Stifel reiterated its Buy rating and $60 price target for Boston Scientific Corp. (NYSE: BSX) on Wednesday, despite the medical device maker’s stock falling 53% over the past year. The company disclosed a cybersecurity incident in an 8-K filing, noting disruptions to information systems that support global operations, including order processing and shipping.
The incident, first reported by industry publications, has yet to be fully contained. Boston Scientific stated it is working with third-party specialists to investigate and mitigate the breach, though the timeline for full system restoration remains unclear. The 8-K filing indicated the attack has caused and is expected to continue causing operational limitations.
Boston Scientific reported second-quarter revenue of $5.44 billion and adjusted earnings per share of $0.86, exceeding consensus estimates of $5.36 billion and $0.83, respectively. The company’s stock, trading at $49.86, has underperformed significantly over the past 12 months.
Analysts remain split on the outlook. Canaccord adjusted its price target to $66 from $70 while maintaining a Buy rating. TD Cowen kept its Buy rating, citing valuation support despite recent guidance cuts. Argus downgraded Boston Scientific to Hold, citing growth challenges in key product lines, including WATCHMAN, electrophysiology, and urology. A total of 22 analysts have revised earnings estimates downward for the upcoming period.
Stifel noted the 8-K filing provided limited clarity on the incident’s operational impact or potential effects on guidance, stating it is too early to assess how Boston Scientific will address the issues or integrate potential impacts into future outlooks.
