Boston Scientific Corporation (BSX) Hits Fresh High: Is There Still Room to Run?

Have you been paying attention to shares of Boston Scientific (BSX)? Shares have been on the move with the stock up 2% over the past month. The stock hit a new 52-week high of $92.42 in the previous session. Boston Scientific has gained 3% since the start of the year compared to the -4.4% move for the Zacks Medical sector and the 10.2% return for the Zacks Medical - Products industry.What's Driving the Outperformance?The stock has a great record of positive earnings surprises, as it hasn't missed our earnings consensus estimate in any of the last four quarters. In its last earnings report on October 23, 2024, Boston Scientific reported EPS of $0.63 versus consensus estimate of $0.58 while it beat the consensus revenue estimate by 4.35%.For the current fiscal year, Boston Scientific is expected to post earnings of $2.77 per share on $16.59 billion in revenues. Meanwhile, for the next fiscal year, the company is expected to earn $3.15 per share on $18.72 billion in revenues. This represents a year-over-year change of 12.72% and 12.85%, respectively.Valuation MetricsBoston Scientific may be at a 52-week high right now, but what might the future hold for the stock? A key aspect of this question is taking a look at valuation metrics in order to determine if the company has run ahead of itself.On this front, we can look at the Zacks Style Scores, as they provide investors with an additional way to sort through stocks (beyond looking at the Zacks Rank of a security). These styles are represented by grades running from A to F in the categories of Value, Growth, and Momentum, while there is a combined VGM Score as well. Investors should consider the style scores a valuable tool that can help you to pick the most appropriate Zacks Rank stocks based on their individual investment style.Boston Scientific has a Value Score of C. The stock's Growth and Momentum Scores are B and B, respectively, giving the company a VGM Score of B.In terms of its value breakdown, the stock currently trades at 33.2X current fiscal year EPS estimates, which is a premium to the peer industry average of 18.9X. On a trailing cash flow basis, the stock currently trades at 31.7X versus its peer group's average of 11.9X. Additionally, the stock has a PEG ratio of 2.4. This isn't enough to put the company in the top echelon of all stocks we cover from a value perspective.Zacks RankWe also need to consider the stock's Zacks Rank, as this supersedes any trend on the style score front. Fortunately, Boston Scientific currently has a Zacks Rank of #2 (Buy) thanks to favorable earnings estimate revisions from covering analysts.Since we recommend that investors select stocks carrying Zacks Rank of 1 (Strong Buy) or 2 (Buy) and Style Scores of A or B, it looks as if Boston Scientific passes the test. Thus, it seems as though Boston Scientific shares could still be poised for more gains ahead.How Does BSX Stack Up to the Competition?Shares of BSX have been soaring, and the company still appears to be a decent choice, but what about the rest of the industry? One industry peer that looks good is GE HealthCare Technologies Inc. (GEHC). GEHC has a Zacks Rank of # 2 (Buy) and a Value Score of B, a Growth Score of B, and a Momentum Score of D.Earnings were strong last quarter. GE HealthCare Technologies Inc. beat our consensus estimate by 7.55%, and for the current fiscal year, GEHC is expected to post earnings of $4.67 per share on revenue of $19.69 billion.Shares of GE HealthCare Technologies Inc. have gained 1.2% over the past month, and currently trade at a forward P/E of 17.84X and a P/CF of 15.77X.The Medical - Products industry may rank in the bottom 57% of all the industries we have in our universe, but there still looks like there are some nice tailwinds for BSX and GEHC, even beyond their own solid fundamental situation.7 Best Stocks for the Next 30 DaysJust released: Experts distill 7 elite stocks from the current list of 220 Zacks Rank #1 Strong Buys. They deem these tickers "Most Likely for Early Price Pops."Since 1988, the full list has beaten the market more than 2X over with an average gain of +24.1% per year. So be sure to give these hand picked 7 your immediate attention. See them now >>Want the latest recommendations from Zacks Investment Research? Today, you can download 7 Best Stocks for the Next 30 Days. Click to get this free report Boston Scientific Corporation (BSX): Free Stock Analysis Report GE HealthCare Technologies Inc. (GEHC): Free Stock Analysis ReportTo read this article on Zacks.com click here.Zacks Investment ResearchWeiter zum vollständigen Artikel bei Zacks Weiter zum vollständigen Artikel bei Zacks