On October 16, 2023, Wendy Carruthers, the Executive Vice President of Human Resources at Boston Scientific Corp (BSX, Financial), sold 11,671 shares of the company. This move is part of a series of transactions made by the insider over the past year, which have seen a total of 102,546 shares sold and no shares purchased.
Boston Scientific Corp is a leading innovator of medical solutions that improve the health of patients around the world. The company's products and technologies are used to diagnose or treat a wide range of medical conditions, including heart, digestive, pulmonary, vascular, urological, women's health, and chronic pain conditions. Boston Scientific is dedicated to transforming lives through innovative medical solutions that improve the health of patients around the world.
The insider's recent sell-off has raised questions about the company's stock performance and its relationship with insider trading activities. Over the past year, there have been 37 insider sells and no insider buys at Boston Scientific Corp. This trend suggests a bearish sentiment among the company's insiders.
On the day of the insider's recent sell, shares of Boston Scientific Corp were trading at $49.79, giving the company a market cap of $73.78 billion. The stock's price-earnings ratio stands at 83.98, significantly higher than the industry median of 26.81 and the company's historical median price-earnings ratio. This suggests that the stock is currently overvalued.
However, the GuruFocus Value of Boston Scientific Corp is $50.83, resulting in a price-to-GF-Value ratio of 0.98. This indicates that the stock is fairly valued based on its GF Value.
The GF Value is an intrinsic value estimate developed by GuruFocus. It is calculated based on historical multiples (price-earnings ratio, price-sales ratio, price-book ratio, and price-to-free cash flow) that the stock has traded at, a GuruFocus adjustment factor based on the company’s past returns and growth, and future estimates of business performance from Morningstar analysts.
In conclusion, the insider's recent sell-off, coupled with the lack of insider buys over the past year, may raise concerns among investors. However, the stock's current valuation suggests that it is fairly valued. Investors should keep a close eye on Boston Scientific Corp's stock performance and insider trading activities to make informed investment decisions.
This article, generated by GuruFocus, is designed to provide general insights and is not tailored financial advice. Our commentary is rooted in historical data and analyst projections, utilizing an impartial methodology, and is not intended to serve as specific investment guidance. It does not formulate a recommendation to purchase or divest any stock and does not consider individual investment objectives or financial circumstances. Our objective is to deliver long-term, fundamental data-driven analysis. Be aware that our analysis might not incorporate the most recent, price-sensitive company announcements or qualitative information. GuruFocus holds no position in the stocks mentioned herein.
