Is Boston Scientific Corp. overvalued or undervalued?

As of 23 July 2025, Boston Scientific Corp. has moved from very expensive to attractive, indicating a significant shift in its valuation perspective. The company appears to be undervalued, especially when considering its P/E ratio of 86, which is notably higher than the peer average P/E of 73.71, and an EV to EBITDA ratio of 44.86 compared to the peer average of 45.38. Additionally, the PEG ratio stands at 6.37, suggesting that the stock may not be priced favorably relative to its earnings growth potential.
In terms of peer comparison, McKesson Corp. has a P/E of 57.25 and Cencora, Inc. has a P/E of 40.09, both of which indicate that Boston Scientific's valuation is higher, yet it is classified as attractive due to its growth prospects. Despite recent underperformance with a 1-week return of -5.86% compared to the S&P 500's 1.05%, the company has shown resilience with a 3-year return of 135.56%, significantly outperforming the S&P 500's 70.41% in the same period, reinforcing its potential for future growth.