Boston Scientific Enjoys Strong Revenue Growth in Q3, but Higher Costs Still Dog the Firm

Boston Scientific delivered robust revenue growth in the third quarter but fell short of FactSet consensus expectations on the bottom line thanks to continued pressure on materials and freight costs. Nonetheless, the firm remains on track to meet our full-year expectations, and we’re holding steady on our $45 fair value estimate. We’re pleased to see Boston make progress with the development of its pipeline and commercialization of key products, including Watchman for left atrial appendage closure and Farapulse for safer atrial fibrillation ablation—progress that reinforces Boston’s narrow economic moat, in our view.