Boston Scientific Surges 3.1% on Earnings Beat and Strategic Acquisition – What’s Next?

Summary
• Zacks upgrades BSX to 'Buy' amid rising earnings estimates
• Q3 sales top estimates by 20%, cardiology demand drives growth
• Nalu Medical acquisition adds $533M to chronic pain portfolio

Boston Scientific (BSX) is trading at a 3.1% intraday gain, surging from $98.76 to $101.095, driven by a Q3 earnings beat, upgraded guidance, and a strategic $533M acquisition. The stock’s sharp rebound from its 2025 lows has drawn attention to its technical setup and options activity, with heavy call buying suggesting bullish positioning ahead of key resistance levels.

Cardiology Sales and Strategic Expansion Drive BSX’s Rally
Boston Scientific’s 3.1% intraday surge is fueled by a Q3 earnings report that exceeded expectations, with net sales rising 20% year-over-year to $5.07B and EPS of $0.75. Management attributed the outperformance to robust cardiology device sales and raised full-year guidance. Additionally, the $533M acquisition of Nalu Medical, a developer of neurostimulation systems for chronic pain, signals a strategic pivot into high-growth therapeutic areas. Analysts at Needham and BTIG have reaffirmed 'Buy' ratings, citing the company’s earnings resilience and product pipeline, while options traders are betting on further upside with heavy call volume.

Healthcare Equipment Sector Gains Momentum as Medtronic Leads
The healthcare equipment sector is showing strength, with Medtronic (MDT) up 2.01% on the day, reflecting broader optimism in medical device innovation. Boston Scientific’s 3.1% gain outpaces MDT’s rally, driven by its recent earnings beat and acquisition news. While MDT’s growth is tied to its diversified portfolio, BSX’s focus on cardiology and structural heart devices—such as the FDA-approved WATCHMAN FLX—positions it to capture market share in high-margin segments. The sector’s momentum is further supported by positive sentiment around procedural recovery and regulatory approvals.

Options and ETFs Highlight Bullish Momentum Amid Technical Indicators
• RSI: 47.49 (neutral to overbought threshold)
• MACD: -0.458 (bearish divergence), Signal Line: 0.0965 (bullish crossover pending)
• Bollinger Bands: Price at 101.095 (near upper band at 104.74)
• 200-day MA: 101.68 (current price slightly below)

Technical indicators suggest a short-term bullish setup for BSX, with the stock trading near its 52-week high of $109.5 and above its 200-day moving average. The RSI hovering near 47.49 indicates potential for a rebound into overbought territory. Key resistance lies at the upper Bollinger Band (104.74) and the 52-week high, while support is near the 200-day MA. Options traders are favoring short-term bullish strategies, with the following two contracts standing out:

• BSX20251205C100 (Call, Strike: 100, Expiry: 12/5):
- IV: 18.29% (moderate)
- LVR: 51.83% (high leverage)
- Delta: 0.65 (high sensitivity to price moves)
- Theta: -0.288 (rapid time decay)
- Gamma: 0.115 (strong sensitivity to price acceleration)
- Turnover: 3,839 (high liquidity)
- Payoff (5% upside): $6.15/share (200% gain)
This contract offers aggressive leverage for a near-term rally, with high gamma amplifying gains if the stock breaks above $100.

• BSX20251205C104 (Call, Strike: 104, Expiry: 12/5):
- IV: 19.33% (moderate)
- LVR: 252.65% (extreme leverage)
- Delta: 0.21 (moderate sensitivity)
- Theta: -0.1216 (moderate time decay)
- Gamma: 0.085 (strong sensitivity to price acceleration)
- Turnover: 2,250 (high liquidity)
- Payoff (5% upside): $2.15/share (200% gain)
This contract balances leverage and liquidity, ideal for a breakout above $104.50 (upper Bollinger Band).

Aggressive bulls may consider BSX20251205C100 into a break above $100, while those seeking a balance of leverage and liquidity should target BSX20251205C104 for a push toward the 52-week high.

Backtest Boston Scientific Stock Performance
Backtest completed.Key metrics • Period: 2022-01-03 to 2025-11-25 • Trade rule: buy Boston Scientific (BSX) at the close on any day it finishes up ≥ 3 %; position is closed automatically by the engine at the next signal or at period end. • Total return: 117.6 % • Annualised return: 22.5 % • Maximum draw-down: 25.2 % • Sharpe ratio: 1.07 Parameter notes 1. Price series − close price was used (default when the user does not specify). 2. Exit rule − because no specific sell criterion was given, the strategy engine’s default “flat at the next opening signal” logic was applied. 3. Risk control − none was set, matching the user’s intent of a pure event follow-through test. A detailed interactive report is ready below.Please scroll the report for trade-by-trade details, equity curve and risk statistics.

Bullish Setup Confirmed – Position for BSX’s Next Move as Sector Strength Endures
Boston Scientific’s 3.1% rally is underpinned by strong earnings, strategic acquisitions, and sector-wide optimism. Technical indicators suggest a potential breakout above $104.74, with the 52-week high at $109.5 as the next target. Investors should monitor the 200-day MA at $101.68 as a critical support level and watch for a MACD crossover to confirm bullish momentum. With Medtronic (MDT) up 2.01% and the healthcare equipment sector gaining traction, now is the time to position for BSX’s next move. Aggressive traders may initiate long calls at $100 or $104, while conservative investors should wait for a pullback to the 200-day MA before entering.