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Boston Scientific (BSX) Upgraded to Buy: Here's Why
Boston ScientificBoston Scientific(US:BSX) ZACKSยท2025-06-06 17:01

Core Viewpoint - Boston Scientific (BSX) has received an upgrade to a Zacks Rank 2 (Buy) due to an upward trend in earnings estimates, which is a significant factor influencing stock prices [1][3]. Earnings Estimates and Stock Price Impact - The Zacks rating system is based on a company's changing earnings picture, specifically the consensus of EPS estimates from sell-side analysts [1][2]. - Changes in future earnings potential, reflected in earnings estimate revisions, are strongly correlated with near-term stock price movements, particularly due to institutional investors' reliance on these estimates for valuation [4][6]. Business Outlook and Investor Sentiment - The rising earnings estimates and the Zacks rating upgrade for Boston Scientific indicate an improvement in the company's underlying business, suggesting that investors may respond positively by pushing the stock price higher [5][10]. - Boston Scientific is projected to earn $2.91 per share for the fiscal year ending December 2025, representing a year-over-year change of 15.9%, with a 2.3% increase in the Zacks Consensus Estimate over the past three months [8]. Zacks Rank System - The Zacks Rank system classifies stocks into five groups based on earnings estimates, with Zacks Rank 1 (Strong Buy) stocks historically generating an average annual return of +25% since 1988 [7][9]. - The upgrade of Boston Scientific to a Zacks Rank 2 places it in the top 20% of Zacks-covered stocks, indicating a strong potential for market-beating returns in the near term [10].