Latest news with #BLCO
Yahoo
23-05-2025
- Business
- Yahoo
3 Reasons to Avoid BLCO and 1 Stock to Buy Instead
Shareholders of Bausch + Lomb would probably like to forget the past six months even happened. The stock dropped 42.8% and now trades at $11.19. This was partly driven by its softer quarterly results and might have investors contemplating their next move. Is now the time to buy Bausch + Lomb, or should you be careful about including it in your portfolio? Check out our in-depth research report to see what our analysts have to say, it's free. Even with the cheaper entry price, we're swiping left on Bausch + Lomb for now. Here are three reasons why we avoid BLCO and a stock we'd rather own. Reviewing a company's long-term sales performance reveals insights into its quality. Any business can put up a good quarter or two, but the best consistently grow over the long haul. Regrettably, Bausch + Lomb's sales grew at a mediocre 5.3% compounded annual growth rate over the last five years. This was below our standard for the healthcare sector. Free cash flow isn't a prominently featured metric in company financials and earnings releases, but we think it's telling because it accounts for all operating and capital expenses, making it tough to manipulate. Cash is king. As you can see below, Bausch + Lomb's margin dropped by 20.6 percentage points over the last five years. This along with its unexciting margin put the company in a tough spot, and shareholders are likely hoping it can reverse course. If the trend continues, it could signal it's becoming a more capital-intensive business. Bausch + Lomb's free cash flow margin for the trailing 12 months was negative 3.5%. As long-term investors, the risk we care about most is the permanent loss of capital, which can happen when a company goes bankrupt or raises money from a disadvantaged position. This is separate from short-term stock price volatility, something we are much less bothered by. Bausch + Lomb burned through $168 million of cash over the last year, and its $4.83 billion of debt exceeds the $215 million of cash on its balance sheet. This is a deal breaker for us because indebted loss-making companies spell trouble. Unless the Bausch + Lomb's fundamentals change quickly, it might find itself in a position where it must raise capital from investors to continue operating. Whether that would be favorable is unclear because dilution is a headwind for shareholder returns. We remain cautious of Bausch + Lomb until it generates consistent free cash flow or any of its announced financing plans materialize on its balance sheet. Bausch + Lomb isn't a terrible business, but it doesn't pass our quality test. After the recent drawdown, the stock trades at 14.1× forward P/E (or $11.19 per share). Investors with a higher risk tolerance might like the company, but we don't really see a big opportunity at the moment. We're fairly confident there are better investments elsewhere. Let us point you toward an all-weather company that owns household favorite Taco Bell. The market surged in 2024 and reached record highs after Donald Trump's presidential victory in November, but questions about new economic policies are adding much uncertainty for 2025. While the crowd speculates what might happen next, we're homing in on the companies that can succeed regardless of the political or macroeconomic environment. Put yourself in the driver's seat and build a durable portfolio by checking out our Top 6 Stocks for this week. This is a curated list of our High Quality stocks that have generated a market-beating return of 176% over the last five years. Stocks that made our list in 2020 include now familiar names such as Nvidia (+1,545% between March 2020 and March 2025) as well as under-the-radar businesses like the once-small-cap company Comfort Systems (+782% five-year return). Find your next big winner with StockStory today. Error in retrieving data Sign in to access your portfolio Error in retrieving data Error in retrieving data Error in retrieving data Error in retrieving data
Yahoo
14-05-2025
- Business
- Yahoo
BLCO Q1 Earnings Call: Misses on Profit, Highlights Product Innovation and Tariff Uncertainty
Eyecare company Bausch + Lomb (NYSE:BLCO) fell short of the market's revenue expectations in Q1 CY2025 as sales rose 3.5% year on year to $1.14 billion. On the other hand, the company's full-year revenue guidance of $5.05 billion at the midpoint came in 1.1% above analysts' estimates. Its non-GAAP loss of $0.07 per share was significantly below analysts' consensus estimates. Is now the time to buy BLCO? Find out in our full research report (it's free). Revenue: $1.14 billion vs analyst estimates of $1.14 billion (3.5% year-on-year growth, 0.7% miss) Adjusted EPS: -$0.07 vs analyst estimates of $0.02 (significant miss) Adjusted EBITDA: $126 million vs analyst estimates of $163.4 million (11.1% margin, 22.9% miss) The company lifted its revenue guidance for the full year to $5.05 billion at the midpoint from $4.98 billion, a 1.5% increase EBITDA guidance for the full year is $875 million at the midpoint, below analyst estimates of $921.9 million Operating Margin: -7.3%, down from 0.5% in the same quarter last year Free Cash Flow was -$135 million compared to -$26 million in the same quarter last year Constant Currency Revenue rose 5.2% year on year (20.2% in the same quarter last year) Market Capitalization: $4.16 billion Bausch + Lomb's first quarter results reflected ongoing growth in core eye care franchises, with management citing strong