BLCO Stock Forecast & Price Target

Bausch & Lomb has demonstrated strong revenue growth, with management raising their 2025 revenue guidance to a range of $5,050-5,150 million, which indicates a consistent growth rate of 5-7% on a constant currency basis. The company has also highlighted robust performance in its products, with MIEBO achieving a remarkable 111% year-over-year prescription growth and total prescriptions for XIIDRA showing a 12% year-over-year increase, contributing to overall revenue momentum. Additionally, expected foreign exchange benefits of $25 million further enhance the company’s financial outlook, positioning Bausch & Lomb favorably in the vision care market.

Bausch & Lomb's financial outlook is impacted negatively by key challenges, including pricing pressure on its pharmaceutical product XIIDRA, which has contributed to a slight revenue decline in the Pharmaceuticals segment compared to the previous year. Additionally, the company's high leverage resulting from its acquisition of XIIDRA may restrict its capacity for future mergers and acquisitions, consequently limiting long-term growth prospects. Furthermore, macroeconomic uncertainties, such as fluctuating consumer spending and potential declines in elective procedures like cataract surgeries, pose further risk to sales across its product segments.