ISRG Stock Overview
Intuitive Surgical, Inc., together with its subsidiaries, designs, develops, manufactures, and markets da Vinci surgical systems, and related instruments and accessories in the United States and internationally.
Intuitive Surgical Competitors
Price History & Performance
|Historical stock prices|
|Current Share Price||US$327.32|
|52 Week High||US$369.69|
|52 Week Low||US$227.47|
|1 Month Change||-9.17%|
|3 Month Change||-8.38%|
|1 Year Change||29.42%|
|3 Year Change||89.17%|
|5 Year Change||375.56%|
|Change since IPO||16,209.37%|
Recent News & Updates
Intuitive Is Still A Buy But With New Risks That Require Attention
Intuitive Surgical is firing on all cylinders and faces medium-term tailwinds. The company seems to have navigated through the worst of its supply chain issues but faces new risks that could materially deter the long thesis. Investors manage actively. The stock is a buy as it justifies its above valuation with above-average financials and results.
Do Intuitive Surgical's (NASDAQ:ISRG) Earnings Warrant Your Attention?
For beginners, it can seem like a good idea (and an exciting prospect) to buy a company that tells a good story to...
Intuitive Surgical: Future Of Health Care
U.S. surgical robotic market is expected to grow at 20.1% CAGR over the next several years, and ISRG will get a huge tailwind from this growth. ISRG is practically printing money, with a large pile of cash accumulated in cash & short-term investments ($4.43 B). With a market cap over $100 B, ISRG needs to expand its horizons to reach the next level.
With an Understated 30% Profit Margin, Intuitive Surgical, Inc. (NASDAQ:ISRG) may be a Great Find for Investors
Intuitive Surgical (NASDAQ:ISRG). But if you pay close attention, you might gather that its strong financials could mean that the stock could potentially see an increase in value in the long-term, given how markets usually reward companies with good financial health. Specifically, we decided to study Intuitive Surgical's ROE and future growth in this article.
Intuitive Surgical: Alpha Opportunity
Intuitive Surgical is benefiting from pandemic-driven tailwinds. Company has a heavy backlog of procedures that will enable it to prosper during reopening. There will also a higher run rate of demand. The consensus of analyst estimates does not reflect this outcome. I do not see the lofty valuation of Intuitive Surgical as a deterrent to my Buy recommendation given the near-term earnings upside, secular tailwinds behind the company, and its exceptional financial profile.
|ISRG||US Medical Equipment||US Market|
Return vs Industry: ISRG exceeded the US Medical Equipment industry which returned 9.5% over the past year.
Return vs Market: ISRG exceeded the US Market which returned 17.8% over the past year.
|ISRG Average Weekly Movement||3.6%|
|Medical Equipment Industry Average Movement||7.5%|
|Market Average Movement||6.1%|
|10% most volatile stocks in US Market||14.9%|
|10% least volatile stocks in US Market||2.4%|
Stable Share Price: ISRG is less volatile than 75% of US stocks over the past 3 months, typically moving +/- 4% a week.
Volatility Over Time: ISRG's weekly volatility (4%) has been stable over the past year.
About the Company
Intuitive Surgical, Inc., together with its subsidiaries, designs, develops, manufactures, and markets da Vinci surgical systems, and related instruments and accessories in the United States and internationally. The company’s da Vinci Surgical System include surgeon’s consoles, patient-side carts, 3-D HD vision systems, skills simulators, da Vinci Xi integrated table motions, and Firefly fluorescence imaging products that enable surgeons to perform various surgical procedures, including gynecologic, urologic, general, cardiothoracic, and head and neck surgical procedures. It also manufactures EndoWrist instruments, such as forceps, scissors, electrocautery tools, scalpels, and other surgical tools, which incorporate wrist joints for natural dexterity for various surgical procedures; and provides SimNow, a cloud-enabled simulation platform, which allows surgeons to learn and practice their surgical skills; Iris, an augmented reality imaging product for use in kidney procedures; and Intuitive Cloud that enables proactive monitoring and software updates.
Intuitive Surgical Fundamentals Summary
|ISRG fundamental statistics|
Is ISRG overvalued?See Fair Value and valuation analysis
Earnings & Revenue
|ISRG income statement (TTM)|
|Cost of Revenue||US$1.70b|
Last Reported Earnings
Sep 30, 2021
Next Earnings Date
|Earnings per share (EPS)||4.73|
|Net Profit Margin||30.78%|
How did ISRG perform over the long term?See historical performance and comparison
Is Intuitive Surgical undervalued compared to its fair value and its price relative to the market?
Price to Earnings (PE) ratio
Share Price vs. Fair Value
Below Fair Value: ISRG ($327.32) is trading above our estimate of fair value ($222.54)
Significantly Below Fair Value: ISRG is trading above our estimate of fair value.
Price To Earnings Ratio
PE vs Industry: ISRG is poor value based on its PE Ratio (69.2x) compared to the US Medical Equipment industry average (45.4x).
PE vs Market: ISRG is poor value based on its PE Ratio (69.2x) compared to the US market (16.6x).
