5 big analyst AI moves: Nvidia guidance warning; Snowflake, Palo Alto upgraded
On Thursday, RBC Capital Markets analyst Shagun Singh raised the price target on Boston Scientific stock (NYSE:BSX) to $116 from $105, while maintaining an Outperform rating on the shares. With a current market capitalization of $154.71 billion, InvestingPro analysis indicates the stock is trading above its Fair Value, with the stock currently near its 52-week high of $107.17. The adjustment follows Boston Scientific’s robust fourth-quarter performance in 2024, with a reported 20% year-over-year organic growth, which was 1,150 basis points above end-markets, and a 27% year-over-year EPS growth.
Boston Scientific has also provided a strong initial guide for 2025, forecasting 11% year-over-year organic growth at the midpoint, surpassing consensus expectations. The company’s momentum heading into 2025 is seen as a positive sign, with expectations of it continuing to be one of the highest-performing large-cap companies in the MedTech sector. This outlook is supported by the company’s impressive 17.52% year-to-date return and its position as a prominent player in the Healthcare Equipment & Supplies industry.
According to Singh, the company’s future growth is anticipated to be driven by solid execution, an innovative product portfolio, and robust end-markets, which are expected to have an 8.5% weighted average market growth rate in 2025. The company’s strong fundamentals are reflected in its impressive 69.91% gross profit margin and $4.48 billion in EBITDA. InvestingPro subscribers have access to over 20 additional insights and detailed financial metrics for BSX. Additionally, Boston Scientific is projected to experience margin expansion, with operating margins increasing by 50 to 75 basis points.
The RBC Capital Markets analyst believes that there is potential for Boston Scientific to outperform estimates and raise forecasts throughout 2025, reinforcing the Outperform rating and the increased price target. The analyst’s statement highlighted the company’s "Solid PFA and Broad Portfolio Momentum Offer Room for 2025 Upside," praising the company’s impressive quarterly results and strong guidance for the future. This optimism is further supported by nine analysts recently revising their earnings estimates upward, according to InvestingPro data.
In other recent news, Boston Scientific has been the subject of several analyst reports following a robust fourth-quarter performance. Truist Securities upgraded the stock target to $120, maintaining a Buy rating. This adjustment was primarily driven by a strong adoption of the PFA technology and a 20% year-over-year growth of the WATCHMAN device. Mizuho (NYSE:MFG) Securities also raised its stock target to $130, maintaining an Outperform rating. This followed a series of positive developments, including global FARAPULSE sales surpassing the $1 billion mark and favorable early feedback on the combination of the FaraWave and Opal mapping system.
Canaccord Genuity also increased the stock target to $117, maintaining its Buy rating. The firm noted a 22.4% year-over-year increase in reported revenue and a 19.5% rise in organic revenue. Despite the positive performance, Boston Scientific provided initial 2025 guidance indicating a slowdown in growth, which Canaccord analysts believe will not deter the company’s strong market position.
However, Needham maintained a Hold rating on the company, citing potential challenges ahead despite Boston Scientific’s improved organic revenue growth and robust performance in the latest quarter. Lastly, Bernstein increased the stock target to $121, maintaining an Outperform rating. This followed Boston Scientific’s report of significant organic growth and a robust forecast for 2025. These are some of the recent developments for Boston Scientific.
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