 Name of organization : Boston scientific Corporation

 History : Company was Developed in 1979 and up till now they are working in
different countries , best at the USA.
 Size : Company has more than 13,000 products in health care industry and
treating more than 24 Million people each year over past fifteen years.
 Products: They have wide range of products in health care services and they
have major competitors like Abbot laboratories , Stryker laboratories
Financial Statement to Review

 Balance Sheet
 Income statement
 Cash fellow
 Statement of owner equity
Five Financial Ratio Analysis

 Working Capital Ratio

 Quick Ratio :The idea is to show how well current liabilities are covered by
cash and by items
 Earnings per Share: Earnings per share (EPS) measures net income earned on
each share of a company's common stock.
 Cash Ratio
 Profit Margin Ratio : The profit margin ratio, also called the return on sales
ratio or gross profit ratio, is a profitability ratio that measures the amount of
net income earned with each dollar of sales generated by comparing the net
income and net sales of a company
Last Two Years Company Performance

Working Capital = Current Assets/Current Liabilities

= 3,822,000/5,654,000
working Capital for 2017=0.676 =68%
Working Capital for 2016 =0.90 =90%
 Quick Ratio :The idea is to show how well current liabilities are covered by
cash and by items with a ready cash value

 Quick Ratio of 2017 =( 3,822,000 -1,078,000)/5,654,000 =0.49

 Quick Ratio for 2016 = (3,239,000-955,000)/3,587,000 =0.64

Earning Per Ratio

 Earnings per Share: Earnings per share (EPS) measures net

income earned on each share of a company's common
stock.
Earning Per Share = Net income/ Common Stock
EPS = 2017 = 104,000/ 16,000 =6.5
EPS = 2016 = 347,000/16000 = 21.69
 Cash Ratio 2016 = 5%
2017 =3%
Profit Margin in 2017 was 1% while in
2016 it was 4%
Cash Fellow Statement Analysis

 Year 2017- Company has more cash out rather than cash in
 Year 2016 - company has more cash infellow than out fellow
Stock Prices Last Three Years
Working Capital

 WACC = E / (E + D) * Cost of Equity + D / (E + D) * Cost

of Debt * (1 - Tax Rate)
= 0.8752 * 8.65% + 0.1248 * 4.1261% * (1 - -3.65%)
= 8.1%
Firms Value

 Book value and market value are sometimes

closely related and sometimes they aren’t.
Although company is not doing great in
2017 but previous investor trust and market
performance making company to increase
its stock prices over the years.
Five Areas to improve

 There are following area that company needs to improve to improve its financial
performance
 Company need to improve its sales so they can easily convert inventory into cash
which will increase the company current ratio which will attack more customers
 company need to improve its operations
 Company has both internal and external risk factors which need to be improve,
external risk are political and economical risk which can not be meditated while
the internal risk can be controlled by applying proper strategy
 Company needs to improve its short term debt position by issuing bonds in the
market because their stock price are increasing this will give company more cash
which will improve the company overall performance.

References

 https://finance.google.com/finance?q=NYSE:BSX&fstype=ii
 https://www.bostonscientific.com/en-US/about-us/history.html
 http://investors.bostonscientific.com/
 https://www.nasdaq.com/symbol/bsx/financials?query=income-statement
 https://www.nasdaq.com/symbol/bsx/financials?query=ratios
 https://www.investopedia.com/financial-edge/0910/6-basic-financial-ratios-and-what-they-tell-you.aspx
 https://www.gurufocus.com/term/wacc/BSX/WACC-/Boston-Scientific-Corp
 http://quotes.wsj.com/BSX/financials
 http://www.differencebetween.net/business/difference-between-book-value-and-market-value/
 https://www.extension.iastate.edu/agdm/wholefarm/html/c3-14.html
 https://www.investopedia.com/articles/stocks/07/easycashflow.asp
 http://www.wendyjeffus.com/images/Boston_Scientific_Financial_Analysis.pdf
 https://www.myaccountingcourse.com/financial-ratios/profit-margin-ratio