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ISRG vs TMO

ISRG
Intuitive Surgical, Inc.
NEUTRAL
Price
$465.60
Market Cap
$165.37B
Sector
Healthcare
AI Confidence
85%
TMO
Thermo Fisher Scientific Inc.
NEUTRAL
Price
$513.98
Market Cap
$191.01B
Sector
Healthcare
AI Confidence
85%

Valuation

P/E Ratio
ISRG
59.16
TMO
28.99
Forward P/E
ISRG
40.75
TMO
18.94
P/B Ratio
ISRG
9.28
TMO
3.62
P/S Ratio
ISRG
16.43
TMO
4.29
EV/EBITDA
ISRG
44.88
TMO
19.96

Profitability

Gross Margin
ISRG
66.0%
TMO
41.08%
Operating Margin
ISRG
30.15%
TMO
21.17%
Profit Margin
ISRG
28.38%
TMO
15.05%
ROE
ISRG
16.69%
TMO
13.02%
ROA
ISRG
9.39%
TMO
5.03%

Growth

Revenue Growth
ISRG
18.8%
TMO
7.2%
Earnings Growth
ISRG
16.6%
TMO
9.3%

Financial Health

Debt/Equity
ISRG
0.01
TMO
0.77
Current Ratio
ISRG
4.88
TMO
1.89
Quick Ratio
ISRG
3.77
TMO
1.36

Dividends

Dividend Yield
ISRG
--
TMO
0.34%
Payout Ratio
ISRG
0.0%
TMO
9.7%

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
TMO NEUTRAL

TMO exhibits exceptional operational health with a Piotroski F-Score of 8/9, indicating strong financial stability and efficiency. However, the stock is currently trading at a significant premium, with a current price of $513.98 far exceeding both the Graham Number ($237.97) and the growth-based Intrinsic Value ($371.44). While analyst sentiment remains strongly bullish with a target of $647.38, this is countered by bearish insider activity and a negative technical trend. The outlook is balanced between high-quality fundamentals and a stretched valuation.

Strengths
Strong financial health evidenced by a Piotroski F-Score of 8/9
Consistent track record of earnings beats over 25 quarters
Healthy liquidity with a current ratio of 1.89 and quick ratio of 1.36
Risks
Significant valuation gap between current price and deterministic fair value models
Bearish insider sentiment with over $56M in sales by the CEO and COO
Negative technical trend (0/100) indicating short-term price weakness

Compare Another Pair

ISRG vs TMO: Head-to-Head Comparison

This page compares Intuitive Surgical, Inc. (ISRG) and Thermo Fisher Scientific Inc. (TMO) 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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