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Bausch + Lomb Corporation (BLCO)
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Bausch + Lomb Corporation (BLCO) AI Stock Analysis

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BLCO

Bausch + Lomb Corporation

(NYSE:BLCO)

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Neutral 56 (OpenAI - 4o)
Rating:56Neutral
Price Target:
$16.00
▲(2.89% Upside)
Bausch + Lomb Corporation's overall stock score is driven by its strong technical momentum and positive earnings call outlook, which are offset by weak financial performance and valuation concerns. The company's challenges in profitability and cash flow, along with a negative P/E ratio, weigh heavily on its score. However, the positive momentum and strategic management highlighted in the earnings call provide some optimism for future performance.
Positive Factors
Revenue Growth
Consistent revenue growth across all segments indicates strong market demand and effective business strategies, supporting long-term expansion.
Pharmaceutical Segment Success
The significant growth in the pharmaceutical segment, particularly with Miebo, underscores the company's innovation and competitive edge in eye health.
Vision Care Performance
Strong performance in Vision Care, especially in contact lenses, highlights the company's robust product portfolio and consumer demand.
Negative Factors
Profitability Challenges
Negative net profit margins indicate ongoing profitability challenges, which could hinder reinvestment and shareholder returns over time.
Cash Flow Weakness
Weak cash flow performance limits the company's ability to fund operations and growth initiatives, impacting long-term financial stability.
Gross Margin Decline
The decline in gross margins suggests cost pressures and operational inefficiencies, which could affect profitability if not addressed.

Bausch + Lomb Corporation (BLCO) vs. SPDR S&P 500 ETF (SPY)

Bausch + Lomb Corporation Business Overview & Revenue Model

Company DescriptionBausch + Lomb Corporation operates as an eye health company worldwide. It operates through three segments: Vision Care/Consumer Health Care, Ophthalmic Pharmaceuticals, and Surgical. The Vision Care/Consumer Health Care segment provides contact lens that covers the spectrum of wearing modalities, including daily disposable and frequently replaced contact lenses; and contact lens care products, over-the-counter eye drops, eye vitamins, and mineral supplements that address various conditions comprising eye allergies, conjunctivitis, and dry eye. The Ophthalmic Pharmaceuticals segment offers proprietary and generic pharmaceutical products for post-operative treatments, as well as for the treatment of eye conditions, such as glaucoma, ocular hypertension, and retinal diseases; and contact lenses for therapeutic use. The Surgical segment provides tools and technologies for the treatment of cataracts, and vitreous and retinal eye conditions; and intraocular lenses and delivery systems, phacoemulsification equipment, and other surgical instruments and devices. The company was founded in 1853 and is headquartered in Vaughan, Canada.
How the Company Makes MoneyBausch + Lomb generates revenue through several key streams, including the sale of contact lenses and lens care products, surgical products, and pharmaceutical solutions for eye health. The contact lens segment, which includes daily disposable and specialty lenses, represents a significant portion of the company's income. Additionally, the surgical division, which provides equipment and consumables for cataract and refractive surgery, contributes to its earnings. The company also engages in partnerships with healthcare providers and distributors to expand its market reach and enhance its product offerings. Furthermore, Bausch + Lomb invests in research and development to innovate new products, which helps maintain its competitive edge and drive long-term revenue growth.

Bausch + Lomb Corporation Key Performance Indicators (KPIs)

Any
Any
Organic Revenue Growth by Segment
Organic Revenue Growth by Segment
Measures revenue growth from existing operations, excluding acquisitions or currency effects, to reveal true performance and demand within each segment.
Chart InsightsBausch + Lomb's Vision Care segment shows consistent growth, bolstered by strong performance in contact lenses and dry eye products, as highlighted in the earnings call. Despite a temporary dip, the Surgical segment's potential is evident, excluding the enVista recall impact. Pharmaceuticals face challenges, particularly in U.S. Generics, but strategic focus on branded Rx offers a growth avenue. The company's raised financial guidance and successful debt refinancing underscore confidence in overcoming current hurdles and driving sustainable growth.
Data provided by:Main Street Data

