Boston Scientific Downgraded as Price Target Slashed to $55 from $75
BSX•Boston Scientific’s price target was cut to $55 from $75 after it slashed U.S. Watchman guidance to sequentially flat in Q2–Q3, implying a 2% year-over-year decline in Q3. Analysts now forecast 2026 U.S. Watchman revenue of $1.86 billion for 4% growth and flagged EP Faraflex delays.
1. Downgrade and Price Target Cut
Wells Fargo downgraded Boston Scientific to Equal Weight from Overweight and lowered its price target to $55 from $75, reflecting increased uncertainty around the company’s key growth drivers and more limited upside potential.
2. Watchman Guidance and Sales Forecast
Boston Scientific trimmed its U.S. Watchman device sales outlook to sequentially flat for Q2 and Q3 2026, implying a 2% year-over-year decline in Q3 and forecasting 2026 U.S. Watchman revenue of $1.86 billion for just 4% annual growth.
3. Electrophysiology Challenges
The electrophysiology division faces intensifying competition in pulsed-field ablation technologies starting in 2028, with rivals seen to have a head start and the company’s own Faraflex program experiencing delays.
4. Business Line Pressures and Acquisition Risks
Beyond EP and Watchman, the Empower leadless pacemaker is delayed until 2027, the urology segment confronts slower AXNX growth and competitive headwinds, and the planned PEN acquisition may require divestitures of up to $250 million in combined sales.
