Key TakeawaysRaymond James lowered BSX from Strong Buy to Outperform, reducing the price target from $97 to $88.Concerns center on decelerating growth in U.S. electrophysiology and Watchman products, which accounted for more than half of the company’s year-over-year revenue expansion.Shares declined to a 52-week low, representing approximately a 30% decline over the past year.Despite the downgrade, BSX received FDA 510(k) clearance for its Asurys fluid management system, and the CHAMPION-AF trial achieved its primary endpoints.Several firms including Evercore ISI and Bernstein continue to hold Outperform ratings, while Stifel maintains a Buy recommendation with a $90 target.Boston Scientific experienced a challenging trading session on Monday, with shares plummeting more than 8% and reaching a 52-week low as investor sentiment shifted regarding the medical device manufacturer’s near-term growth trajectory.Boston Scientific Corporation, BSXThe sharp decline followed a downgrade by Raymond James analyst Jayson Bedford, who moved his rating on BSX from Strong Buy to Outperform while simultaneously reducing his price target from $97 to $88. The firm emphasized that its confidence in the company’s long-term prospects remains solid, describing BSX as “one of the highest quality, and fastest growing, companies in large cap Med Tech.” However, near-term projections required recalibration.The primary concern centers on weakening momentum in two of BSX’s fastest-expanding business segments. The company’s U.S. electrophysiology division and Watchman device collectively represented 26% of total revenue in 2025 and contributed more than half of BSX’s year-over-year sales growth. Raymond James now forecasts these segments will expand at 17% and 16% over the coming two years — a reduction from previous projections of 18% and 20%.Regarding the electrophysiology business, fourth-quarter performance showed signs of deceleration, with the firm observing continued market share losses. Raymond James currently projects EP growth rates of 15% and 14% for 2026 and 2027 respectively.The Watchman situation presents a more nuanced outlook. Results from the CHAMPION-AF trial proved encouraging — Raymond James noted the findings “takes a worst case ‘miss’ scenario off the table” and positions the product for a potential label expansion in 2027. However, data from the CLOSURE trial released in the New England Journal of Medicine continues to generate negative commentary and may create uncertainty around the device’s growth trajectory.Shares Trading Near Annual LowsTrading at approximately $65.26, BSX is hovering near its weakest level in a year. The stock has declined roughly 30% over the trailing 12-month period, leaving the company with a market capitalization of around $102.8 billion.Despite the recent selling pressure, InvestingPro data suggests the stock may be trading below its intrinsic value. BSX has delivered nearly 20% revenue growth and maintains a PEG ratio of 0.64. Raymond James also noted that BSX trades at approximately 18 times projected 2027 earnings — representing a discount compared to the peer group average of 21 times.Encouraging Developments Continue to EmergeNot all news flow has been negative. The FDA granted 510(k) clearance for BSX’s Asurys Fluid Management System, designed for endoscopic urologic procedures. Additionally, the CHAMPION-AF trial demonstrated that the Watchman device delivered comparable efficacy to NOAC blood thinners while offering superior safety metrics.Stifel maintained its Buy rating on BSX following these developments, maintaining a $90 price target. Evercore ISI reaffirmed its Outperform stance, highlighting the company’s capacity to sustain a 9% revenue compound annual growth rate through 2028. Bernstein also kept its Outperform rating, albeit with a $112 price target that appears ambitious given current trading levels.Raymond James adjusted its 2026 and 2027 revenue projections lower by approximately 0.5% and 1.5% respectively, while continuing to express confidence that the long-term investment thesis for BSX remains fundamentally sound.The post Boston Scientific (BSX) Shares Plunge 8% Following Raymond James Downgrade Amid Growth Headwinds appeared first on Blockonomi.