Radek Strnad
3 min read
What happened?
Shares of medical device company Boston Scientific (NYSE:BSX) fell 8% in the morning session after the company reported third-quarter 2026 financial results showing net sales growth of 1.5 percent and highlighted efforts to restore operations following a cybersecurity incident.
According to a company press release, Boston Scientific reported that net sales rose 1.5 percent on a reported, operational, and organic basis to $5.138 billion. The company posted GAAP net income attributable to common stockholders of $582 million, or $0.40 per share, with adjusted earnings per share reaching $0.73 vs S&P analysts’ estimates of $0.72 (in line).
Chairman and Chief Executive Officer Mike Mahoney highlighted ongoing efforts to restore regular operations following a cybersecurity incident. The subdued top-line increase alongside disruptions from the cybersecurity event weighed heavily on investor sentiment.
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What is the market telling us
Boston Scientific’s shares are not very volatile and have only had 9 moves greater than 5% over the last year. In that context, today’s move indicates the market considers this news meaningful, although it might not be something that would fundamentally change its perception of the business.
The biggest move we wrote about over the last year was 9 months ago when the stock dropped 13.9% on the news that the company reported fourth-quarter 2025 results that beat Wall Street estimates but provided a mixed forecast that concerned investors.
The medical device maker posted quarterly revenue of $5.29 billion and adjusted earnings per share of $0.80, surpassing analyst expectations for $5.27 billion in revenue and $0.78 in earnings. Despite the solid performance, investor attention shifted to the company’s outlook.
While the full-year 2026 adjusted earnings forecast, with a midpoint of $3.46 per share, was in line with consensus, the guidance for the upcoming first quarter fell slightly short of Wall Street’s projections. This weaker near-term outlook appeared to overshadow the otherwise strong quarterly results, leading to a significant sell-off in the shares.
Boston Scientific is down 55.7% since the beginning of the year, and at $41.92 per share, it is trading 60.1% below its 52-week high of $104.98 from November 2025. Investors who bought $1,000 worth of Boston Scientific’s shares 5 years ago would now be looking at only $969.47.
