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On Friday, Piper Sandler reaffirmed its Overweight rating on Boston Scientific (NYSE:BSX) shares, with a consistent price target of $115.00. The medical device giant, currently trading near $104.50 and approaching its 52-week high of $107.17, has demonstrated remarkable momentum with a 39% return over the past year. According to InvestingPro data, the company maintains a "GREAT" financial health score of 3.1. The firm’s analyst, Matt O’Brien, pointed to a strong performance from Farapulse, which generated approximately $1 billion in revenue during its first year of U.S. commercial launch in 2024. The success of Boston Scientific’s electrophysiology (EP) franchise is expected to continue, and the analyst highlighted several growth drivers that could significantly increase the company’s sales in the coming years. This outlook aligns with the company’s impressive 19.36% revenue growth in the last twelve months, reaching $17.55 billion in total revenue.
According to O’Brien’s assessment, these growth factors could organically boost sales by 230 basis points in 2026 and by an additional 330 basis points in 2027, with further increases projected through the end of the decade. While no single transaction is expected to singularly propel Boston Scientific’s growth, the analyst estimates that these deals could expand the company’s market opportunities by more than $290 billion beyond 2025. A substantial portion of this potential market expansion is attributed to the Watchman device, contingent on positive results from the Champion study.
The analysis suggests that Boston Scientific is well-positioned to maintain double-digit top-line growth for many years. The company’s strategic focus appears to be on expanding its market reach and capitalizing on new growth opportunities within the medical device sector. With these anticipated growth drivers, Boston Scientific is poised for continued success and expansion in its respective markets. While currently trading above its InvestingPro Fair Value, the company boasts 14 additional key insights available on InvestingPro, including detailed valuation metrics and growth projections that could help investors make more informed decisions.
In other recent news, Boston Scientific has announced the global discontinuation of its Acurate neo2 and Acurate Prime Aortic Valve Systems. This decision follows discussions with regulatory bodies, revealing heightened clinical and regulatory requirements that the company deemed too burdensome to meet. Despite this, Boston Scientific has reaffirmed its guidance for the second quarter and full year of 2025 regarding reported and organic sales and adjusted earnings per share. Analysts from TD Cowen, Citi, and Needham have maintained their Buy ratings for the company, with price targets set at $115.00 and $125.00, respectively.
The cessation of the Acurate valve systems is expected to have a minimal impact on Boston Scientific’s financial model, with the company continuing to focus on other investment opportunities. Citi analysts view the discontinuation as a strategic move in resource management, while Needham highlights the potential of other products like FARAPULSE and WATCHMAN to drive growth. The discontinuation has also been noted to potentially benefit competitors such as Edwards Lifesciences (NYSE:EW), which may gain market share in the aortic valve sector. Boston Scientific plans to provide further details on the financial impact of this decision during its second-quarter earnings call.
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