• Skip to primary navigation
  • Skip to main content
  • Skip to primary sidebar
  • Skip to footer
  • Advertise
  • Subscribe

MassDevice

The Medical Device Business Journal — Medical Device News & Articles | MassDevice

  • Latest News
  • Technologies
    • Artificial Intelligence (AI)
    • Cardiovascular
    • Orthopedics
    • Neurological
    • Diabetes
    • Surgical Robotics
  • Business & Finance
    • Wall Street Beat
    • Earnings Reports
    • Funding Roundup
    • Mergers & Acquisitions
    • Initial Public Offering (IPO)
    • Legal News
    • Personnel Moves
    • Medtech 100 Stock Index
  • Regulatory & Compliance
    • Food & Drug Administration (FDA)
    • Recalls
    • 510(k)
    • Pre-Market Approval (PMA)
    • MDSAP
    • Clinical Trials
  • Special Content
    • Special Reports
    • In-Depth Coverage
    • DeviceTalks
  • Podcasts
    • MassDevice Fast Five
    • DeviceTalks Weekly
    • OEM Talks
      • AbbottTalks
      • Boston ScientificTalks
      • DeviceTalks AI
      • IntuitiveTalks
      • MedtechWOMEN Talks
      • MedtronicTalks
      • Neuro Innovation Talks
      • Ortho Innovation Talks
      • Structural Heart Talks
      • StrykerTalks
  • Resources
    • About MassDevice
    • DeviceTalks
    • Newsletter Signup
    • Leadership in Medtech
    • Manufacturers & Suppliers Search
    • MedTech100 Index
    • Videos
    • Webinars
    • Whitepapers
    • Voices
Home » Moody’s raises Boston Scientific rating again

Moody’s raises Boston Scientific rating again

February 13, 2012 By MassDevice staff

MassDevice.com Wall Street Beat

Shares of Boston Scientific (NYSE:BSX) are enjoying a modest gain today after Moody’s Investment Research (NYSE:MCO) upgraded its debt rating.

The ratings agency said it believes BSX stock is less risky now that the Natick, Mass.-based medical device giant has reduced its debt load and introduced new products into its pipeline, according to Moody’s analyst Diana Lee.

Moody’s upgraded BSX’s senior unsecured debt rating to "Baa3" from "Ba1," setting a "stable" outlook and removing its corporate family, probability of default and speculative-grade liquidity ratings.

"The stable outlook reflects Moody’s expectation that newly introduced [drug-eluting stent] and [cardiac rhythm management] products will help reverse recent market share losses and that, even as a new CEO transitions later this year, the company will not engage in large debt financed acquisitions or buyback initiatives. The outlook also reflects Moody’s belief that free cash flow to debt will be sustained around 20% and debt/EBITDA will be sustained at levels well below 3.0 times," according to a press release. "If Boston Scientific can improve market share in existing mature businesses while becoming competitive in newer technologies and continue to internally fund acquisitions and buybacks, the ratings could be upgraded."

"Boston Scientific’s commitment to lower leverage and cost-cutting initiatives should provide it with sufficient cushion to withstand ongoing pressures in its core markets," Lee added in prepared remarks. "Furthermore, patent litigation risk continues to wind down, as recent developments appear to weigh in Boston Scientific’s favor."

"We are pleased to achieve an investment-grade rating from all 3 major credit rating agencies, recognizing the strength of our balance sheet, strong cash flow, recent drug-eluting stent and cardiac rhythm management product launches, as well as other tangible signs of the progress we are making," BSX CFO Jeff Capello said in prepared remarks. "We remain committed to a strong capital structure and improved profitability, while retaining the capacity to fund investments in our Priority Growth Initiatives and other programs to increase shareholder value.

Moody’s lifted BSX out of junk bond status in March 2009 and raised its outlook from stable to positive last June.

BSX shares ticked up 0.3% to $5.95 today as of about 1:24, after briefly topping the $6-per-share mark this morning.

Filed Under: Wall Street Beat Tagged With: Boston Scientific, Moody's Investor Service

More recent news

  • Comphya raises CHF 7.5 million for neurostim to treat ED
  • Fujifilm launches intelligent automation features for digital radiography
  • Integer appoints former iRhythm CEO to board
  • MMI debuts robotic surgery instruments, digital surgery platform
  • Synchrony Medical wins FDA nod for airway clearance system

Primary Sidebar

“md
EXPAND YOUR KNOWLEDGE AND STAY CONNECTED
Get the latest med device regulatory, business and technology news.

DeviceTalks Weekly

See More >

MEDTECH 100 Stock INDEX

Medtech 100 logo
Market Summary > Current Price
The MedTech 100 is a financial index calculated using the BIG100 companies covered in Medical Design and Outsourcing.
MDO ad

Footer

MASSDEVICE MEDICAL NETWORK

DeviceTalks
Drug Delivery Business News
Medical Design & Outsourcing
Medical Tubing + Extrusion
Drug Discovery & Development
Pharmaceutical Processing World
MedTech 100 Index
R&D World
Medical Design Sourcing

DeviceTalks Webinars, Podcasts, & Discussions

Attend our Monthly Webinars
Listen to our Weekly Podcasts
Join our DeviceTalks Tuesdays Discussion

MASSDEVICE

Subscribe to MassDevice E-Newsletter
Advertise with us
About
Contact us

Copyright © 2025 · WTWH Media LLC and its licensors. All rights reserved.
The material on this site may not be reproduced, distributed, transmitted, cached or otherwise used, except with the prior written permission of WTWH Media.

Privacy Policy