BHC Stock Analysis: Buy, Sell, or Hold?
BHC - Bausch Health Companies Inc
$5.74
0.15 (2.68%)
▲
BUY
HIGH Confidence
Last Updated: January 30, 2026
Earnings: Feb 18, 2026
17d
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1 traders called BHC this week
100% bullish • 0 bearish
100% bullish • 0 bearish
Interactive Price Chart (1 Month)
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Bottom Line:
✅ BUY SIGNAL: BHC appears deeply undervalued. Market expects -6.3% annual earnings decline despite 1368% recent earnings growth. Contrarian opportunity at discount to historical valuation.
✅ BUY SIGNAL: BHC appears deeply undervalued. Market expects -6.3% annual earnings decline despite 1368% recent earnings growth. Contrarian opportunity at discount to historical valuation.
Long-Term Wealth Forecast (2031)
Based on Analyst Consensus Growth & Historical Valuation
0% (Stagnation)
50% (Hyper Growth)
EST. PRICE IN 2031
$8.85
Based on 5.7% avg growth
INTRINSIC VALUE TODAY
$5.50
Trading above fair value
How this is calculated: We use a Growth Decay Model: starting with analyst consensus growth (adjusted above) and gradually slowing it down to a long-term terminal rate (4%) by Year 5. This provides a more realistic valuation than assuming constant hyper-growth. We then apply a 1.6x Exit PE.
In-depth Analysis How we analyze
Valuation Analysis: BHC is currently trading at $5.74, which is considered oversold relative to its 30-day fair value range of $6.21 to $7.58. From a valuation perspective, the stock is trading at a discount (Forward PE: 1.3) compared to its historical average (1.6). Remarkably, the market is currently pricing in an annual earnings decline of 6.3% over the next few years. This pessimistic expectation contrasts with the company's recent 1368.0% earnings growth, suggesting potential undervaluation if the company simply maintains stability.
Technical Outlook: Technically, BHC is in a strong uptrend. Immediate support is located at $5.54, while resistance sits at $7.29.
Market Sentiment: The stock shows a mixed technical setup (55/100), with neutral trendline and momentum signals. Wall Street analysts see significant upside, with an average price target of $7.43 (+32.9%). Combining these factors, the current setup offers a favorable risk/reward ratio for buyers.
Technical Outlook: Technically, BHC is in a strong uptrend. Immediate support is located at $5.54, while resistance sits at $7.29.
Market Sentiment: The stock shows a mixed technical setup (55/100), with neutral trendline and momentum signals. Wall Street analysts see significant upside, with an average price target of $7.43 (+32.9%). Combining these factors, the current setup offers a favorable risk/reward ratio for buyers.
Quick Decision Summary
Current Position
OVERSOLD
Fair Price Range
$6.21 -
$7.58
Company Quality Score
50/100
(HOLD)
Volume Confirmation
HIGH
Confidence Score
79.5%
All Signals
- BULLISH: Price oversold vs 30-day range
- NEUTRAL: Mixed technical signals (55/100)
- BULLISH: High volume confirmation
- BULLISH: Trading 32.9% below Wall St target ($7.43)
Fair Price Analysis
30-Day Fair Range
$6.21 -
$7.58
Current vs Fair Value
OVERSOLD
Support & Resistance Levels
Support Level
$5.55
Resistance Level
$7.30
Current Trend
Strong Uptrend
Fundamental Context
Forward P/E (Next Year Est.)
1.33
Wall Street Target
$7.43
(+32.9%)
Revenue Growth (YoY)
6.8%
Earnings Growth (YoY)
1368.0%
Profit Margin
3.6%
Valuation Discount vs History
-6.3% cheaper
PE vs Historical
1.3 vs 1.6
CHEAP
Market-Implied Price Targets
If current PE multiple persists
Implied Growth (YoY):
-6.3%
(market-implied from PE analysis)
1-Year Target
$5.24
(-6%)
2-Year Target
$4.91
(-12%)
3-Year Target
$4.60
(-18%)
3-Yr Target (if PE normalizes)
(PE: 1→2)
$5.52
(-1%)
3-Year Scenarios
Using analyst projected EPS growth
Bull:
(PE: 22.3, Growth: 7.4%)
$115.82
(+1972%)
Base:
(SPY PE: 1.3, Growth: 7.4%)
$6.92
(+24%)
Bear:
(PE: 1.1, Growth: 7.4%)
$5.88
(+5%)
📈
Valuation based on Current Earnings
RECOVERY PLAY: Stock looks expensive now (6x PE), but valuation improves significantly next year (1x PE) as earnings recover.
Trailing PE: 5.84 | Current EPS (TTM): $0.97
Bull Case
$12.45
(+117%)
Analyst growth 100.0%, PE expands to 6.4
Base Case
$11.32
(+97%)
Market implied 100.0%, PE stable at 5.8
Bear Case
$3.85
(-33%)
Severe decline -20.0%, PE contracts to 5.0
These are projections based on PE multiples and EPS growth scenarios, not predictions. Actual results may vary significantly.
💡
Upside Surprise Potential
If earnings stabilize (0% growth), PE could expand from 1.3 to 1.6
Stabilization Target:
$6.71
(+20.1%)
PE Expansion Potential:
+20.1%
Last updated: January 31, 2026 12:35 AM ET
Data refreshes hourly during market hours. Next update: 1:35 AM
Data refreshes hourly during market hours. Next update: 1:35 AM
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Technical Signals Check
Is BHC showing a specific setup today?
Insider Activity (6 Months)
4
Buys
0
Sells
+
Net
INSIDERS BUYING
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Professional options setups generated by AI based on today's BHC price and gamma walls.