Bausch + Lomb Corporation Earnings Call Summary

Earnings Call Date:Oct 29, 2025
(Q3-2025)
|
% Change Since: |
Next Earnings Date:Feb 25, 2026
Earnings Call Sentiment Positive
The earnings call reflects a positive outlook with strong revenue growth across multiple segments, particularly in Pharmaceuticals and Vision Care. While there are concerns about gross margin and tariff impacts, the company's recovery from the enVista recall and successful cash flow optimization demonstrate resilience and strategic management.
Q3-2025 Updates
Positive Updates
Steady Revenue Growth
Total company revenue for the quarter was $1.281 billion, reflecting a year-over-year growth of 6% across all segments.
Pharmaceutical Segment Success
Miebo delivered $84 million of revenue in Q3 with a 71% increase year-over-year and TRx growth of 110%. Vision Care revenue increased by 6%.
Strong Performance in Vision Care
Vision Care revenue of $736 million increased by 6%, driven by growth in consumer and contact lenses. Blink reported a 37% growth, Artelac 24%, and eye vitamins 12%.
Growth in Premium IOLs
27% constant currency revenue growth in premium IOLs, with enVista intraocular lenses contributing significantly.
Successful Cash Flow Optimization
Adjusted cash flow from operations was $161 million with a 66% conversion to EBITDA.
Negative Updates
Mixed Gross Margin Performance
Adjusted gross margin for Q3 was 61.7%, representing a 130 basis points decrease year-over-year, mainly driven by product mix and the enVista recall.
Challenges in Tariff Management
Tariff policies remain fluid, impacting the company's ability to forecast accurately. The company assumes they will be able to offset the impact in 2025.
Impact of the enVista Recall
The enVista recall impacted Surgical segment growth, though recovery is underway with implantables up 2% and enVista sales reaching 82% of pre-recall levels.
Company Guidance
During the Bausch + Lomb Third Quarter 2025 Earnings Call, the company provided guidance and updates on its performance metrics and future outlook. The company reported a total revenue of $1.281 billion, marking a 6% year-over-year growth, with Vision Care and Pharmaceuticals segments contributing significantly. The Pharmaceuticals segment saw a 7% increase in revenue to $330 million, with standout products such as Miebo generating $84 million in revenue, representing a 71% year-over-year increase. The Vision Care segment grew by 6%, driven by robust performances in eye vitamins and contact lenses, with Daily SiHy offerings up by 24% and Biotrue growing by 7%. The Surgical segment reported a 1% increase in revenue despite the enVista recall, with implantables up by 2%. The company maintained its full-year revenue guidance at $5.05 billion to $5.15 billion, projecting a constant currency growth of 5% to 7%. Adjusted EBITDA guidance was updated to $870 million to $910 million, driven by strong business performance. Bausch + Lomb emphasized its strategic focus on financial excellence, operational excellence, and innovation, with plans to further discuss its 3-year plan and pipeline at the upcoming Investor Day.

Bausch + Lomb Corporation Financial Statement Overview

Summary
Bausch + Lomb Corporation faces challenges in profitability and cash flow, despite stable revenue growth and a solid equity base. The company needs to improve operational efficiency and cash generation to enhance financial health and shareholder returns.
Income Statement
45
Neutral
Bausch + Lomb Corporation shows modest revenue growth in the TTM, but profitability remains a concern with negative net profit margins. The gross profit margin is stable, indicating efficient cost management, but the EBIT and EBITDA margins have declined, reflecting operational challenges.
Balance Sheet
55
Neutral
The company's debt-to-equity ratio is moderate, suggesting a balanced approach to leveraging. However, the negative return on equity indicates challenges in generating returns for shareholders. The equity ratio is healthy, showing a strong equity base relative to total assets.
Cash Flow
40
Negative
Cash flow performance is weak, with negative free cash flow and low operating cash flow coverage. The free cash flow to net income ratio is concerning, highlighting cash generation issues. Despite some growth in free cash flow, overall cash flow stability is lacking.
BreakdownTTMDec 2024Dec 2023Dec 2022Dec 2021Dec 2020
Income Statement
Total Revenue4.98B4.79B4.15B3.77B3.77B3.41B
Gross Profit2.96B2.92B2.50B2.25B2.30B2.13B
EBITDA509.00M601.00M499.00M598.00M733.00M732.00M
Net Income-305.00M-317.00M-260.00M6.00M182.00M-18.00M
Balance Sheet
Total Assets13.83B13.47B13.44B11.14B10.82B11.27B
Cash, Cash Equivalents and Short-Term Investments310.00M305.00M331.00M354.00M174.00M238.00M
Total Debt4.95B4.94B4.56B2.44B112.00M101.00M
Total Liabilities7.33B6.92B6.52B4.04B1.42B1.28B
Stockholders Equity6.43B6.47B6.85B7.03B9.33B9.92B
Cash Flow
Free Cash Flow-196.00M-59.00M-198.00M170.00M664.00M263.00M
Operating Cash Flow169.00M232.00M-17.00M345.00M873.00M522.00M
Investing Cash Flow-452.00M-412.00M-2.11B-215.00M-214.00M-256.00M
Financing Cash Flow255.00M178.00M2.08B81.00M-712.00M-232.00M

