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Boston Scientific Soars: Citi Raises Target on Q4 Beat and Electrophysiology Boom

Boston Scientific Corporation (BSX) has reported a robust Q4 2024, significantly surpassing consensus expectations, with notable growth in its Electrophysiology segment, which saw a 172% increase in sales driven by the Farapulse PFA system. The company achieved a revenue of $4.56 billion, up 19.5% organically, exceeding the consensus estimate of $4.42 billion. Cardiovascular sales reached $2.94 billion, a 27.4% increase, while MedSurg sales were $1.62 billion, up 7.0%. Operating margins improved to 27.4% from 26.6% y/y, resulting in an EPS of $0.70, ahead of the consensus of $0.66.

Citi has raised its price target for BSX to $122 from $107, valuing the company on 2026E EPS. The report highlights the conservative nature of BSX's 2025 guidance, which projects organic sales growth of 10-12% and EPS of $2.80-$2.87. Citi notes, "Having just reported 2024 organic growth of 16%, it seems to us that 10-12% might prove conservative." The Farapulse system continues to be a key growth driver, with expectations for further expansion in the U.S. market by year-end 2025.

BSX's current stock price is $105.34, reflecting a 1.74% increase from the previous close.