Sector: Health Care | Focus: Health Care Equipment
HQ: Marlborough, Massachusetts
Financial Risks
Boston Scientific faces risks from fluctuating currency exchange rates and interest rates, impacting earnings and cash flow. Supply chain disruptions, inflation, and geopolitical events (Russia/Ukraine war, Israel/Hamas conflict, Taiwan tensions) pose manufacturing, distribution, and pricing challenges. Litigation risks, including patent infringement and product liability lawsuits, could result in substantial financial losses. Compliance with regulatory requirements (EU MDR, FCPA) and potential adverse outcomes in ongoing legal proceedings also present risks. The company's ability to generate sufficient cash flow to meet obligations and fund acquisitions is also a concern.
Financial Upside
Boston Scientific's net sales increased 19.4% in Q3 2024 and 15.9% in the first nine months of 2024, driven by strong commercial execution and product adoption (Farapulse). Acquisitions (Silk Road Medical, Apollo, Acotec) contributed to growth. The company's cash position is strong, with $2.502 billion in unrestricted cash and cash equivalents. A recent public offering of €2.000 billion in senior notes provides additional liquidity. Positive trends in