Bausch + Lomb Corporation Technical Analysis

Technical Analysis Sentiment
Positive
Last Price15.55
Price Trends
50DMA
15.08
Positive
100DMA
14.43
Positive
200DMA
14.17
Positive
Market Momentum
MACD
0.13
Negative
RSI
55.07
Neutral
STOCH
71.67
Neutral
Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For BLCO, the sentiment is Positive. The current price of 15.55 is above the 20-day moving average (MA) of 15.32, above the 50-day MA of 15.08, and above the 200-day MA of 14.17, indicating a bullish trend. The MACD of 0.13 indicates Negative momentum. The RSI at 55.07 is Neutral, neither overbought nor oversold. The STOCH value of 71.67 is Neutral, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Positive sentiment for BLCO.

Bausch + Lomb Corporation Risk Analysis

Bausch + Lomb Corporation disclosed 56 risk factors in its most recent earnings report. Bausch + Lomb Corporation reported the most risks in the "Legal & Regulatory" category.
Finance & Corporate - Financial and accounting risks. Risks related to the execution of corporate activity and strategy
Latest Risks Added 0 New Risks

Bausch + Lomb Corporation Peers Comparison

Overall Rating
UnderperformOutperform
Sector (51)
Financial Indicators
Name
Overall Rating
Market Cap
P/E Ratio
ROE
Dividend Yield
Revenue Growth
EPS Growth
78
Outperform
$5.19B44.818.30%11.49%-2.89%
72
Outperform
$13.94B34.515.01%6.35%12.94%
68
Neutral
$6.58B42.369.81%0.25%9.19%23.06%
63
Neutral
$8.04B5,557.200.08%11.74%
56
Neutral
$5.51B-4.69%6.23%17.53%
51
Neutral
$7.86B-0.30-43.30%2.27%22.53%-2.21%
39
Underperform
$2.23B-44.44%5.72%-7.08%-113.81%
* Healthcare Sector Average
Performance Comparison
Ticker
Company Name
Price
Change
% Change
BLCO
Bausch + Lomb Corporation
15.55
-4.90
-23.96%
COO
Cooper Co
70.10
-33.45
-32.30%
XRAY
DENTSPLY SIRONA
11.18
-5.75
-33.96%
MMSI
Merit Medical Systems
87.55
-16.55
-15.90%
RGEN
Repligen
142.82
3.31
2.37%
STVN
Stevanato Group
24.10
2.87
13.52%

Bausch + Lomb Corporation Corporate Events

Bausch + Lomb Reports Q3 2025 Financial Results
Oct 30, 2025

Bausch + Lomb Corporation is a leading global eye health company, operating in the vision care, pharmaceuticals, and surgical segments, dedicated to enhancing vision care worldwide. In its latest earnings report for the quarter ending September 30, 2025, Bausch + Lomb reported a slight increase in revenues compared to the previous year, with product sales reaching $1.277 billion. However, the company experienced a net loss of $28 million for the quarter, attributed to increased costs and expenses. Key financial metrics showed a rise in operating income to $95 million, despite a significant interest expense of $101 million. Looking ahead, Bausch + Lomb’s management remains focused on strategic initiatives and operational efficiencies to navigate economic challenges and enhance shareholder value.

Bausch + Lomb’s Earnings Call Highlights Strong Growth
Oct 30, 2025

The recent earnings call for Bausch + Lomb Corporation painted a positive picture, highlighting strong revenue growth across its key segments, particularly in Pharmaceuticals and Vision Care. Despite some concerns regarding gross margin and tariff impacts, the company showcased resilience through its recovery from the enVista recall and successful cash flow optimization, demonstrating strategic management and a promising outlook.

