ISRG Intuitive Surgical, Inc. - Fundamental Analysis
NEUTRAL
ISRG Stock | Fundamental Analysis & Investment Insights
NASDAQ
•
Healthcare
•
Medical Instruments & Supplies
Current Price
$561.98
Analyst Target
$599.6
+6.7% Upside
52W High
$616.0
52W Low
$425.0
At a glance
Key valuation, profitability, growth, and risk metrics.
Updated Jan 04, 2026
Market cap
$201.46B
P/E
74.04
ROE
16.9%
Profit margin
28.6%
Debt/Equity
N/A
Dividend yield
N/A
AI Analysis
Powered by advanced machine learning algorithms
Confidence Score
78%
Analysis Accuracy
Intuitive Surgical demonstrates exceptional financial health with a Piotroski F-Score of 8/9 and an extraordinarily high Altman Z-Score of 262619208448.0, indicating virtually no distress risk. The company exhibits strong profitability, robust growth metrics, and consistent earnings beats, yet trades at a significant premium with a P/E of 74.04 versus sector average of 37.07. While fundamentals are solid, the rich valuation and recent insider selling temper bullishness, suggesting limited margin of safety. Growth expectations appear largely priced in, warranting caution despite high-quality operations.
Key Strengths
Exceptional financial health with Piotroski F-Score of 8/9 and Altman Z-Score in the hundreds of billions, signaling extreme stability and zero bankruptcy risk
Outstanding profitability: 28.58% net margin, 30.33% operating margin, and 66.38% gross margin, all well above sector averages
Strong revenue and earnings growth: 22.90% YoY revenue growth and 25.00% YoY earnings growth, significantly outpacing healthcare sector averages
Consistent earnings outperformance: 3 out of last 4 quarters beat estimates with a 10.51% average surprise, demonstrating reliable execution
High cash conversion and liquidity: Current ratio of 4.73 and quick ratio of 3.49 reflect fortress-like balance sheet and operational efficiency
Key Risks
Extremely high valuation: P/E of 74.04 and P/S of 20.96 are more than double sector averages, increasing vulnerability to multiple contraction
Lack of dividend: Dividend Strength of 0/100 and no payout history limits appeal to income investors and downside support
Recent insider selling: $30.11M in insider sales over the last 6 months with zero buys, signaling potential lack of confidence at current levels
Richly valued relative to intrinsic metrics: Current price of $561.98 is 523% above Graham Number ($90.26) and 151% above Intrinsic Value ($223.91)
Limited analyst coverage clarity: With no clear recommendation or target mean, market sentiment lacks consensus direction despite 29 analysts
AI Fair Value Estimate
Based on comprehensive analysis
$223.91
-60.2% below current price
Performance Snowflake
Multi-dimensional analysis across 5 key categories
Overall
62
Strong
40
85
88
98
0
AI Verdict
High-quality business trading at a premium valuation with strong growth but limited margin of safety
Key drivers: Exceptional financial health (Piotroski, Altman), Superior profitability and growth metrics, Rich valuation multiples, Bearish insider activity, Consistent earnings outperformance
Confidence
85%
Value
40/100
Ref P/E, PEG, Graham Number
Positives
- Intrinsic Value (Formula) of $223.91 provides a growth-based valuation anchor
Watchpoints
- Current price ($561.98) is 151% above Intrinsic Value
- P/E of 74.04 is nearly double sector average (37.07)
- Price/Sales of 20.96 indicates extreme premium to revenue
Future
85/100
Ref Growth rates
Positives
- 22.90% YoY revenue growth significantly above sector average of 11.02%
- 25.00% YoY earnings growth reflects strong demand and pricing power
- Consistent Q/Q earnings growth with recent +24.70% expansion
Watchpoints
No urgent risks highlighted.