uptake of daily silicone hydrogel (SiHy) contact lenses and robust performance in its over-the-counter (OTC) dry eye brands. However, leadership acknowledged the quarter was impacted by a voluntary recall of its enVista intraocular lens (IOL) platform and underperformance in high-margin U.S. generics, both of which are being directly addressed. CEO Brent Saunders emphasized the company's ability to maintain steady revenue growth across all business segments, despite these setbacks, and pointed to the swift market return of enVista as a testament to operational resilience. In discussing full-year guidance, management highlighted both opportunities and challenges ahead. The company raised its revenue outlook, buoyed by product momentum and a diversified manufacturing footprint, but noted that ongoing tariff volatility and the lingering effects of the enVista recall would weigh on margins. CFO Sam Eldessouky described the tariff environment as a 'moving target,' with scenario planning and mitigation strategies underway to limit downside risk. The company reiterated its focus on innovation and operational flexibility as key to navigating a complex macroeconomic and regulatory landscape. Management cited operational resilience and product momentum as key themes for the first quarter, while outlining responses to external and internal headwinds that shaped performance. Voluntary enVista IOL Recall: The company initiated a voluntary recall of its enVista intraocular lenses in March due to a safety signal. Management prioritized patient safety and transparency, returning to market within a month by enhancing inspection protocols and vendor standards. They expect a one-time impact from the recall but anticipate rebuilding customer trust and market share in subsequent quarters. Daily SiHy Contact Lens Growth: Daily SiHy contact lenses saw 42% constant currency revenue growth, fueled by strong U.S. demand and plans for product expansion in Japan and other geographies. Management attributed this to manufacturing flexibility and effective direct-to-consumer campaigns. OTC Dry Eye Franchise Expansion: The Blink and Artelac OTC dry eye brands delivered substantial growth, driven by new product launches such as Blink NutriTears and increased eye care professional engagement. A tenfold sales increase for NutriTears followed a targeted advertising campaign, highlighting management's focus on consumer outreach. Tariff Mitigation Strategies: Management detailed immediate and longer-term plans to mitigate the effects of reciprocal tariffs between the U.S. and China. These include inventory management, scenario planning for manufacturing shifts, and selective price adjustments, leveraging the company's global production footprint. Pharmaceutical Segment Mixed Results: The pharmaceutical business faced underperformance in U.S. generics due to increased competition and lower inventory, while branded products like MIEBO and XIIDRA continued to post strong prescription growth. Management stated that further gross-to-net headwinds for XIIDRA were expected, but volume gains would be supported by direct-to-consumer marketing and access initiatives. Management's outlook for the remainder of the year centers on product innovation, operational agility, and ongoing responses to external pressures such as tariffs and inventory dynamics. Pipeline Advancements: Multiple new products are expected to enter clinical trials, including a biomimetic contact lens and a dual-action therapeutic for dry eye disease. Management believes these pipeline assets could enhance standard of care and support mid- to high-single-digit revenue growth over time. Tariff and Supply Chain Flexibility: The company's ability to shift manufacturing across global sites and adjust supply chains will be critical in mitigating tariff-related headwinds. Management noted that scenario planning is ongoing, and rapid implementation of mitigation levers could limit margin impact if trade tensions persist. Rebound in Surgical and Premium IOLs: The return of enVista IOLs, along with the upcoming launch of the LuxLife and LuxSmart platforms in Europe, is expected to drive recovery in the surgical segment. Management indicated that regaining surgeon confidence and rebuilding inventory channels are top priorities for the second half of the year. Patrick Wood (Morgan Stanley): Asked about the customer response and overall market impact from the enVista recall. Management reported that most surgeons plan to resume use quickly, and trust was reinforced by the recall's transparency and speed of market return. Young Li (Jefferies): Inquired about consumer demand trends and whether sentiment or inventory destocking signaled any slowdown. CEO Brent Saunders stated that actual consumption remains resilient, even as some retailer destocking continues, and highlighted essential healthcare demand as a buffer. Joanne Wuensch (Citi): Requested details on contact lens market demand and the development pipeline for next-generation lenses. Management responded that demand is steady globally and described new lenses in late-stage development, emphasizing design for existing manufacturing lines to minimize capital needs. Unidentified Analyst (Wells Fargo): Probed the timing and magnitude of tariff impacts. CFO Sam Eldessouky disclosed that actions taken so far will protect the first half of the year, with most tariff effects expected in the second half if policies remain unchanged. Robbie Marcus (JPMorgan): Asked why tariff impacts were not included in full-year guidance and about debt covenant risks. Management explained the exclusion was due to ongoing policy uncertainty and assured compliance with existing debt agreements regardless of tariff scenarios. In coming quarters, the StockStory team will be watching (1) the pace of enVista IOL adoption and the restoration of market share in surgical implants, (2) execution on pipeline milestones, including clinical trial progress for new contact lens and dry eye therapies, and (3) the effectiveness of tariff mitigation strategies as U.S.