Track the companies that matter to you. It's FREE! Click one of these fan favorites to get started: Apple; Google; Ford.



Why Boston Scientific Shares Surged

Although we don't believe in timing the market or panicking over market movements, we do like to keep an eye on big changes -- just in case they're material to our investing thesis.

What: Shares of medical device specialist Boston Scientific (NYSE: BSX  ) climbed 12% today after its quarterly results and guidance topped Wall Street expectations. 

So what: Boston Scientific has been bruised in recent years on weak demand and market share losses, but today's second-quarter results -- adjusted EPS of $0.18 versus the consensus of $0.15 -- coupled with upbeat guidance for the full year reinforces optimism over a sustained turnaround. While sales of stents and defibrillators -- its two largest segments -- slipped yet again, the decline was much slower than in previous quarters, suggesting that top-line growth might be right around the corner.  

Now what: Management now expects 2013 EPS of $0.67 to $0.71, up from its prior view of $0.65 to $0.70, and revenue of $7.05 billion to $7.17 billion. "We are pleased with our improved performance during the quarter," said President and CEO Mike Mahoney. "As we continue to expand our portfolio, our team is inspired to deliver meaningful innovation to more patients globally." With the stock now up more than 100% over the past year, however, I'd wait for some of the turnaround excitement to fade before buying into that bullishness.  

Obamacare will undoubtedly have far-reaching effects. The Motley Fool's new free report, "Everything You Need to Know About Obamacare," lets you know how your health insurance, your taxes, and your portfolio could be affected. Click here to read more. 

Read/Post Comments (0) | Recommend This Article (3)

Comments from our Foolish Readers

Help us keep this a respectfully Foolish area! This is a place for our readers to discuss, debate, and learn more about the Foolish investing topic you read about above. Help us keep it clean and safe. If you believe a comment is abusive or otherwise violates our Fool's Rules, please report it via the Report this Comment Report this Comment icon found on every comment.

Be the first one to comment on this article.

Compare Brokers

Fool Disclosure

Sponsored Links

Leaked: Apple's Next Smart Device
(Warning, it may shock you)
The secret is out... experts are predicting 458 million of these types of devices will be sold per year. 1 hyper-growth company stands to rake in maximum profit - and it's NOT Apple. Show me Apple's new smart gizmo!

DocumentId: 2558907, ~/Articles/ArticleHandler.aspx, 9/26/2016 8:16:11 PM

Report This Comment

Use this area to report a comment that you believe is in violation of the community guidelines. Our team will review the entry and take any appropriate action.

Sending report...

Today's Market

updated Moments ago Sponsored by:
DOW 18,094.83 -166.62 -0.91%
S&P 500 2,146.10 -18.59 -0.86%
NASD 5,257.49 -48.26 -0.91%

Create My Watchlist

Go to My Watchlist

You don't seem to be following any stocks yet!

Better investing starts with a watchlist. Now you can create a personalized watchlist and get immediate access to the personalized information you need to make successful investing decisions.

Data delayed up to 5 minutes

Related Tickers

9/26/2016 4:02 PM
BSX $23.73 Up +0.02 +0.08%
Boston Scientific CAPS Rating: ***