Boston Scientific Earnings: All Eyes Are on Farapulse to Drive Growth in 2024

Narrow-moat Boston Scientific posted impressive fourth-quarter results that continued the strength seen in earlier quarters and generally met our expectations. As a result, we're holding steady on our fair value estimate. Quarterly operational revenue growth of 13% exceeded our estimates slightly, while better-than-expected gross margin in 2023 was offset by higher-than-expected spending on sales and marketing. Nevertheless, Boston remains in a strong position to grow faster than the medtech market again in 2024 thanks to U.S. rollout of Farapulse (pulsed field ablation, or PFA) for atrial fibrillation and continued adoption of Watchman FLX.