Boston Scientific Corporation (BSX)Growth Analysis: Profit Driven by Strength

Boston Scientific Corporation (BSX) is owned by a number of high-value investors. Its largest direct holder is Michael F. Mahoney Chairman of the Board, President and Chief Executive Officer with 2,026,921 shares. The second-largest direct holder is MaulikNanavaty Senior Vice President and President, Neuromodulation, with 254,469 shares of the company’s stock. In third place with 214,960 shares of BSX is Daniel J. Brennan Principal Accounting Officer, Executive Vice President and Chief Financial Officer.

Now turning to institutional ownership of Boston Scientific Corporation (BSX), FMR LLC is the top holder with 134.91 million shares. The next largest fund holder of this company’s stock is BLACKROCK INC. with 110.63 million shares. In the third-place spot with 106.87 million shares is VANGUARD GROUP INC.

This company’s stock price was $42.84 at the previous market close, with its latest volume reaching 5,770,672. Compare that to its average daily volume of 6.21M. Given the fact that this stock has 1.44B shares outstanding, its current market value is sitting at $61.88B. This publicly-traded stock’s 60-month Beta is 0.82. Its Price to Sales ratio is 6.14, its Price to Cash Flow ratio is 503.07, and its Price to Book ratio is 6.32.

BSX stock has achieved a 5-day range of $41.00 to $43.41, with a total performance of +0.35% during that period. Meanwhile, in the past month of trading, this stock has traded in the range of $40.90 to $43.53, generating a +1.30% change during the period. In the past three months, this stock’s price has changed by +12.53%, trading in the range of $37.62 to $43.66.

In the past 5 days, shares of BSX have made a new high 3 times. In the last month, it has made a new high 3 times, and in the past 3 months, it has made a new high 10 times.

Now let’s turn to this public company’s earnings. For the quarter ending Jun-19, the earnings per share (EPS) was reported at $0.39. This is a 0.01 difference compared to the consensus estimate of 0.38, amounting to an earnings surprise of 2.47%. In the previous quarter, which ended in Mar-19, the consensus estimate was 0.36, making for an earnings surprise of 1.66. For the quarter ending Dec-18, EPS was reported at $0.39, generating a 4.87% earnings surprise.

The Net Income for the most recent full fiscal year, which ended in 12-2018, was $1.67 billion. This is compared to the prior year, where Net Income was $104.0 million. Meanwhile, this company’s Operating Cash Flow was $310.0 million for the year, compared to $1.43 billion in 2017. Capital Expenditures for the year were reportedly -$316.0 million, compared to -$319.0 million, and Free Cash flow was $-6.0 million compared to the prior year’s $1.11 billion.

Boston Scientific Corporation (BSX) stock currently has a Financial Strength score of 4.5/10. This is due to a combination of factors, including a Cash to Debt ratio of 0.01, an Equity to Asset ratio of 0.39, a Debt to Equity ratio of 1.01 and a Debt to EBITDA of 4.14. The Interest Coverage of this stock is 5.29, its Piotroski F-Score is 4, its Altman Z-Score is 2.73 and its Beneish M-Score is -2.41.

This publicly-traded company’s Profitability and Growth score is 6/10, thanks to a combination of things: an Operating Margin of 16.80, a Net Margin of 13.85, a ROE of 16.08, and a ROC of 48.00. Similarly, this company’s 3-Year Total Revenue Growth Rate is 9.50, its 3-Year Total EBITDA Growth Rate is 85.10,.

Shifting focus now to Valuation and Return for BSX, this company’s Price to Projected FCF is 4.14 and its Price to Median PS Value is 2.56. Meanwhile, its Earnings Yield (Joel Greenblatt) is 2.42 and its Forward Rate of Return (Yactman) is -16.18.

Certain ratios provide helpful insights into how a stock is performing. The Quick Ratio for BSX is sitting at 1.04, while its Current Ratio is 1.31 and its PEG Ratio is 1.14. This stock’s PB Ratio is 6.30, its PS Ratio is 5.99, its PE Ratio (TTM) is 43.28, its Forward PE Ratio is 27.17, and its PE Ratio without NRI is 43.28. Similarly, its Price to Owner Earnings is 34.24, its Price to Free Cash Flow is 72.85 and its Price to Operating Cash Flow is 51.80.