Intuitive Surgical, Inc. (ISRG) Rises But Trails Market: What Investors Should Know

Intuitive Surgical, Inc. (ISRG) closed at $460.99 in the latest trading session, marking a +1.81% move from the prior day. The stock fell short of the S&P 500, which registered a gain of 2.91% for the day. Elsewhere, the Dow gained 2.49%, while the tech-heavy Nasdaq added 3.83%.

Heading into today, shares of the company had lost 8.76% over the past month, outpacing the Medical sector's loss of 9.63% and lagging the S&P 500's loss of 7.64%.

The investment community will be closely monitoring the performance of Intuitive Surgical, Inc. in its forthcoming earnings report. The company's upcoming EPS is projected at $2.08, signifying a 14.92% increase compared to the same quarter of the previous year. At the same time, our most recent consensus estimate is projecting a revenue of $2.61 billion, reflecting a 15.75% rise from the equivalent quarter last year.

ISRG's full-year Zacks Consensus Estimates are calling for earnings of $10.05 per share and revenue of $11.55 billion. These results would represent year-over-year changes of +12.54% and +14.76%, respectively.

Any recent changes to analyst estimates for Intuitive Surgical, Inc. should also be noted by investors. These latest adjustments often mirror the shifting dynamics of short-term business patterns. As a result, upbeat changes in estimates indicate analysts' favorable outlook on the business health and profitability.

Our research reveals that these estimate alterations are directly linked with the stock price performance in the near future. Investors can capitalize on this by using the Zacks Rank. This model considers these estimate changes and provides a simple, actionable rating system.

The Zacks Rank system, spanning from #1 (Strong Buy) to #5 (Strong Sell), boasts an impressive track record of outperformance, audited externally, with #1 ranked stocks yielding an average annual return of +25% since 1988. The Zacks Consensus EPS estimate has moved 0.12% higher within the past month. Right now, Intuitive Surgical, Inc. possesses a Zacks Rank of #3 (Hold).

With respect to valuation, Intuitive Surgical, Inc. is currently being traded at a Forward P/E ratio of 45.05. This expresses a premium compared to the average Forward P/E of 19.47 of its industry.

It's also important to note that ISRG currently trades at a PEG ratio of 2.87. This popular metric is similar to the widely-known P/E ratio, with the difference being that the PEG ratio also takes into account the company's expected earnings growth rate. The Medical - Instruments industry currently had an average PEG ratio of 2.08 as of yesterday's close.

The Medical - Instruments industry is part of the Medical sector. With its current Zacks Industry Rank of 103, this industry ranks in the top 43% of all industries, numbering over 250.

The Zacks Industry Rank gauges the strength of our individual industry groups by measuring the average Zacks Rank of the individual stocks within the groups. Our research shows that the top 50% rated industries outperform the bottom half by a factor of 2 to 1.

Remember to apply Zacks.com to follow these and more stock-moving metrics during the upcoming trading sessions.

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Intuitive Surgical, Inc. (ISRG): Free Stock Analysis Report

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