-China trade dynamics evolve. Developments in consumer product launches and the ramp-up of new premium IOL platforms in Europe will also serve as important indicators of recovery and long-term growth. Bausch + Lomb currently trades at a forward P/E ratio of 14.8×. Should you load up, cash out, or stay put? See for yourself in our free research report. The market surged in 2024 and reached record highs after Donald Trump's presidential victory in November, but questions about new economic policies are adding much uncertainty for 2025. While the crowd speculates what might happen next, we're homing in on the companies that can succeed regardless of the political or macroeconomic environment. Put yourself in the driver's seat and build a durable portfolio by checking out our Top 5 Strong Momentum Stocks for this week. This is a curated list of our High Quality stocks that have generated a market-beating return of 176% over the last five years. Stocks that made our list in 2020 include now familiar names such as Nvidia (+1,545% between March 2020 and March 2025) as well as under-the-radar businesses like the once-micro-cap company Kadant (+351% five-year return). Find your next big winner with StockStory today. 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Business Wire
08-05-2025
- Business
- Business Wire
Securities Fraud Investigation Into Bausch + Lomb Corporation (BLCO) Announced – Investors Who Lost Money Urged To Contact Glancy Prongay & Murray LLP, a Leading Securities Fraud Law Firm
LOS ANGELES--(BUSINESS WIRE)-- Glancy Prongay & Murray LLP, a leading national shareholder rights law firm, today announced that it has commenced an investigation on behalf of Bausch + Lomb Corporation ('BLCO' or the 'Company') (NYSE: BLCO) investors concerning the Company's possible violations of the federal securities laws. IF YOU ARE AN INVESTOR WHO LOST MONEY ON BAUSCH + LOMB CORPORATION (BLCO), CLICK HERE TO INQUIRE ABOUT POTENTIALLY PURSUING CLAIMS TO RECOVER YOUR LOSS. What Happened? On March 27, 2025, BLCO disclosed that it had '[begun] to see an increased number of reports of toxic anterior segment syndrome (TASS) in conjunction with enVista® intraocular lenses (IOLs)' and was voluntarily recalling all of its enVista Envy and enVista Aspire IOLs, as well as enVista monofocal lenses. On this news, BLCO's stock price fell $1.54, or 9.8%, over two consecutive trading days to close at $14.13 per share on March 28, 2025, thereby injuring investors. Then, on April 30, 2025, BLCO released its first quarter 2025 financial results, disclosing that 'as enVista ramps back up, for the full year 2025, [it] estimate[s] one-time recall headwinds of approximately $55 million to revenue and $65 million to adjusted EBITDA.' On this news, BLCO's stock price fell $2.16, or 15.7%, to close at $11.56 per share on April 30, 2025, thereby injuring investors further. Contact Us To Participate or Learn More: If you wish to learn more about this action, or if you have any questions concerning this announcement or your rights or interests with respect to these matters, please contact us. Charles Linehan, Esq., Glancy Prongay & Murray LLP, 1925 Century Park East, Suite 2100, Los Angeles California 90067 Email: shareholders@ Telephone: 310-201-9150 (Toll-Free: 888-773-9224) Visit our website at Follow us for updates on LinkedIn, Twitter, or Facebook. Whistleblower Notice Persons with non-public information regarding BLCO should consider their options to aid the investigation or take advantage of the SEC Whistleblower Program. Under the program, whistleblowers who provide original information may receive rewards totaling up to 30 percent of any successful recovery made by the SEC. For more information, call Charles H. Linehan at 310-201-9150 or 888-773-9224 or email shareholders@ About Glancy Prongay & Murray LLP Glancy Prongay & Murray LLP ('GPM') is a premier law firm representing investors and consumers in securities litigation and other complex class action litigation. GPM has been consistently ranked in the Top 50 Securities Class Action Settlements by ISS Securities Class Action Services. In 2018, GPM was ranked a top five law firm in number of securities class action settlements, and a top six law firm for total dollar size of settlements. With four offices across the country, GPM's nearly 40 attorneys have won groundbreaking rulings and recovered billions of dollars for investors and consumers in securities, antitrust, consumer, and employment class actions. GPM's lawyers have handled cases covering a wide spectrum of corporate misconduct and relating to nearly all industries and sectors. GPM's past successes have been widely covered by leading news and industry publications such as The Wall Street Journal, The Financial Times, Bloomberg Businessweek, Reuters, the Associated Press, Barron's, Investor's Business Daily, Forbes, and Money. This press release may be considered Attorney Advertising in some jurisdictions under the applicable law and ethical rules.
