NEW YORK (TheStreet) -- Medical device maker Boston Scientific (BSX) will engage in restructuring efforts in 2014 which will see between 1,100 and 1,500 positions made redundant. The cuts aim to save the company $150 to $200 million in operating expenses by the end of 2015. It is not known which of the company's 24,000 positions worldwide will be targeted.
The Massachusetts-based firm reported a third-quarter loss of $5 million, or breakeven earnings, on $1.74 billion in revenue. A year earlier, the company reported a net loss of $664 million, or 48 cents a share, due to restructuring and litigation expenses. Excluding special charges, the company earned 10 cents a share, a cent higher than analysts' expectations, according to Thomson Reuters.
Shares were trading 6.3% lower at $11.52 as of 1 p.m. EDT, lagging the S&P 500's 0.24% gain. More than 30 million shares had changed hands, double the three-month average daily trading volume of 12.56 million.
TheStreet Ratings team rates Boston Scientific Corp as a Buy with a ratings score of B-. The team has this to say about its recommendation:
"We rate Boston Scientific Corp (BSX) a BUY. This is driven by a few notable strengths, which we believe should have a greater impact than any weaknesses, and should give investors a better performance opportunity than most stocks we cover. The company's strengths can be seen in multiple areas, such as its compelling growth in net income, solid stock price performance, expanding profit margins, impressive record of earnings per share growth and largely solid financial position with reasonable debt levels by most measures. We feel these strengths outweigh the fact that the company shows weak operating cash flow."