Boston Scientific Acquires Penumbra at $374 per Share
Written by Emily J. Thompson, Senior Investment Analyst
Updated: Jan 15 2026
0mins
Should l Buy BSX?
Source: Benzinga
- Acquisition Deal: Boston Scientific has agreed to acquire Penumbra at $374 per share, valuing the transaction at approximately $14.5 billion, indicating strong interest in the medical device market and expected to enhance Boston Scientific's product portfolio and market share.
- Shareholder Options: Penumbra shareholders can choose between cash or Boston Scientific stock, with an overall proration of about 73% cash and 27% equity, which may attract more investor participation and enhance shareholder satisfaction.
- Strong Performance: Penumbra's preliminary fourth-quarter results exceeded expectations, with shares rising 12.1% to $351.25 on Thursday, reflecting market confidence in its future growth potential and likely boosting investor sentiment further.
- Market Reaction: The acquisition news significantly boosted Penumbra's stock price, demonstrating a positive market response to M&A activities in the healthcare sector, which may also trigger similar acquisition activities among other related companies, further energizing the market.
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Analyst Views on BSX
Wall Street analysts forecast BSX stock price to rise over the next 12 months. According to Wall Street analysts, the average 1-year price target for BSX is 125.74 USD with a low forecast of 112.00 USD and a high forecast of 140.00 USD. However, analyst price targets are subjective and often lag stock prices, so investors should focus on the objective reasons behind analyst rating changes, which better reflect the company's fundamentals.
20 Analyst Rating
20 Buy
0 Hold
0 Sell
Strong Buy
Current: 91.620
Low
112.00
Averages
125.74
High
140.00
Current: 91.620
Low
112.00
Averages
125.74
High
140.00
About BSX
Boston Scientific Corporation is a global developer, manufacturer and marketer of medical devices that are used in a range of interventional medical specialties. The Company's MedSurg segment includes Endoscopy, Urology, and Neuromodulation. Its Endoscopy business develops and manufactures devices to diagnose and treat a range of gastrointestinal conditions with less-invasive technologies. Its Urology business develops and manufactures devices to treat various urological conditions for both male and female anatomies, including kidney stones, benign prostatic hyperplasia, prostate cancer, erectile dysfunction, and incontinence. Its Neuromodulation business develops and manufactures devices to treat various neurological movement disorders and manage chronic pain. Its Cardiovascular segment includes Cardiology and Peripheral Interventions. The Cardiology includes interventional cardiology therapies, watchman, cardiac rhythm management, and electrophysiology.
About the author

Emily J. Thompson
Emily J. Thompson, a Chartered Financial Analyst (CFA) with 12 years in investment research, graduated with honors from the Wharton School. Specializing in industrial and technology stocks, she provides in-depth analysis for Intellectia’s earnings and market brief reports.
- Stock Performance: Boston Scientific shares have decreased by 13.4% following the release of their Q4 results.
- Market Reaction: The decline in stock price indicates a negative market response to the company's financial performance in the fourth quarter.
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- Earnings Release Announcement: Boston Scientific is set to release its fourth-quarter earnings on February 4 before the market opens, with analysts projecting earnings of 78 cents per share, an increase from 70 cents in the same period last year, indicating ongoing improvement in profitability.
- Revenue Growth Expectations: Analysts anticipate the company will report quarterly revenue of $5.28 billion, up from $4.56 billion last year, reflecting strong performance and increased demand in the medical device market.
- FDA Warning Impact: The U.S. Food and Drug Administration (FDA) indicated last month that Boston Scientific has alerted customers to cease the use of certain AXIOS stents and electrocautery-enhanced delivery systems due to high patient risk during procedures, which could negatively affect the company's reputation and sales.
- Stock Price Fluctuation: Boston Scientific's shares fell 0.3% to close at $91.62 on Tuesday, and while the earnings report is forthcoming, the market's reaction to the FDA warning may impact investor confidence.
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- Earnings Announcement: Boston Scientific (BSX) is set to release its Q4 2023 earnings on February 4 before the market opens, with consensus EPS estimates at $0.78, reflecting an 11.4% year-over-year increase, and revenue estimates at $5.28 billion, indicating a 15.8% year-over-year growth, showcasing the company's robust growth potential.
- Consistent Outperformance: Over the past two years, BSX has consistently beaten both EPS and revenue estimates 100% of the time, underscoring the company's financial stability and market confidence, which further enhances investor optimism regarding its future performance.
- Estimates Revision Trend: In the last three months, BSX's EPS estimates have seen two upward revisions with no downward adjustments, while revenue estimates have experienced seven upward revisions and one downward, reflecting an increasing confidence among analysts regarding the company's future performance.
- Increased Market Attention: With BSX's ongoing investments and innovations in the neurovascular sector, market attention towards its future growth engines is rising, particularly in its collaboration with Penumbra, highlighting the company's strategic positioning and competitive advantages in the medical device industry.
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- Mixed Economic Data: The January ADP employment change rose by 22,000, falling short of the expected 45,000, while the ISM services index remained unchanged at 53.8, exceeding expectations, reflecting the complexities of economic recovery that may influence future monetary policy.
- Improved Market Sentiment: Market sentiment improved following President Trump's signing of a government funding deal, although the agreement only funds the Department of Homeland Security through February 13, highlighting ongoing uncertainties in government operations.
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- Earnings Beat Expectations: Boston Scientific reported a 16% increase in sales and a 14% rise in adjusted EPS for Q4, surpassing Wall Street estimates and highlighting the company's robust performance in the medical device sector.
- Stock Price Volatility: Despite strong earnings, Boston Scientific's stock plummeted 17.5% to $75.50 on Wednesday, primarily due to weak guidance for 2026, prompting a reassessment of future growth expectations by the market.
- Surge in Trading Volume: The trading volume reached 78.1 million shares, approximately 581% above the three-month average of 11.5 million shares, indicating heightened investor attention and reaction to the company's outlook.
- Core Business Growth: The company's cardiovascular segment saw an 18% sales increase, while the MedSurg unit grew revenue by 12%, with management projecting $4.2 billion in free cash flow by 2026, underscoring the strength of its fundamentals.
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- Sales Performance Growth: Boston Scientific achieved over $20 billion in sales for 2025, marking mid-teens growth for the second consecutive year, surpassing the financial goals set at the beginning of the year, showcasing strong performance in electrophysiology and WATCHMAN.
- Earnings Per Share Exceeds Expectations: The adjusted EPS for Q4 was reported at $0.80, reflecting a 15% increase and exceeding the high end of the guidance range of $0.79, while the full-year adjusted EPS grew by 22% to $3.06, indicating sustained profitability improvements.
- Optimistic 2026 Outlook: The company anticipates organic growth of 8.5% to 10% for Q1 2026 and 10% to 11% for the full year, with adjusted EPS guidance set between $3.43 and $3.49, highlighting strong growth potential moving forward.
- Acquisitions and Market Expansion: Boston Scientific completed the acquisition of Nalu and announced agreements to acquire Valencia Technologies and Penumbra, which are expected to enable entry into new adjacencies within urology and cardiovascular sectors, further driving business diversification.
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