(ISRG) Intuitive Surgical - Overview
Sector: Healthcare | Industry: Medical Instruments & Supplies | Exchange: NASDAQ (USA) | Market Cap: 148.770m USD | Total Return: -24.8% in 12m
Industry Rotation: +2.0
Avg Turnover: 977M
EPS Trend: 96.1%
Qual. Beats: 4
Rev. Trend: 98.2%
Qual. Beats: 6
Warnings
No concerns identified
Tailwinds
Confidence
Intuitive Surgical, Inc. (ISRG) specializes in the development and manufacturing of robotic-assisted technologies designed for minimally invasive medical procedures. Its primary product, the da Vinci Surgical System, facilitates complex surgeries through small incisions, while the Ion endoluminal system focuses on diagnostic lung biopsies. The company’s business model relies on a razor-and-blade strategy, generating recurring revenue through the sale of proprietary instruments, accessories, and long-term service contracts required to maintain its installed base of capital equipment.
The healthcare equipment sector is characterized by high barriers to entry due to stringent regulatory requirements and the significant research and development costs associated with surgical robotics. Intuitive Surgical maintains its market position through an integrated ecosystem that includes physician training, technical support, and data-driven performance analytics for hospitals. For a deeper look into the companys valuation metrics, consider reviewing the detailed financial breakdowns on ValueRay.
Headquartered in Sunnyvale, California, the company operates via a direct sales model to distribute its technology to global healthcare providers. Its product suite extends beyond hardware to include digital capabilities and proactive system monitoring, ensuring operational uptime for its surgical and diagnostic platforms.
- Growth in procedure volumes drives recurring revenue from instruments and accessories
- Adoption of da Vinci 5 system accelerates capital equipment replacement cycles
- Expansion into diagnostic lung biopsy markets via Ion system penetration
- International procedure growth offsets domestic healthcare budget constraints and competition
- Regulatory clearance timelines for new surgical indications impact market expansion velocity
| Net Income: 2.98b TTM > 0 and > 6% of Revenue |
| FCF/TA: 0.14 > 0.02 and ΔFCF/TA 5.01 > 1.0 |
| NWC/Revenue: 90.80% < 20% (prev 70.22%; Δ 20.58% < -1%) |
| CFO/TA 0.17 > 3% & CFO 3.36b > Net Income 2.98b |
| Net Debt (-4.25b) to EBITDA (3.76b): -1.13 < 3 |
| Current Ratio: 6.03 > 1.5 & < 3 |
| Outstanding Shares: last quarter (359.8m) vs 12m ago -1.32% < -2% |
| Gross Margin: 66.29% > 18% (prev 0.67%; Δ 6.56k% > 0.5%) |
| Asset Turnover: 53.81% > 50% (prev 45.34%; Δ 8.47% > 0%) |
| Interest Coverage Ratio: error (cannot be calculated; needs correct EBITDA TTM and Interest Expense TTM) |
| A: 0.48 (Total Current Assets 11.52b - Total Current Liabilities 1.91b) / Total Assets 20.11b |
| B: 0.32 (Retained Earnings 6.40b / Total Assets 20.11b) |
| C: 0.12 (EBIT TTM 2.37b / Avg Total Assets 19.67b) |
| D: 2.55 (Book Value of Equity 6.41b / Total Liabilities 2.51b) |
| Altman-Z'' Score: 7.66 = AAA |
| DSRI: 1.04 (Receivables 1.71b/1.35b, Revenue 10.58b/8.71b) |
| GMI: 1.01 (GM 66.29% / 67.09%) |
| AQI: 0.44 (AQ_t 0.16 / AQ_t-1 0.35) |
| SGI: 1.21 (Revenue 10.58b / 8.71b) |
| TATA: -0.02 (NI 2.98b - CFO 3.36b) / TA 20.11b) |
| Beneish M-Score: -3.17 (Cap -4..+1) = AA |
Over the past week, the price has changed by -6.43%, over one month by -10.09%, over three months by -14.64% and over the past year by -24.84%.
