Bausch + Lomb Corporation BLCO

Competitive advantage analysis · healthcare

Medical Devices & Diagnostics
Overall moat score
61/100
Moderate

About Bausch + Lomb Corporation

Bausch + Lomb Corporation operates as an eye health company in the United States, Puerto Rico, China, France, Japan, Germany, the United Kingdom, Canada, Russia, Spain, Italy, Mexico, Poland, and internationally. It operates in three segments: Vision Care, Pharmaceuticals, and Surgical. The Vision Care segment provides contact lens that covers the spectrum of wearing modalities, including daily disposable and frequently … Full BLCO analysis →

Competitive advantage assessment

Key strengths

  • Stable Gross Margin Profile Gross margin stability is strong (score 0.96). Low volatility confirms durable consumable pricing.
  • Durable Capital Returns ROIC durability is strong (score 0.96). Consistent returns confirm the moat is not eroding.

Key risks

  • Elevated Leverage Leverage is elevated vs peers (score 0.12). High net debt/EBITDA limits the balance sheet's acquisition firepower.
  • Operating Margin Compression Operating margin trend is negative (score 0.35). Sustained compression would reduce the commercial moat.

The dashed ring is the peer median. Defense scores are percentile ranks against peers, so 50 is roughly the typical company in this group.

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Pricing Power & Consumable Moat

Strong
80

Where BLCO ranks in Medical Instruments & Supplies

Bausch + Lomb Corporation ranks #21 of 62 scored companies in Medical Instruments & Supplies by moat score — the top 34%. The widest moat in the group is Intuitive Surgical, Inc. (ISRG) at 86/100.

Moat scores for companies ranked near BLCO in Medical Instruments & Supplies
# Company Moat score Rating
17 Becton, Dickinson and Company BDX 63/100 Moderate
18 Stevanato Group S.p.A. STVN 63/100 Moderate
19 Meihua International Medical Te MHUA 62/100 Moderate
20 Nephros, Inc. NEPH 62/100 Moderate
21 Bausch + Lomb Corporation BLCO 61/100 Moderate
22 Azenta, Inc. AZTA 61/100 Moderate
23 Envista Holdings Corporation NVST 60/100 Moderate
24 BioLife Solutions, Inc. BLFS 60/100 Moderate
25 Hologic, Inc. HOLX 59/100 Moderate

See every Medical Devices & Diagnostics company ranked by moat score →

How BLCO scores on the Medical Devices & Diagnostics defenses

Pricing Power & Consumable Moat

Score 80 · 25% of the moat score

In MedTech, pricing power is rarely about the machine — it is about what the machine consumes.

R&D Pipeline & Capital Returns

Score 73 · 20% of the moat score

Research spending is how a device company keeps its installed base current, but spending alone proves nothing.

FCF Quality & Cash Conversion

Score 46 · 20% of the moat score

MedTech companies grow by acquisition, and the resulting intangible amortisation depresses reported earnings without consuming any cash.

Commercial Execution

Score 49 · 15% of the moat score

Devices are sold into hospitals and labs through committees, tenders and long qualification cycles, which makes the sales organisation expensive and hard to replicate.

Capital Structure & Resilience

Score 35 · 12% of the moat score

Serial acquirers carry debt, and the question is whether the cash flows underneath it are dependable enough to service it through a downturn.

Growth Durability

Score 72 · 8% of the moat score

Growth durability separates an expanding installed base from a good product cycle.

How each Medical Devices & Diagnostics defense is measured, in full →

Understanding BLCO's moat

What is Bausch + Lomb Corporation's moat score?

Bausch + Lomb Corporation (BLCO) scores 61 out of 100 on the StatsAlpha Moat Map, which rates its competitive advantage as moderate. It ranks #21 of 62 scored companies in Medical Instruments & Supplies, the top 34%. The score is a weighted composite of 6 competitive defenses, each measured against industry peers of 61 companies in Medical Instruments & Supplies. Its strongest defense is Pricing Power & Consumable Moat (80/100) and its weakest is Capital Structure & Resilience (35/100).

How does Bausch + Lomb Corporation compare with other Medical Instruments & Supplies companies?

Bausch + Lomb Corporation ranks #21 of 62 scored companies in Medical Instruments & Supplies by moat score. The widest moat in Medical Instruments & Supplies is Intuitive Surgical, Inc. (ISRG) at 86/100. The companies ranked closest are Nephros, Inc. (NEPH) at 62 just above it and Azenta, Inc. (AZTA) at 61 just below it.

How is the moat score calculated?

Each company is scored with an industry-specific template — Medical Devices & Diagnostics in this case, chosen because the defenses that matter to a bank are not the ones that matter to a software company. Every defense combines several financial signals, and each signal is measured as a percentile against a peer group of 61 companies in Medical Instruments & Supplies. The defenses are then weighted to produce the overall score out of 100.

Why is Bausch + Lomb Corporation scored with the Medical Devices & Diagnostics template?

Medical device and diagnostics companies place an instrument once and then sell the consumables, reagents and service that instrument needs for the next decade. The economics are a razor-and-blade model wrapped in regulatory approval and clinician habit, so the MedTech template scores the durability of that installed base rather than the size of any single product launch.

Which competitive defenses are measured for Bausch + Lomb Corporation?

The Medical Devices & Diagnostics template measures 6 defenses, and BLCO scores: Pricing Power & Consumable Moat (80), R&D Pipeline & Capital Returns (73), FCF Quality & Cash Conversion (46), Commercial Execution (49), Capital Structure & Resilience (35), Growth Durability (72). Each is scored independently as a percentile against peers, so a company can be strong on one and weak on another — the overall score reflects how those defenses are weighted for this industry.

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