Business Operations and StrategyFinancial Disclosures
Bausch + Lomb Reports Q3 2025 Revenue Growth Amid Net Loss
Neutral
Oct 29, 2025

Bausch + Lomb Corporation reported a revenue of $1.281 billion for the third quarter of 2025, marking a 7% increase from the previous year. Despite a net loss of $28 million, the company showed strong growth in its Pharmaceuticals and Vision Care segments, with significant advancements in its R&D pipeline. The company continues to expand its leadership in the dry eye market and regain momentum in premium intraocular lenses, which is expected to enhance its market positioning and stakeholder confidence.

The most recent analyst rating on (BLCO) stock is a Hold with a $16.00 price target. To see the full list of analyst forecasts on Bausch + Lomb Corporation stock, see the BLCO Stock Forecast page.

Business Operations and StrategyFinancial Disclosures
Bausch + Lomb to Announce Q3 2025 Results and Host Investor Day
Positive
Sep 29, 2025

Bausch + Lomb Corporation announced it will release its third-quarter 2025 financial results on October 29, 2025, followed by a conference call and webcast to discuss the results and provide a business update. Additionally, the company will hold an investor day on November 13, 2025, to highlight its product pipeline and potential innovations, signaling a focus on future growth and industry leadership.

The most recent analyst rating on (BLCO) stock is a Hold with a $14.50 price target. To see the full list of analyst forecasts on Bausch + Lomb Corporation stock, see the BLCO Stock Forecast page.

Product-Related Announcements
Bausch + Lomb’s enVista Envy IOL Achieves Key Milestones in Clinical Trial
Positive
Sep 11, 2025

Bausch + Lomb announced the publication of a pivotal U.S. clinical trial for its enVista Envy full range of vision intraocular lens (IOL) in the American Journal of Ophthalmology. The trial results demonstrated that the enVista Envy IOL met all primary efficacy and safety endpoints, showing superior visual performance compared to the enVista monofocal IOL. The study highlighted the lens’s ability to provide a continuous range of vision and excellent tolerance to visual disturbances, positioning it as a promising option for cataract patients seeking comprehensive visual correction.

The most recent analyst rating on (BLCO) stock is a Hold with a $16.00 price target. To see the full list of analyst forecasts on Bausch + Lomb Corporation stock, see the BLCO Stock Forecast page.

Business Operations and StrategyProduct-Related Announcements
Bausch + Lomb’s XIIDRA Shows Promising Results for Contact Lens Wearers
Positive
Sep 9, 2025

Bausch + Lomb announced the publication of a study in Clinical Ophthalmology demonstrating the effectiveness of XIIDRA, a prescription eye drop, in alleviating end-of-day eye dryness and discomfort for contact lens wearers. The study showed significant improvements in symptoms as early as two weeks, with continued use resulting in further symptom relief and increased comfortable contact lens wear time. These findings suggest XIIDRA as a viable alternative for those who do not find relief with over-the-counter options, potentially enhancing the company’s position in the eye care market.

The most recent analyst rating on (BLCO) stock is a Hold with a $16.00 price target. To see the full list of analyst forecasts on Bausch + Lomb Corporation stock, see the BLCO Stock Forecast page.

Product-Related Announcements
Bausch + Lomb Expands Specialty Vision Portfolio with ASANA Lens Launch
Positive
Sep 8, 2025

Bausch + Lomb has launched the ASANA gas permeable lenses in the U.S., expanding its portfolio of specialty vision products. These lenses are designed for durability and enhanced visual acuity, particularly for patients with complex vision challenges such as astigmatism and keratoconus. The ASANA lenses offer eye care professionals a customizable and comprehensive range of options, supported by fast manufacturing and shipping, and a generous warranty program. This launch positions Bausch + Lomb as a versatile provider in the eye care industry, potentially enhancing its market presence and offering significant benefits to both eye care professionals and patients.

The most recent analyst rating on (BLCO) stock is a Hold with a $14.50 price target. To see the full list of analyst forecasts on Bausch + Lomb Corporation stock, see the BLCO Stock Forecast page.

Executive/Board Changes
Bausch + Lomb Ends Agreement with Icahn Group
Neutral
Aug 18, 2025

On August 14, 2025, Bausch + Lomb Corporation announced the termination of the Amended and Restated Director Appointment and Nomination Agreement with Carl C. Icahn and his affiliates, following the Icahn Group’s reduced stake in Bausch Health Companies Inc. Consequently, Brett Icahn and Gary Hu resigned from the company’s board of directors. The resignations were not due to any disagreements with the company, and Bausch + Lomb’s CEO expressed gratitude for their contributions over the past three years.

