Marlborough, Massachusetts, May 27, 2026, 12:06 PM EDT
- Boston Scientific shares dropped about 10% in late-morning trading after the company warned of weaker demand for its Watchman heart implant.
- The update is key since Watchman has driven a lot of growth for the medical-device maker. Investors had thought the April forecast cut would be the low point.
- Analysts said the remarks brought back questions over growth visibility in Watchman, electrophysiology and urology.
Boston Scientific’s stock dropped Wednesday after CEO Michael Mahoney said the company is seeing slower use of its Watchman heart device. The shares fell around 10% to $51.63 in recent trading, hitting a session low of $50.60, their lowest in over two years.
Boston Scientific shares came under pressure after the company lowered its 2026 organic revenue growth target just last month. The firm had reduced the forecast to a range of 6.5% to 8%, down from the earlier 10% to 11% projection. Organic revenue strips out some deal and currency moves.
Watchman is in focus. The device is a small implant designed to help stop clots from forming strokes in certain atrial fibrillation patients who can’t stay on blood thinners long term.
Boston Scientific CEO Mike Mahoney told Bernstein’s annual conference that Watchman stand-alone procedures had fewer uses in 2026. Mahoney said doctors are now more often performing Watchman with other heart treatments in one visit, instead of as its own procedure.
Boston Scientific is warning that Watchman sales won’t grow in dollar terms from the first to the second quarter and probably not in the third either, according to Mahoney. The company still expects full-year organic revenue growth between 6.5% and 8%.
Mahoney and Janar Sathananthan, Boston Scientific’s chief medical officer for interventional cardiology therapies, made the comments during a planned 50-minute session at the Bernstein conference, according to a May 4 notice from the company. Boston Scientific also said its next quarterly results call is set for July 29.
Wall Street took the update as more signs of delay in the recovery. Bernstein’s Christian Moore said expectations were “a bit below Street.” J.P. Morgan’s Robbie Marcus said the update “pushes off” clarity on when or if negative revisions stop. Reuters
Other analysts flagged similar concerns. Stifel’s Rick Wise lowered his price target on the stock to $75 from $85 but stuck with his buy rating, saying there are “near-term uncertainties.” Bloomberg Intelligence’s Matt Henriksson said if Watchman sales slow, total revenue might take a 0.8 to 1.3 percentage point hit. Investing.com
Boston Scientific’s Watchman notice comes as more issues hit the business. The company said rivals Medtronic, Johnson & Johnson and Abbott are putting pressure on its electrophysiology unit, which makes tools for heart rhythm treatments.
Mahoney said Boston Scientific is losing share in electrophysiology as competitors roll out new products, but he noted the company’s pipeline. Pressure in cardiac rhythm management and urology continues, with management blaming pricing competition, Axonics-linked commercial changes and more hiring needs.
April’s reset may not stick. If Watchman sales don’t pick up before the third quarter and rivals keep grabbing share in electrophysiology, Boston Scientific has less margin for error, despite management keeping its full-year sales range.
BofA slashed its price target on Boston Scientific to $68 from $105 but stuck with its buy rating, according to Yahoo Finance. The move came before the heavier selling hit the stock on Wednesday, magnifying the pressure.
