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EMEA Growth & Product Launches to Support Boston Scientific Stock
Boston ScientificBoston Scientific(US:BSX) ZACKSยท2025-04-28 18:30

Core Viewpoint - Boston Scientific (BSX) is experiencing growth driven by new product launches and strategic acquisitions, with international expansion being a significant growth driver. The stock is rated as a Zacks Rank 2 (Buy) [1]. Group 1: Factors Driving Growth - Boston Scientific is successfully expanding its operations internationally, particularly in Europe, the Middle East, and Africa (EMEA), where sales grew 8% year over year in Q1 2025, driven by strong performance in electrophysiology (EP) and double-digit growth in key technologies [2]. - The Endoscopy business within MedSurg is benefiting from strong growth in endoluminal surgery and single-use imaging franchises, with positive reimbursement developments for its ESG weight loss procedure [3]. - Recent acquisitions, including Bolt Medical, Cortex, Silk Road, and Axonics, have added numerous products with potential, contributing to an 18.2% organic revenue growth in Q1, with closed acquisitions adding 400 basis points [4]. Group 2: Challenges and Competitive Landscape - Boston Scientific faces a challenging business environment due to macroeconomic pressures, including geopolitical tensions and global supply chain disruptions, with tariffs expected to impact $200 million in 2025 [6]. - The company reported a 20.2% increase in product costs and a 17.1% rise in selling, general, and administrative expenses in Q1 2024, indicating rising operational costs [7]. - The medical devices market is highly competitive, with Boston Scientific competing against well-capitalized companies like Johnson & Johnson, Abbott, and Medtronic, among others [8].