Boston Scientific BSX is slated to report second-quarter 2026 results on July 29, before the market opens.
The Zacks Consensus Estimate for the company’s second-quarter earnings per share (EPS) suggests 10.7% year-over-year growth to 83 cents. The estimate has remained constant in the past 60 days. The consensus mark for second-quarter revenues currently stands at $5.39 billion, implying a 6.5% increase over the prior-year period.
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In the trailing four quarters, the company topped earnings estimates thrice and matched on one occasion, the average surprise being 3.09%.
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What Our Model Unveils for BSX
Per our proven model, a stock with a Zacks Rank #1 (Strong Buy), 2 (Buy) or 3 (Hold), along with a positive Earnings ESP, has a higher chance of beating estimates, which is not the case here, as you can see.
Earnings ESP: Boston Scientific has an Earnings ESP of +0.88%. You can uncover the best stocks to buy or sell before they’re reported with our Earnings ESP Filter.
Zacks Rank: The company currently carries a Zacks Rank #4 (Sell).
You can see the complete list of today’s Zacks #1 Rank stocks here.
Factors Likely to Have Influenced BSX’s Q2 Performance
MedSurg
Within this, Boston Scientific’s Endoscopy business is likely to have benefited from its underlying strength and improving AXIOS device availability. However, management had indicated Endoscopy would continue facing some AXIOS-related impacts in the second quarter of 2026 while navigating other transient supply-chain disruptions.
Neuromodulation’s performance may have been driven by its comprehensive pain portfolio, including the Intracept Intraosseous Nerve Ablation System, and contribution from the Nalu acquisition. In the deep brain stimulation (DBS) franchise, continued adoption of the Cartesia X leads and accelerating U.S. uptake of the Illumina 3D programming algorithm are expected to have supported revenues in second-quarter 2026.
Meanwhile, Urology's softer first-quarter performance is likely to have persisted in the second quarter as well. China's volume-based procurement (VBP) program and gaps in the core portfolio may have remained a drag on Stone Management performance. The Sacral Neuromodulation business may have also likely continued to face the impact of commercial model disruption.
The Zacks Consensus Estimate expects MedSurg revenues to grow 4.8% year over year in the second quarter of 2026.
Cardiovascular
Within this segment, the Interventional Cardiology business is expected to have benefited from the coronary therapies franchise, particularly the AGENT Drug-Coated Balloon and ongoing momentum across the imaging portfolio.
In Vascular Therapies, strong demand for Transcarotid Artery Revascularization and Varithena is likely to continue to boost results. Headwinds from China's VBP are also likely to have eased as the impact on the arterial business annualized during the second quarter of 2026. The expanded launch of SEISMIQ peripheral intravascular lithotripsy (IVL) for above-the-knee procedures may also favorably impact results.
Strong demand for Boston Scientific’s broad cancer therapy technologies offering has likely supported Interventional Oncology revenues. Cardiac Rhythm Management is expected to have returned to growth in the second quarter, consistent with management's outlook. WATCHMAN may have been another major contributor, aided by the continued strong adoption of concomitant procedures.
In Electrophysiology, international performance is expected to have been supported by the company’s expanded OPAL mapping footprint and catheter utilization. Boston Scientific is likely to have gained from robust pulsed field ablation (PFA) performance in Europe's highly competitive market, supported by the launch of FARAPOINT. The U.S performance may have been driven by the continued expansion of OPAL and strong utilization of the FARAPOINT PFA catheter.
According to the Zacks Consensus Estimate, BSX’s Cardiovascular revenues are expected to improve 8.3% year over year.
BSX’s Investment Case: Key Points to Note
The company continues to invest in both new and existing markets to support long-term growth. Strategic acquisitions, including Valencia Technologies and Nalu Medical, further expand its presence in high-growth adjacencies and strengthen its innovation pipeline.
At the same time, Boston Scientific faces a challenging operating backdrop, including supply-chain normalization efforts, tariff exposure and ongoing cost pressures. Management lowered its full-year organic revenue growth outlook to 6.5%-8%, citing unanticipated headwinds and changing business patterns. It also expects full-year adjusted EPS of $3.34-$3.41 compared with the prior projection of $3.43 to $3.49. Full-year adjusted gross margin is expected to be slightly below the 2025 levels due to lower-than-expected product mix benefit and higher investments in the global supply chain and quality systems.
BSX expects global WATCHMAN growth to be in the mid-teens for 2026, with low to mid-teens growth in the United States. Although concomitant demand continues to strengthen, tougher comparisons are likely to weigh on U.S. WATCHMAN growth.
BSX Stock Performance Snapshot
Over the three months ended June 30, Boston Scientific shares have fallen 31.2% compared with the industry’s 10.1% decline. The stock also trailed two of its major rivals, Intuitive Surgical ISRG and Abbott ABT, in the same period.
Intuitive Surgical, a Zacks Rank #2 stock, delivered a solid second quarter in 2026, reflecting growth in da Vinci and Ion procedure volumes, higher da Vinci system leasing revenues and an increase in the installed base of both systems. Abbott, a Zacks Rank #3 stock, delivered accelerating sales growth in the second quarter of 2026, with management highlighting visibility into key drivers that are expected to fuel momentum in the second half of the year.
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BSX’s Valuation
Boston Scientific trades at a forward five-year Price/Sales (P/S) of 2.88X compared with the 2.15X industry average.
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Final Verdict
Boston Scientific’s upcoming second-quarter results are expected to reflect strength across several of its MedSurg and Cardiovascular businesses. However, areas such as Endoscopy and Urology likely continued to see some lingering pressure. On a broader note, the company is investing in its long-term growth opportunities, but a tougher operating environment has led management to lower its expectations for the year.
The stock has underperformed both its industry and major rivals in recent months, while valuation also remains expensive. Given this backdrop, current BSX holders may want to exit their positions until the growth outlook improves.
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This article originally published on Zacks Investment Research (zacks.com).