Stock Analysis on Net

Boston Scientific Corp. (NYSE:BSX)

This company has been moved to the archive! The financial data has not been updated since May 4, 2023.

Enterprise Value to FCFF (EV/FCFF)

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Free Cash Flow to The Firm (FCFF)

Boston Scientific Corp., FCFF calculation

US$ in millions

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12 months ended: Dec 31, 2022 Dec 31, 2021 Dec 31, 2020 Dec 31, 2019 Dec 31, 2018
Net income (loss) 698 1,041 (82) 4,700 1,671
Net noncash charges 1,833 1,180 1,548 (2,568) 808
Increase (decrease) in operating assets and liabilities, excluding purchase accounting (1,005) (351) 42 (296) (2,169)
Cash provided by operating activities 1,526 1,870 1,508 1,836 310
Cash paid for interest, net of tax1 275 327 284 355 207
Purchases of property, plant and equipment and internal use software (588) (554) (376) (461) (316)
Proceeds from sale of property, plant and equipment 12 14 12 7 14
Free cash flow to the firm (FCFF) 1,225 1,657 1,428 1,737 215

Based on: 10-K (reporting date: 2022-12-31), 10-K (reporting date: 2021-12-31), 10-K (reporting date: 2020-12-31), 10-K (reporting date: 2019-12-31), 10-K (reporting date: 2018-12-31).

Item Description The company
FCFF Free cash flow to the firm is the cash flow available to the Boston Scientific Corp. suppliers of capital after all operating expenses have been paid and necessary investments in working and fixed capital have been made. Boston Scientific Corp. FCFF increased from 2020 to 2021 but then decreased significantly from 2021 to 2022.

Interest Paid, Net of Tax

Boston Scientific Corp., interest paid, net of tax calculation

US$ in millions

Microsoft Excel
12 months ended: Dec 31, 2022 Dec 31, 2021 Dec 31, 2020 Dec 31, 2019 Dec 31, 2018
Effective Income Tax Rate (EITR)
EITR1 38.90% 3.30% 21.00% 21.00% 21.00%
Interest Paid, Net of Tax
Cash paid for interest, before tax 450 338 359 449 262
Less: Cash paid for interest, tax2 175 11 75 94 55
Cash paid for interest, net of tax 275 327 284 355 207

Based on: 10-K (reporting date: 2022-12-31), 10-K (reporting date: 2021-12-31), 10-K (reporting date: 2020-12-31), 10-K (reporting date: 2019-12-31), 10-K (reporting date: 2018-12-31).

1 See details »

2 2022 Calculation
Cash paid for interest, tax = Cash paid for interest × EITR
= 450 × 38.90% = 175


Enterprise Value to FCFF Ratio, Current

Boston Scientific Corp., current EV/FCFF calculation, comparison to benchmarks

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Selected Financial Data (US$ in millions)
Enterprise value (EV) 82,681
Free cash flow to the firm (FCFF) 1,225
Valuation Ratio
EV/FCFF 67.50
Benchmarks
EV/FCFF, Competitors1
Abbott Laboratories 36.34
Cigna Group 11.13
CVS Health Corp. 12.31
Danaher Corp. 36.08
Elevance Health Inc. 14.51
Humana Inc. 9.45
Intuitive Surgical Inc. 181.21
Medtronic PLC 26.36
UnitedHealth Group Inc. 17.42
EV/FCFF, Sector
Health Care Equipment & Services 18.73
EV/FCFF, Industry
Health Care 19.97

Based on: 10-K (reporting date: 2022-12-31).

1 Click competitor name to see calculations.

If the company EV/FCFF is lower then the EV/FCFF of benchmark then company is relatively undervalued.
Otherwise, if the company EV/FCFF is higher then the EV/FCFF of benchmark then company is relatively overvalued.


Enterprise Value to FCFF Ratio, Historical

Boston Scientific Corp., historical EV/FCFF calculation, comparison to benchmarks

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Dec 31, 2022 Dec 31, 2021 Dec 31, 2020 Dec 31, 2019 Dec 31, 2018
Selected Financial Data (US$ in millions)
Enterprise value (EV)1 75,700 69,502 62,324 65,513 62,154
Free cash flow to the firm (FCFF)2 1,225 1,657 1,428 1,737 215
Valuation Ratio
EV/FCFF3 61.80 41.95 43.66 37.72 289.12
Benchmarks
EV/FCFF, Competitors4
Abbott Laboratories 23.24 23.47 36.94 33.05
Cigna Group 13.38 14.17 9.16 10.24
CVS Health Corp. 10.00 10.30 9.42 12.30
Danaher Corp. 25.74 28.25 30.66 37.11
Elevance Health Inc. 13.32 12.74 6.04 12.73
Humana Inc. 14.88 42.03 7.92 8.46
Intuitive Surgical Inc. 85.45 56.01 76.70 54.58
Medtronic PLC 20.32 33.84 21.43 22.07 27.88
UnitedHealth Group Inc. 19.30 22.21 15.82 17.51
EV/FCFF, Sector
Health Care Equipment & Services 18.05 20.42 15.95 17.63
EV/FCFF, Industry
Health Care 17.71 17.21 17.77 18.34

Based on: 10-K (reporting date: 2022-12-31), 10-K (reporting date: 2021-12-31), 10-K (reporting date: 2020-12-31), 10-K (reporting date: 2019-12-31), 10-K (reporting date: 2018-12-31).

1 See details »

2 See details »

3 2022 Calculation
EV/FCFF = EV ÷ FCFF
= 75,700 ÷ 1,225 = 61.80

4 Click competitor name to see calculations.

Valuation ratio Description The company
EV/FCFF Enterprise value to free cash flow to the firm is whole company valuation indicator. Boston Scientific Corp. EV/FCFF ratio decreased from 2020 to 2021 but then increased from 2021 to 2022 exceeding 2020 level.