- StrongBuy: 14
- Buy: 8
- Hold: 10
- Sell: 0
- StrongSell: 1
| Analysts Target Price | 577 | 37% |
P/E Forward = 43.4783
P/S = 14.0586
P/B = 9.1216
P/EG = 2.3633
Revenue TTM = 10.58b USD
EBIT TTM = 2.37b USD
EBITDA TTM = 3.76b USD
Long Term Debt = unknown (none)
Short Term Debt = 39.0m USD (from shortTermDebt, last fiscal year)
Debt = 302.8m USD (from shortLongTermDebtTotal, last fiscal year)
Net Debt = -4.25b USD (recalculated: Debt 302.8m - CCE 4.55b)
Enterprise Value = 144.52b USD (148.77b + Debt 302.8m - CCE 4.55b)
Interest Coverage Ratio = unknown (Ebit TTM 2.37b / Interest Expense TTM 0.0)
EV/FCF = 50.99x (Enterprise Value 144.52b / FCF TTM 2.83b)
FCF Yield = 1.96% (FCF TTM 2.83b / Enterprise Value 144.52b)
FCF Margin = 26.78% (FCF TTM 2.83b / Revenue TTM 10.58b)
Net Margin = 28.15% (Net Income TTM 2.98b / Revenue TTM 10.58b)
Gross Margin = 66.29% ((Revenue TTM 10.58b - Cost of Revenue TTM 3.57b) / Revenue TTM)
Gross Margin QoQ = 66.06% (prev 66.44%)
Tobins Q-Ratio = 7.19 (Enterprise Value 144.52b / Total Assets 20.11b)
Interest Expense / Debt = 0.0% (Interest Expense 0.0 / Debt 302.8m)
Taxrate = 12.17% (114.4m / 940.4m)
NOPAT = 2.08b (EBIT 2.37b * (1 - 12.17%))
Current Ratio = 6.03 (Total Current Assets 11.52b / Total Current Liabilities 1.91b)
Debt / Equity = 0.02 (Debt 302.8m / totalStockholderEquity, last quarter 17.47b)
Debt / EBITDA = -1.13 (Net Debt -4.25b / EBITDA 3.76b)
Debt / FCF = -1.50 (Net Debt -4.25b / FCF TTM 2.83b)
Total Stockholder Equity = 17.52b (last 4 quarters mean from totalStockholderEquity)
RoA = 15.15% (Net Income 2.98b / Total Assets 20.11b)
RoE = 17.01% (Net Income TTM 2.98b / Total Stockholder Equity 17.52b)
RoCE = 13.01% (EBIT 2.37b / Capital Employed (Total Assets 20.11b - Current Liab 1.91b))
RoIC = 11.87% (NOPAT 2.08b / Invested Capital 17.52b)
WACC = 8.99% (E(148.77b)/V(149.07b) * Re(9.01%) + D(302.8m)/V(149.07b) * Rd(0.0%) * (1-Tc(0.12)))
Discount Rate = 9.01% (= CAPM, Blume Beta Adj.)
Shares (quarterly) Correlation: 11.11 | Cagr: 0.20%
[DCF] Terminal Value 78.42% ; FCFF base≈2.40b ; Y1≈2.96b ; Y5≈5.05b
[DCF] Fair Price = 215.2 (EV 71.96b - Net Debt -4.25b = Equity 76.20b / Shares 354.2m; r=8.99% [WACC]; 5y FCF grow 25.0% → 3.0% )
EPS Correlation: 96.11 | EPS CAGR: 23.29% | SUE: 2.92 | # QB: 4
Revenue Correlation: 98.24 | Revenue CAGR: 17.32% | SUE: 2.86 | # QB: 6
EPS current Quarter (2026-06-30): EPS=2.50 | Chg30d=+0.85% | Revisions=+36% | Analysts=25
EPS next Quarter (2026-09-30): EPS=2.58 | Chg30d=-0.12% | Revisions=-8% | Analysts=25
EPS current Year (2026-12-31): EPS=10.41 | Chg30d=+3.82% | Revisions=+80% | GrowthEPS=+16.6% | GrowthRev=+16.3%
EPS next Year (2027-12-31): EPS=11.79 | Chg30d=+3.08% | Revisions=+87% | GrowthEPS=+13.2% | GrowthRev=+13.3%
[Analyst] Revisions Ratio: +87%