Boston Scientific hits 52-week high

January 31, 2013 by MassDevice staff

Shares of Boston Scientific hit their highest point in a year after the medical device company reported strong 4th-quarter and 2012 results.

Boston Scientific

Boston Scientific (NYSE:BSX) shares hit a 52-week high 2 days ago and are flirting with another today, as investors react to strong 4th-quarter and 2012 results.

The Marlborough, Mass.-based medical device company's stock hit $7.43 per share Jan. 29, the day it announced its financial numbers. Shares had fallen as low as $4.79 apiece during the last 52 weeks.

Today BSX shares hit that high again, trading at $7.43 each as of about 1:50 p.m., up 1.6%.

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Boston Scientific posted 4th-quarter profits of $60 million, or 4¢ per share, on sales of $1.82 billion for the 3 months ended Dec. 31, 2012, representing a bottom-line slide of 43.9% and a sales decrease of 1.5% compared with the same period in 2011.

For full-year 2012, the company reported losses of $4.07 billion, or $2.89 per share, on sales of $7.25 billion. That's a top-line slide of 4.9%.

Boston Scientific also said it's expanding the streamlining effort it started in 2011, adding 1,000 layoffs to the 1,400 job cuts it's already put in place. Aiming to pare pre-tax operating expenses by $100 million to $115 million annually by the end of the year, plus the $340 million to $375 million in savings it expects to reap from the 2011 initiative, Boston Scientific said it plans to let another 900 to 1,000 employees go.

Leerink Swann analyst Danielle Antalffy said the results indicate that Boston Scientific could be on a path to sustainable growth after several years in the wilderness.