Boston Scientific Corporation (BSX) DCF Valuation
TGM's two-stage DCF values Boston Scientific Corporation (BSX) between $34.54 and $72.14 depending on assumptions, with a base case of $49.75. Growth is taken from the company's own record (blend of 5-year revenue and FCF growth), fading to 2.5% long-run; the discount rate (7.5%) reflects its beta.
What would today's price require?
$46.92 is justified only if free cash flow grows about +16.3% a year (fading to 2.5% long-run) at a 7.5% required return — slower than the company has actually grown.
| Scenario | FCF growth (fading to 2.5%) | Discount | Value / share |
|---|---|---|---|
| Conservative | 14.6%/yr | 8.5% | $34.54 |
| Base case | 17.6%/yr | 7.5% | $49.75 |
| Optimistic | 20.0%/yr | 6.5% | $72.14 |
| Analyst DCF (FMP) | independent reference — different model | $111.42 | |
Current Price
$46.92
Market-Implied Growth
+16.3%/yr
vs +19.9% 5Y actual
Model Scenario Range
$34.54 – $72.14
model output — not a price target
BSX DCF Fair Value Calculator
Edit the assumptions to see how they change the estimated fair value. Opens seeded with TGM's data-driven base case for BSX (growth from its own 5-year record, discount from its beta), so the sandbox starts where the scenarios above leave off. Illustrative model — not investment advice.
Base inputs: FCF $2.2B · 1.49B shares · net debt $9.8B
Estimated Fair Value
$91.78
+95.6% vs $46.92
Sensitivity — fair value by discount rate × terminal growth
How the estimated fair value shifts with the discount rate (WACC) and terminal growth, holding your 17.6%/yr FCF growth and 10-year horizon fixed. Green = above today's $46.92; red = below. Your current case is outlined.
| WACC ↓ / Terminal → | 1.50% | 2.00% | 2.50% | 3.00% | 3.50% |
|---|---|---|---|---|---|
| 5.5% | $131 | $148 | $169 | $200 | $245 |
| 6.5% | $99.70 | $109 | $121 | $136 | $156 |
| 7.5% | $78.91 | $84.76 | $91.78 | $100 | $111 |
| 8.5% | $64.25 | $68.15 | $72.71 | $78.09 | $84.54 |
| 9.5% | $53.40 | $56.13 | $59.24 | $62.83 | $67.03 |
About Boston Scientific Corporation
Boston Scientific Corporation (BSX) operates as a global leader in medical technology, specializing in the design, manufacturing, and commercialization of innovative medical devices tailored for a diverse array of interventional medical specialties across the globe. Its business is strategically organized into three principal segments: MedSurg, Rhythm and Neuro, and Cardiovascular. Within these divisions, the company provides a comprehensive portfolio of solutions addressing various gastrointestinal and pulmonary ailments, as well as urological and pelvic health concerns. This extends to advanced implantable devices for managing cardiac rhythm disorders, such as cardioverter-defibrillators, cardiac resynchronization therapy devices, and pacemakers, complemented by remote patient management systems. Furthermore, Boston Scientific offers sophisticated technologies for diagnosing and treating complex heart rate and rhythm irregularities. These encompass 3-D cardiac mapping and navigation tools, along with a suite of specialized catheters (including ablation, diagnostic, mapping, and intracardiac ultrasound types), delivery sheaths, and related accessories. Its offerings also extend to neurological conditions, providing spinal cord stimulator systems for chronic pain management, indirect decompression systems, and deep brain stimulation systems. In the realm of interventional cardiology, the company's innovations include drug-eluting coronary stent systems designed for treating coronary artery disease, products for percutaneous coronary interventions to combat atherosclerosis, and intravascular imaging catheters (such as ultrasound and fractional flow reserve devices) for assessing coronary arteries, heart chambers, and peripheral vessels. It also develops structural heart therapies. Beyond this, Boston Scientific supplies an array of stents, balloon catheters, wires, and atherectomy systems for the treatment of arterial diseases. For venous conditions, it provides thrombectomy and acoustic pulse thrombolysis systems, alongside wires and stents. Critically, the company also contributes to cancer treatment through peripheral embolization devices, radioactive microspheres, various ablation systems (including cryotherapy), and micro and drainage catheters. The organization was established in 1979 and maintains its corporate headquarters in Marlborough, Massachusetts.
- Sector
- Healthcare
- Industry
- Medical - Devices
- CEO
- Michael F. Mahoney