Boston Scientific, Inc. BSX has signed a definitive agreement to acquire SoniVie Ltd., a privately held medical device company that developed the TIVUS Intravascular Ultrasound System. The company already holds an approximately 10% stake in SoniVie. Hence, it will pay nearly $360 million upfront to acquire the remaining 90%, with up to $180 million contingent on regulatory milestones.
The transaction is expected to close in the first half of 2025, subject to customary closing conditions.
Potential Trend of BSX Stock Following the News
After yesterday’s announcement, BSX shares rose 1% to finish the session at $104.87. Renal denervation has emerged as a promising medical advancement in the hypertension space, supported by strong clinical evidence and ongoing research. The latest development enhances Boston Scientific’s interventional cardiology therapy offerings with a minimally invasive therapy for patients with hypertension and also provides the opportunity for future innovation in this field. We expect the market sentiment surrounding BSX stock to remain positive, driven by this news.
At present, Boston Scientific has a market capitalization of $153.17 billion. The Zacks Consensus Estimate for the company’s 2025 earnings per share (EPS) currently stands at $2.85, indicating a 13.6% year-over-year improvement. In the trailing four quarters, it delivered an average earnings surprise of 8.3%.
Rationale Behind BSX’s New Deal and Financial Impact
Hypertension is a leading risk factor for cardiovascular disease closely associated with the overactivity of the sympathetic nervous system. While treatment lowers cardiovascular mortality and the risk of stroke, heart attack or heart failure, lifestyle modifications and anti-hypertensive medications are often inadequate in controlling high blood pressure (BP). Ultrasound energy can penetrate the tissue more deeply than radiofrequency energy, potentially resulting in faster procedures with effective nerve ablation.
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In this regard, SoniVie’s investigational TIVUS system is designed to perform RDN (renal artery denervation) that can help reduce activity in the kidney's renal nerves and serve as an alternative or adjunctive therapy to these medications to help regulate BP. In 2024, the company announced positive efficacy data from an IDE pilot trial of the TIVUS system in the United States and Israel. Additionally, it recently initiated the THRIVE global IDE pivotal trial of the device.
Boston Scientific expects the transaction to be slightly dilutive to its adjusted EPS in 2025, offset by internal cost efficiencies and trade-offs. On a GAAP basis, a higher dilution is expected from amortization expenses and acquisition-related charges, except for a one-time gain from the company’s previously held equity interest in SoniVie.
Industry Prospects Favor BSX
Per a research report, the global renal denervation market was valued at $340.4 million in 2023 and is expected to witness a compound annual rate of 40.2% through 2030. Technological advancements in renal denervation devices have played a crucial role in market growth. Additionally, companies are heavily invested in clinical trials to validate the efficacy and safety of renal denervation devices, propelling the market’s expansion.
More Updates From BSX
In January 2025, Boston Scientific inked an acquisition agreement with Bolt Medical, Inc. to expand its cardiovascular portfolio with a complementary and differentiated calcium modification platform, furthering its strategy to address coronary and peripheral disease. Already owning 26% of the company, Boston Scientific will pay approximately $443 million for the remaining stake, with up to $221 million tied to certain regulatory milestones.
BSX Stock Price Performance
In the past year, Boston Scientific shares have risen 55.5 % compared with the industry’s 11.8% growth.
BSX’s Zacks Rank and Other Key Picks
Boston Scientific currently carries a Zacks Rank #2 (Buy).
Some other top-ranked stocks in the broader medical space are Hims & Hers Health HIMS, Inspira Medical Systems INSP and Cardinal Health CAH. Each of these carries a Zacks Rank #2 at present. You can see the complete list of today’s Zacks #1 Rank (Strong Buy) stocks here.
Estimates for Hims & Hers Health’s 2025 earnings per share have jumped 34.6% to 70 cents in the past 30 days. Shares of the company have surged 178.6% in the past year against the industry’s 9.1% fall. HIMS’ earnings surpassed estimates in two of the trailing four quarters, matched in one and missed on another occasion, the average surprise being 40.4%.
Inspira shares have dipped 0.5% in the past year. Estimates for the company’s 2025 earnings per share have increased 6.4% to $2.16 in the past 30 days. INSP’s earnings beat estimates in each of the trailing four quarters, the average surprise being 332.5%. In the last reported quarter, it posted an earnings surprise of 55.4%.
Estimates for Cardinal Health’s fiscal 2025 earnings per share have increased 14.7% to $7.94 in the past 30 days. Shares of the company have jumped 15.2% in the past year against the industry’s 2.4% fall. CAH’s earnings surpassed estimates in each of the trailing four quarters, the average surprise being 9.6%. In the last reported quarter, it delivered an earnings surprise of 10.3%.
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