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Boston Scientific Leans on Acquisitions to Drive Long-Term Growth

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Key Takeaways

  • Boston Scientific's proposed $14.5 billion Penumbra deal expands its thrombectomy presence.
  • Valencia Technologies adds the eCoin system and expands Boston Scientific into ITNS.
  • Closed acquisitions added 340 basis points to BSX's sales in 2025, supporting 15.8% organic growth.

Boston Scientific (BSX - Free Report) has completed numerous acquisitions in recent years as part of its growth strategy, strengthening its core businesses while expanding into high-growth adjacent markets. The latest example is the proposed $14.5 billion purchase of Penumbra, which would expand the company’s presence in thrombectomy, a market focused on removing blood clots and blockages from blood vessels. The transaction is expected to close in the second half of 2026, subject to customary closing conditions, including regulatory clearances, and will be integrated into the Cardiovascular division. The deal is expected to weigh on adjusted earnings per share by 6-8 cents in the first full year after closing, with the earnings impact improving thereafter.

Earlier this year, Boston Scientific also acquired Valencia Technologies, adding the eCoin system to its Urology portfolio. The deal expands the company into implantable tibial nerve stimulation (ITNS), a high-growth adjacency for its Urology business. The deal is expected to have an immaterial impact on adjusted earnings per share in 2026, although it will be more dilutive to GAAP earnings due to acquisition-related net charges and amortization expense.

The company also acquired full ownership of Nalu Medical, Inc., a company developing and commercializing innovative and minimally invasive solutions for patients with chronic pain. Boston Scientific had invested in Nalu since 2017 and previously held an equity stake of approximately 9%. It paid approximately $523 million upfront for the remaining stake, net of cash acquired. The business is being integrated into the Neuromodulation division.

In 2025, closed acquisitions added 340 basis points to sales, contributing to 15.8% organic revenue growth. The addition of Bolt Medical advanced the company’s strategy in coronary and peripheral disease, while the acquisition of SoniVie broadened its Interventional Cardiology Therapies offerings with ultrasound-based renal denervation therapy for hypertension.

BSX Peers Update

Medtronic (MDT - Free Report)  also focuses on strategic deals that strengthen its leadership across core businesses. The company recently strengthened its Neuroscience portfolio with the acquisition of SPR Therapeutics, Inc., adding short-term, percutaneous peripheral nerve stimulation therapies for chronic and acute pain management. The acquisition is valued at $650 million, consisting of an upfront cash payment. In June, Medtronic completed the buyout of Salt Lake City-based Scientia Vascular for $550 million, with potential undisclosed earn-out and milestone payments post-acquisition.

Stryker (SYK - Free Report) recently signed a definitive agreement to acquire ZuriMED to enhance its shoulder offering. ZuriMED’s FiberLocker System provides a novel approach for rotator cuff augmentation, one of the fastest-growing areas in sports medicine, with increased biomechanical strength to address a key clinical failure mode in rotator cuff repair. In May, Stryker completed the acquisition of Amplitude Vascular Systems to add intravascular lithotripsy (IVL) technology to its peripheral vascular portfolio.

The Zacks Rundown for BSX Stock

Over the past 12 months, Boston Scientific shares have dropped 56.9% compared with the industry’s 29.8% decline. 

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Image Source: Zacks Investment Research

Boston Scientific trades at a forward sales multiple of 2.83 over the past 12 months compared with the 2.08 industry average. 

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Image Source: Zacks Investment Research

The company’s earnings estimates have been revised downward over the past three months.

Zacks Investment Research
Image Source: Zacks Investment Research

BSX stock currently carries a Zacks Rank #4 (Sell).  

You can see the complete list of today’s Zacks #1 Rank (Strong Buy) stocks here.

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