The most recent analyst rating on (BLCO) stock is a Buy with a $18.00 price target. To see the full list of analyst forecasts on Bausch + Lomb Corporation stock, see the BLCO Stock Forecast page.

Business Operations and Strategy
Bausch + Lomb to Engage in Key September Investor Conferences
Positive
Aug 14, 2025

Bausch + Lomb Corporation has announced its participation in two significant investor conferences in September 2025, namely the J.P. Morgan European Leveraged Finance Conference and the Morgan Stanley Global Healthcare Conference. This engagement highlights the company’s proactive approach in maintaining strong investor relations and could potentially impact its market positioning positively by showcasing its strategic initiatives and financial outlook to key stakeholders.

The most recent analyst rating on (BLCO) stock is a Buy with a $18.00 price target. To see the full list of analyst forecasts on Bausch + Lomb Corporation stock, see the BLCO Stock Forecast page.

Bausch + Lomb’s Earnings Call: Growth Amid Challenges
Aug 1, 2025

Bausch + Lomb Corporation’s recent earnings call painted a picture of robust performance in its Vision Care and Dry Eye segments, with significant strides in contact lenses and dry eye products. The company has raised its financial guidance in light of these achievements and successfully refinanced its debt. However, challenges persist, notably the enVista recall and a downturn in the U.S. Generics business, which have dampened overall performance.

Bausch + Lomb Reports Q2 2025 Financial Results
Jul 31, 2025

Bausch + Lomb Corporation is a global leader in eye health, providing a wide range of products and services across three main segments: Vision Care, Pharmaceuticals, and Surgical. The company is a subsidiary of Bausch Health Companies Inc., with a significant presence on both the New York and Toronto Stock Exchanges under the ticker symbol ‘BLCO’.

Business Operations and StrategyFinancial Disclosures
Bausch + Lomb Reports Q2 2025 Revenue Growth, Raises Full-Year Guidance
Positive
Jul 30, 2025

Bausch + Lomb reported a revenue of $1.278 billion for the second quarter of 2025, marking a 5% increase from the previous year, driven by strong performance in its Vision Care segment. Despite a GAAP net loss of $62 million, the company raised its full-year guidance, reflecting solid business performance and the impact of foreign exchange. The company resumed full production of its enVista intraocular lenses following a voluntary recall and achieved significant growth in its dry eye portfolio, showcasing its robust pipeline and future potential.

The most recent analyst rating on (BLCO) stock is a Buy with a $18.00 price target. To see the full list of analyst forecasts on Bausch + Lomb Corporation stock, see the BLCO Stock Forecast page.

Glossary
BuyA stock rated as a "Buy" is expected to perform better than the overall market or a specific benchmark over the near-to-medium term. This rating suggests the stock is likely to deliver higher returns compared to other stocks in the same sector or market index. Note: This is not investment advice; please consult a financial advisor before making investment decisions.
HoldA stock rated as a "Hold" is expected to perform in line with the overall market or a specific benchmark. This rating indicates that the stock is neither particularly compelling nor unfavorable for investment. Note: This is not investment advice; please consult a financial advisor before making investment decisions.
SellA stock rated as a "Sell" is expected to perform worse than the overall market or a specific benchmark over the near-to-medium term. This rating suggests the stock may deliver lower returns compared to other stocks in the same sector or market index. Note: This is not investment advice; please consult a financial advisor before making investment decisions.

Disclaimer

This AI Analyst Stock Report is automatically generated by our AI systems using advanced algorithms and publicly available financial, technical, and market data. While the information provided aims to be accurate and insightful, it is intended for informational purposes only and should not be considered financial advice. Any content created by an AI (Artificial Intelligence) system may contain inaccuracies and/or contain errors. Investing in stocks carries inherent risks, and past performance is not indicative of future results. This report does not account for your personal financial circumstances, objectives, or risk tolerance. Always conduct your own research or consult with a qualified financial advisor before making investment decisions. The analysis and recommendations provided are based on historical and current data and may not fully reflect future market conditions or unexpected developments. Neither the creators of this report nor its affiliated entities guarantee the accuracy, completeness, or reliability of the information presented. Use this report at your own discretion and risk.Date of analysis: Oct 30, 2025