Business Wire
08-05-2025
- Business
- Business Wire
Bausch + Lomb Corporation (BLCO) Investors Who Lost Money – Contact Law Offices of Howard G. Smith About Securities Fraud Investigation
BENSALEM, Pa.--(BUSINESS WIRE)--Law Offices of Howard G. Smith announces an investigation on behalf of Bausch + Lomb Corporation ('BLCO' or the 'Company') (NYSE: BLCO) investors concerning the Company's possible violations of federal securities laws. IF YOU ARE AN INVESTOR WHO SUFFERED A LOSS IN BAUSCH + LOMB CORPORATION (BLCO), CONTACT THE LAW OFFICES OF HOWARD G. SMITH ABOUT POTENTIALLY PURSUING CLAIMS TO RECOVER YOUR LOSS. Contact the Law Offices of Howard G. Smith to discuss your legal rights by email at howardsmith@ by telephone at (215) 638-4847 or visit our website at What Happened? On March 27, 2025, BLCO disclosed that it had '[begun] to see an increased number of reports of toxic anterior segment syndrome (TASS) in conjunction with enVista® intraocular lenses (IOLs)' and was voluntarily recalling all of its enVista Envy and enVista Aspire IOLs, as well as enVista monofocal lenses. On this news, BLCO's stock price fell $1.54, or 9.8%, over two consecutive trading days to close at $14.13 per share on March 28, 2025, thereby injuring investors. Then, on April 30, 2025, BLCO released its first quarter 2025 financial results, disclosing that 'as enVista ramps back up, for the full year 2025, [it] estimate[s] one-time recall headwinds of approximately $55 million to revenue and $65 million to adjusted EBITDA.' On this news, BLCO's stock price fell $2.16, or 15.7%, to close at $11.56 per share on April 30, 2025, thereby injuring investors further. Contact Us To Participate or Learn More: If you purchased BLCO securities, have information or would like to learn more about these claims, or have any questions concerning this announcement or your rights or interests with respect to these matters, please contact us: Law Offices of Howard G. Smith, 3070 Bristol Pike, Suite 112, Bensalem, Pennsylvania 19020, Telephone: (215) 638-4847 Email: howardsmith@ Visit our website at: This press release may be considered Attorney Advertising in some jurisdictions under the applicable law and ethical rules.
Business Wire
08-05-2025
- Business
- Business Wire
Securities Fraud Investigation Into Bausch + Lomb Corporation (BLCO) Announced – Investors Who Lost Money Urged to Contact The Law Offices of Frank R. Cruz
LOS ANGELES--(BUSINESS WIRE)-- The Law Offices of Frank R. Cruz announces an investigation of Bausch + Lomb Corporation ('BLCO' or the 'Company') (NYSE: BLCO) on behalf of investors concerning the Company's possible violations of federal securities laws. IF YOU ARE AN INVESTOR WHO LOST MONEY ON BAUSCH + LOMB CORPORATION (BLCO), CLICK HERE TO INQUIRE ABOUT POTENTIALLY PURSUING A CLAIM TO RECOVER YOUR LOSS. What Is the Investigation About? On March 27, 2025, BLCO disclosed that it had '[begun] to see an increased number of reports of toxic anterior segment syndrome (TASS) in conjunction with enVista® intraocular lenses (IOLs)' and was voluntarily recalling all of its enVista Envy and enVista Aspire IOLs, as well as enVista monofocal lenses. On this news, BLCO's stock price fell $1.54, or 9.8%, over two consecutive trading days to close at $14.13 per share on March 28, 2025, thereby injuring investors. Then, on April 30, 2025, BLCO released its first quarter 2025 financial results, disclosing that 'as enVista ramps back up, for the full year 2025, [it] estimate[s] one-time recall headwinds of approximately $55 million to revenue and $65 million to adjusted EBITDA.' On this news, BLCO's stock price fell $2.16, or 15.7%, to close at $11.56 per share on April 30, 2025, thereby injuring investors further. Contact Us to Participate or Learn More: If you purchased BLCO securities, have information or would like to learn more about these claims, or have any questions concerning this announcement or your rights or interests with respect to these matters, please contact us: The Law Offices of Frank R. Cruz 2121 Avenue of the Stars, Suite 800 Century City, California 90067 Call us at: 310-914-5007 Email us at: info@ Visit our website at: Follow us for updates on Twitter at If you inquire by email, please include your mailing address, telephone number, and number of shares purchased. This press release may be considered Attorney Advertising in some jurisdictions under the applicable law and ethical rules.
