Boston Scientific ($BSX): buy now, add down to $35, long term

$BSX: I think this is a buy after today's flush.

25% below its 200-day
About 14x this year's EPS guide
$3.6B of free cash flow guided for 2026

A cyberattack and two slowing products don't break a medtech leader.

Would you buy Boston Scientific at $43?

Not financial advice

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The bear case is real. Q3 sales grew just 1.5% to $5.14B and adjusted EPS of $0.73 missed. The 2026 EPS guide was cut again to $3.16 to $3.18, Q4 sales are guided down 1% to 3% and management called 2027 a trough year. Watchman and Farapulse are both slowing.

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The chart: I read the slide from the $109.50 top in Sep 2025 as five waves down. Wave 4 bounced to $53 in August and wave 5 hit $39.57 this morning then bounced to $43. That's the 78.6% retrace of the whole 2020 to 2025 run. The 2022 low at $35 is the next floor.

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The business: a 71% gross margin, $3.6B of free cash flow over the last 4 quarters (about a 6% yield) and net debt around 2x EBITDA. The Aug 25 cyberattack cost about $150M of Q3 sales and every operation was back up by Sep 8. Management expects growth to return in 2028.

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My plan: I'm starting a position here and adding in pieces down to $35, the 2022 low. 2027 may be ugly so I'm in no rush. A weekly close below $33 means I'm wrong. This is a multi-year hold, not a trade.

Sources: Boston Scientific Q3 2026 results press release · Investing.com: BSX Q3 2026 earnings call transcript · Benzinga: Boston Scientific overshadowed by hackers, headwinds and lower guidance · MassDevice: BSX cuts guidance after cyberattack · Investing.com: Why is Boston Scientific stock sliding today · Reuters: BSX says cyberattack likely hurt 2026 sales, profit

Not financial advice. For informational and educational purposes only.