Price to Earnings Growth Ratio
PEG Ratio: ISRG is poor value based on its PEG Ratio (6.7x)
Price to Book Ratio
PB vs Industry: ISRG is overvalued based on its PB Ratio (10.2x) compared to the US Medical Equipment industry average (3.7x).
How is Intuitive Surgical forecast to perform in the next 1 to 3 years based on estimates from 17 analysts?
Forecasted annual earnings growth
Earnings and Revenue Growth Forecasts
Analyst Future Growth Forecasts
Earnings vs Savings Rate: ISRG's forecast earnings growth (10.4% per year) is above the savings rate (2%).
Earnings vs Market: ISRG's earnings (10.4% per year) are forecast to grow slower than the US market (14.3% per year).
High Growth Earnings: ISRG's earnings are forecast to grow, but not significantly.
Revenue vs Market: ISRG's revenue (12.1% per year) is forecast to grow faster than the US market (10.1% per year).
High Growth Revenue: ISRG's revenue (12.1% per year) is forecast to grow slower than 20% per year.
Earnings per Share Growth Forecasts
Future Return on Equity
Future ROE: ISRG's Return on Equity is forecast to be low in 3 years time (14.4%).
How has Intuitive Surgical performed over the past 5 years?
Historical annual earnings growth
Earnings and Revenue History
Quality Earnings: ISRG has high quality earnings.
Growing Profit Margin: ISRG's current net profit margins (30.8%) are higher than last year (24.5%).
Past Earnings Growth Analysis
Earnings Trend: ISRG's earnings have grown by 15.1% per year over the past 5 years.
Accelerating Growth: ISRG's earnings growth over the past year (60.4%) exceeds its 5-year average (15.1% per year).
Earnings vs Industry: ISRG earnings growth over the past year (60.4%) exceeded the Medical Equipment industry 51.2%.
Return on Equity
High ROE: ISRG's Return on Equity (14.9%) is considered low.
How is Intuitive Surgical's financial position?
Financial Position Analysis
Short Term Liabilities: ISRG's short term assets ($5.7B) exceed its short term liabilities ($1.0B).
Long Term Liabilities: ISRG's short term assets ($5.7B) exceed its long term liabilities ($447.8M).
Debt to Equity History and Analysis
Debt Level: ISRG is debt free.
Reducing Debt: ISRG has not had any debt for past 5 years.
Debt Coverage: ISRG has no debt, therefore it does not need to be covered by operating cash flow.
Interest Coverage: ISRG has no debt, therefore coverage of interest payments is not a concern.
What is Intuitive Surgical current dividend yield, its reliability and sustainability?
Dividend Yield vs Market
Notable Dividend: Unable to evaluate ISRG's dividend yield against the bottom 25% of dividend payers, as the company has not reported any recent payouts.
High Dividend: Unable to evaluate ISRG's dividend yield against the top 25% of dividend payers, as the company has not reported any recent payouts.
Stability and Growth of Payments
Stable Dividend: Insufficient data to determine if ISRG's dividends per share have been stable in the past.
Growing Dividend: Insufficient data to determine if ISRG's dividend payments have been increasing.
Current Payout to Shareholders
Dividend Coverage: Insufficient data to calculate payout ratio to determine if its dividend payments are covered by earnings.
Future Payout to Shareholders
Future Dividend Coverage: No need to calculate the sustainability of ISRG's dividend in 3 years as they are not forecast to pay a notable one for the US market.
How experienced are the management team and are they aligned to shareholders interests?
Average management tenure
Gary Guthart (55 yo)
Dr. Gary S. Guthart, Ph D., has been Chief Executive Officer of Intuitive Surgical, Inc. since January 1, 2010 and its President since July 12, 2007. Dr. Guthart served as the Chief Operating Officer at In...
CEO Compensation Analysis
Compensation vs Market: Gary's total compensation ($USD6.04M) is below average for companies of similar size in the US market ($USD11.11M).
Compensation vs Earnings: Gary's compensation has been consistent with company performance over the past year.
Experienced Management: ISRG's management team is seasoned and experienced (7 years average tenure).
Experienced Board: ISRG's board of directors are considered experienced (4.7 years average tenure).
Who are the major shareholders and have insiders been buying or selling?
Insider Trading Volume
Insider Buying: Insufficient data to determine if insiders have bought more shares than they have sold in the past 3 months.
Dilution of Shares: Shareholders have not been meaningfully diluted in the past year.
Intuitive Surgical, Inc.'s employee growth, exchange listings and data sources
- Name: Intuitive Surgical, Inc.
- Ticker: ISRG
- Exchange: NasdaqGS
- Founded: 1995
- Industry: Health Care Equipment
- Sector: Healthcare
- Market Cap: US$114.291b
- Shares outstanding: 357.24m
- Website: https://www.intuitive.com
Number of Employees
- Intuitive Surgical, Inc.
- 1020 Kifer Road
- United States
Company Analysis and Financial Data Status
|Data||Last Updated (UTC time)|
|Company Analysis||2021/12/02 23:30|
|End of Day Share Price||2021/12/02 00:00|
Unless specified all financial data is based on a yearly period but updated quarterly. This is known as Trailing Twelve Month (TTM) or Last Twelve Month (LTM) Data. Learn more here.