90 days have passed by since the last earnings report for Boston Scientific Corporation (NYSE:BSX) and the new quarterly results look set to arrive tomorrow. The shares of BSX at the moment are trading at a volume of 8.58 million, which compares with its normal daily standard volume of 6.37 million shares. This has led to the shares of the company advancing by 0.47%, currently exchanging hands at $38.65 a share. BSX stock has been up by $5.19 (-11.84%) ever since it reached its 52-week high of $43.84 back in September 06, 2019. It has progressed below its 50-day moving average of $40.81 and is up 1.79% over the past week. The stock has retreated -10.3% since the last one arrived so the question here is that will the downbeat trend in that time frame continue leading up to its next earnings release, or is the BSX share price due for a breakout?
Boston Scientific Corporation (BSX) Forecasts And Latest Quarter Earnings
Ahead of their fiscal third-quarter to be released on Wednesday, Oct 23, 2019, 22 analysts who are covering the company are estimating that it will record a profit of $0.38 per share, with analysts having different outlooks from $0.36 to $0.4. The current agreed outlook, when compared to the profit recorded last year, is at $0.35 a share, thus an increase of 8.57% is expected. The profit view for a complete financial year for Boston Scientific Corporation is expected to be around $1.56 in current year, a decline of nearly 6.12% from last year which was $1.47.
Let’s now look at their sales section, BSX’s revenue is estimated to be $2.39B, a figure which is more than the $2.39B recorded for Q3 last year. Their sequential sales though are expected to grow by 0.76% from their Q2’s sales which were $2.63B. Their full-year outlook is pegged at $10.7B, implying that there would be an increase of 8.96% over the $9.82B they recorded last year in revenue. Boston Scientific Corporation is projected to get sales lifted by 11.21% in the next quarter, with a revenue target of $11.9B.
Analyzing The Earnings History Of Boston Scientific Corporation (NYSE:BSX)
In the past few years, the BSX stock has been known to miss the Wall Street’s earnings projection. The company missed 16% of the time, according to the data pulled on their earnings, was able to meet predictions on 3 occasions and topped expectations 7 times. Looking at the past trend, the price of Boston Scientific Corporation shares had sank following the release of their earnings in 20 of the last 39 quarters.
Looking back, here is how Boston Scientific Corporation (BSX) stock reacted to earnings misses and beats. It gave investors reason to be bearish with the price going down after 3 of the last four earnings reports. The shares of Boston Scientific Corporation recorded -0.02%, -1.25%, 2.7% and -0.97%, respectively, on the first day of past earnings releases. After a week of earnings reports, the changes were -0.05%, 3.43%, 6.07% and -0.33%. Their post-earnings price movements have resulted in an average increase of 0.12% and an average increase of 2.28% in Boston Scientific Corporation on next day and 7th day, sequentially. BSX’s one month stock performance led to its shares declining by -10.72% with a return of 2.98% witnessed over the last 52 weeks.
The higher number of analysts has assigned a buy or better ratings (21) on the Boston Scientific Corporation stock, while 1 of them have a rating of a Hold with the 11-year target price suggested by the analysts standing at $48.27. This price target implies potential upside of 24.89 percent over the next 12 months based on the current share price.
Boston Scientific Corporation (BSX) Post Earnings Announcement Drift (PEAD)
Back on July 24, 2019, Boston Scientific Corporation (NYSE:BSX) released its Q2 results, in which it recorded EPS of $0.39 that exceeded consensus estimates of $0.38. After the earnings were reported, the price of BSX stock kicked off the session at $41.53 and remained in a range of $42.06 to $42.92 on the first day. The shares were priced at $42.87 at the close with a total volume of shares being 8422148.
On April 24, 2019, the Q1 earnings report was disclosed with EPS of $0.35. This was below the estimation of $0.36 per share. The stock price range of BSX was between $35 and $36.14 on the first-day post announcement, after opening the day at $34.79. The session came to close at $35.44 and there was a total volume of 19865526 shares.
February 06, 2019 was the day when its Q4 results were unveiled. The earnings came in at $0.39, beating the projected $0.37 per share. The very next day, BSX stock opened at $37.25 while staying in a range of $37.3 to $39.02. At the end, it moved to $38.77 a total volume of shares been 11376577.
In the year-ago Q3 earnings on October 24, 2018, the company saw profit per share of $0.35. That was better than the $0.34 analysts had expected. Boston Scientific Corporation share price started at $35.63 on the first full trading day post-earning and then exchanged hands between $36.52 and $37.22 throughout the session. The closing price of $35.68 came on the back of 12603115 shares in volume.