After acquiring LumenR and EndoChoice, Boston Scientific committed to leaning on its endoscopy business to drive growth company-wide, Trefis reports.
Here's what you need to know.
1. In addition to Lumen R and EndoChoice, the company also acquired Xulmena in 2015. The acquisitions are part of a drive to bolster Boston Scientific's holdings in the endoscopy business. Analysts at Trefis believe the renewed focus on endoscopy will drive the company's growth.
2. Trefis estimates a $25.50 target for Boston Scientific in the coming year, which is 18 percent above market price.
3. As a field, endoscopy is rapidly growing with a 7 percent growth projected industrywide.
4. Boston Scientific has the broadest portfolio and is an industry leading player.
5. Trefis projects Boston Scientific's endoscopy division will grow at 5.3 percent compound annual growth rate while contributing 16 percent to the company's total market cap. As a whole, Trefis valued the company's endoscopy division at $5 billion.
6. Trefis believes Boston Scientific will continue to boost its portfolio through small acquisitions.
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