Bernstein cuts Boston Scientific stock price target on device competition
Bernstein lowered Boston Scientific's (BSX) price target to $54 from $60, citing competition from Abbott's (ABT) Amulet 360 device. BSX trades near its 52-week low at $42.60, down 55% YTD. Bernstein expects Amulet 360 to gain market share from BSX's Watchman product. InvestingPro data shows 10 analysts have revised BSX earnings downwards, but the stock has a low PEG ratio of 0.36. BSX also faces cyberattack fallout, with Wells Fargo estimating $300M in Q3 sales reduction.
How this was made
The 30-second read
Why it matters
Analyst downgrades can trigger short‑term sell pressure, but the company's recovery from the cyber incident may mitigate the impact.
Market read
Target cuts for a large med‑tech firm provide a modest trading signal; investors may consider short positions or watch for further guidance.
What to watch
Potential upside from the company's cyber‑attack recovery and upcoming product pipeline.
Background
Bernstein and Wells Fargo revised price targets for Boston Scientific amid competitive pressure from Abbott and a recent cyber‑attack.
Ticker impact
Bernstein lowered Boston Scientific's price target to $54 from $60, citing competitive pressure from Abbott's Amulet 360 device.
likely pressure as the market prices in the lower target and competitive concerns.
Target reduction and competitive threat are fresh analyst actions that can prompt a sell-off.
Market effects
May weigh on the broader cardiovascular device sector as competition intensifies.
U.S. med‑tech stocks could see modest pullback.
Limited to investors focused on medical device equities.
Counterpoint
The price cut may be overblown if Boston Scientific's electrophysiology business rebounds.
Key entities
- CompanyBoston Scientific Corp.
Medical device maker facing competition from Abbott.
- CompanyAbbott Laboratories
Competitor with the Amulet 360 device.
