Bausch Health (NYSE:BHC) climbed by 28.85 percent on Thursday to end at $6.03 apiece, after announcing a strong second quarter of the year that set the ground for the company’s profit recovery.
In an updated report, the pharmaceutical giant said that it swung to a net income of $260 million during the period, marking a 103 percent jump from the $128 million in the same period last year, and helping slash its net loss to $1.171 billion from the $1.431 billion in the previous quarter of the year.
Revenues increased by 12.7 percent to $2.852 billion from $2.53 billion, on the back of strong product sales.
Its Salix business segment remained the largest revenue generator, which also contributed 21 percent higher during the period.
The international segment followed with a 10 percent jump, while the Solta Medical segment grew by 38 percent. The diversified segment was the sole laggard, ending flat year-on-year.
Photo by Tima Miroshnichenko on Pexels
Higher 2026 Growth Outlook
Encouraged by the strong results, Bausch Health (NYSE:BHC) raised its revenue growth outlook for the full-year period to a range of $10.79 billion to $11.04 billion, versus its earlier guidance of $10.67 billion to $10.92 billion. The new outlook implies a growth range of 3.9 percent to $6 percent from the $10.27 billion posted in 2025.
Adjusted EBITDA is also targeted at $4.05 billion to $4.175 billion, an upgrade from the $3.885 billion to $4.01 billion earlier guidance, and would imply a 6 to 9.4 percent jump from the $3.664 billion posted a year earlier.
Hedge Fund Participation Drops
Institutional participation in the company markedly declined in the first quarter of the year, signaling investor caution over its path to profitability.
Data from Insider Monkey showed that during the period, 31 hedge funds held positions in its shares, down from 34 in the quarter prior.
More notably, their combined holdings declined by 24.4 percent to $732.9 million from $970.2 million, signaling weaker institutional conviction.
Looking ahead, investors are expected to watch for further updates on the company’s strategy, particularly on how it plans to execute its strategies and whether the measures will support its turnaround story.
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