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ISRG vs NVO

ISRG
Intuitive Surgical, Inc.
NEUTRAL
Price
$465.60
Market Cap
$165.37B
Sector
Healthcare
AI Confidence
85%
NVO
Novo Nordisk A/S
NEUTRAL
Price
$42.22
Market Cap
$187.21B
Sector
Healthcare
AI Confidence
85%

Valuation

P/E Ratio
ISRG
59.16
NVO
11.7
Forward P/E
ISRG
40.75
NVO
12.31
P/B Ratio
ISRG
9.28
NVO
6.17
P/S Ratio
ISRG
16.43
NVO
0.61
EV/EBITDA
ISRG
44.88
NVO
1.9

Profitability

Gross Margin
ISRG
66.0%
NVO
82.41%
Operating Margin
ISRG
30.15%
NVO
44.53%
Profit Margin
ISRG
28.38%
NVO
33.14%
ROE
ISRG
16.69%
NVO
60.7%
ROA
ISRG
9.39%
NVO
17.43%

Growth

Revenue Growth
ISRG
18.8%
NVO
-7.6%
Earnings Growth
ISRG
16.6%
NVO
-4.7%

Financial Health

Debt/Equity
ISRG
0.01
NVO
0.67
Current Ratio
ISRG
4.88
NVO
0.8
Quick Ratio
ISRG
3.77
NVO
0.54

Dividends

Dividend Yield
ISRG
--
NVO
4.27%
Payout Ratio
ISRG
0.0%
NVO
50.42%

AI Verdict

ISRG NEUTRAL

ISRG exhibits a stable deterministic health profile with a Piotroski F-Score of 4/9 and an exceptionally strong balance sheet (Debt/Equity 0.01). While the company is a fundamental powerhouse with 66% gross margins and consistent earnings beats, it trades at a massive premium to its Graham Number ($94.28) and Intrinsic Value ($232.16). The disconnect between the high valuation (P/E 59.16) and the current price suggests the stock is priced for perfection, leaving little room for error despite strong 18.8% revenue growth.

Strengths
Near-zero debt profile (Debt/Equity 0.01) providing immense financial flexibility
Exceptional profitability with 66% gross margins and 28.38% profit margins
Consistent track record of earnings surprises (3/4 recent quarters beat estimates)
Risks
Extreme valuation premium (P/E 59.16, P/S 16.43) relative to historical norms
High PEG ratio (2.41) indicating the price is outstripping earnings growth
Bearish insider sentiment with 7 sell transactions and 0 buys in the last 6 months
NVO NEUTRAL

NVO presents a dichotomy between elite profitability and deteriorating growth. The Piotroski F-Score of 4/9 indicates stable but non-improving financial health, while the current price of $42.22 trades at a significant premium to both the Graham Number ($23.58) and Intrinsic Value ($25.27). Despite an exceptional ROE of 60.7% and strong margins, the company is facing negative YoY revenue (-7.6%) and earnings growth (-4.7%), resulting in a high PEG ratio of 4.53. The outlook is tempered by a bearish technical trend and liquidity concerns, though supported by a strong dividend profile and analyst 'Buy' ratings.

Strengths
Exceptional Return on Equity (ROE) of 60.70%
Elite Gross Margins at 82.41%
Attractive Dividend Yield of 4.27% with a sustainable 50.42% payout ratio
Risks
Negative YoY Revenue Growth (-7.60%) and Earnings Growth (-4.70%)
Poor liquidity indicated by a Current Ratio of 0.80 and Quick Ratio of 0.54
Significant overvaluation relative to defensive fair value (Graham Number: $23.58)

Compare Another Pair

ISRG vs NVO: Head-to-Head Comparison

This page compares Intuitive Surgical, Inc. (ISRG) and Novo Nordisk A/S (NVO) across key fundamental metrics including valuation ratios, profitability margins, growth rates, financial health indicators, and dividend metrics. Each metric highlights the better-performing stock so you can quickly identify relative strengths and weaknesses.

Our AI engine independently analyzes each company's financials, competitive position, and market conditions to produce a verdict (Bullish, Neutral, or Bearish) along with key strengths and risks. Use this comparison alongside your own research to make informed investment decisions.

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