y17.06%
FCF growth 1Y131.03%
FCF growth 3Y26.15%
FCF growth 5Y16.61%
OCF growth 1Y101.7%
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 20.01% in the next year.