BSX Stock Plummets Over 17% on Missed Guidance
Boston Scientific's stock price collapsed by more than 17% on February 4, 2026, after the company's fourth-quarter 2025 financial results failed to meet investor expectations. The medical device maker announced a GAAP net income of $0.45 per share, falling short of its own guidance range of $0.48 to $0.52 per share. The market reacted sharply to the miss and to underwhelming guidance for the first half of fiscal 2026, which revealed pressures in its U.S. Electrophysiology (EP) segment.
Lawsuit Alleges Misleading Statements on Electrophysiology Growth
In response to the stock drop, multiple law firms, including Bronstein, Gewirtz & Grossman, have filed a class-action lawsuit against Boston Scientific and its top executives. The suit covers all investors who purchased the company's common stock between July 23, 2025, and February 3, 2026. The central allegation is that the company concealed that its stated ambition to grow its EP market share at “2x the market” was failing. The lawsuit claims management knew about new competitive entrants that were eroding its market share and limiting growth potential, yet continued to make positive statements to investors.
Investors Face May 4 Deadline as Legal Risk Mounts
The lawsuit establishes a lead plaintiff deadline of May 4, 2026, for investors who wish to take a primary role in the litigation. The legal proceedings introduce significant uncertainty for Boston Scientific, including the risk of substantial legal fees and potential damages. This legal overhang now compounds the company's operational challenges within its key EP segment. The recent pressure has contributed to a 30-day stock decline of approximately 7.5%, with the shares trading around $69.13, well below the consensus analyst target of $103.82.