What Happened?

Shares of eyecare company Bausch + Lomb (NYSE:BLCO) fell 21.2% in the morning session after the company reported weak first quarter 2025 results: constant currency revenue fell short of Wall Street's estimates, leading to an EPS miss. On the other hand, it was good to see Bausch + Lomb provide full-year revenue guidance that slightly beat analysts' expectations, although raising full-year revenue guidance after missing on revenue often raises questions. Overall, this quarter could have been better.

After the initial drop the shares shed some of the losses and close the day $11.56, down 15.8% from previous close.

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What The Market Is Telling Us

Bausch + Lomb’s shares are quite volatile and have had 19 moves greater than 5% over the last year. But moves this big are rare even for Bausch + Lomb and indicate this news significantly impacted the market’s perception of the business.

The biggest move we wrote about over the last year was about 1 month ago when the stock dropped 10.6% on the news that the company announced the voluntary recall of intraocular lenses on its enVista platform. The recall was due to the reports of toxic anterior segment syndrome (TASS, a potential complication in any cataract surgery). The recall may raise short-term concerns regarding product safety and regulatory scrutiny. Though the company emphasized that the reported cases of TASS involved only an extremely small fraction of implanted lenses.

Bausch + Lomb is down 36.9% since the beginning of the year, and at $11.36 per share, it is trading 45.7% below its 52-week high of $20.93 from October 2024. Investors who bought $1,000 worth of Bausch + Lomb’s shares at the IPO in May 2022 would now be looking at an investment worth $568.

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