Past
88/100
Ref Historical trends
Positives
- 24 out of 25 quarters beat or met EPS estimates
- Long-term earnings surprise average of ~15% demonstrates predictability
- 5-year price return of +110.7% shows strong capital appreciation
Watchpoints
- Most recent Q/Q EPS growth slowed to +7.7%, indicating potential deceleration
Health
98/100
Ref Altman Z-Score, Piotroski F-Score
Positives
- Piotroski F-Score of 8/9 indicates strong financial health
- Altman Z-Score of 262619208448.0 is astronomically above safe threshold (>3.0)
- Current ratio (4.73) and quick ratio (3.49) reflect exceptional liquidity
Watchpoints
No urgent risks highlighted.
Dividend
0/100
Ref Yield, Payout
Positives
No standout positives identified.
Watchpoints
- Dividend Strength of 0/100
- No dividend yield or payout history
- Payout ratio of 0.00% limits investor return mechanism
Stock Price & Analyst Targets
Real-time price movements and analyst price targets
Current Price
$561.98
Analyst Target
$599.6
Upside/Downside
+6.7%
Multi-Horizon Performance vs Peers
Price momentum across 5Y → 1W horizons for ISRG and closest competitors.
Updated 2026-01-02
| Company | 5Y | 3Y | 1Y | 6M | 1M | 1W |
|---|---|---|---|---|---|---|
|
ISRG
Intuitive Surgical, Inc.
Primary
|
+110.7% | +111.6% | +7.2% | +3.2% | -1.4% | -2.7% |
|
ABT
Abbott Laboratories
Peer
|
+24.6% | +20.1% | +11.6% | -6.8% | -0.9% | -0.5% |
|
TMO
Thermo Fisher Scientific Inc.
Peer
|
+27.2% | +8.1% | +13.8% | +38.2% | +2.1% | +2.0% |
|
AMGN
Amgen Inc.
Peer
|
+69.2% | +37.8% | +30.5% | +11.5% | -5.2% | -1.6% |
|
DHR
Danaher Corporation
Peer
|
+19.0% | +0.6% | +0.9% | +13.7% | +1.0% | +0.0% |
Positive values indicate cumulative gains over the specified period. Comparables pulled from the same sector to highlight whether momentum is stock-specific or industry-wide.
Historical Performance Trends
Long-term financial metrics and growth patterns
Revenue & Net Income
Profit & Operating Margins
Return on Equity (ROE)
Quarterly Revenue Growth
Historical data shows last 12 quarters (3 years)
Valuation Metrics
Key valuation ratios and pricing indicators
P/E Ratio
74.04
Forward P/E
57.65
PEG Ratio
N/A
P/B Ratio
11.78
P/S Ratio
20.96
EV/Revenue
20.23
EV/EBITDA
56.98
Market Cap
$201.46B
Profitability
Profit margins and return metrics
Profit Margin
28.58%
Operating Margin
30.33%
Gross Margin
66.38%
ROE
16.9%
ROA
9.56%
Growth
Revenue and earnings growth rates
Revenue Growth
+22.9%
Earnings Growth
+25.0%
Q/Q Revenue Growth
N/A
Q/Q Earnings Growth
+24.7%
Financial Health
Balance sheet strength and liquidity metrics
Debt/Equity
N/A
Current Ratio
4.73
Strong
Quick Ratio
3.49
Excellent
Cash/Share
$13.85
Quarterly Earnings History
EPS performance vs analyst estimates
2026-01-22
$N/A
2025-10-21
$1.95
+14.7% surprise
2025-07-22
$1.81
+12.4% surprise
2025-04-22
$1.81
+4.4% surprise
Healthcare Sector Comparison
Comparing ISRG against 42 companies in the Healthcare sector
(5 bullish, 31 neutral, 6 bearish)
P/E Ratio
74.04
This Stock
vs
252.74
Sector Avg
-70.7%
(Discount)
Return on Equity (ROE)
16.9%
This Stock
vs
25.54%
Sector Avg
-33.8%
(Below Avg)
Profit Margin
28.58%
This Stock
vs
9.99%
Sector Avg
+186.1%
(Superior)
Revenue Growth
22.9%
This Stock
vs
9.8%
Sector Avg
+133.6%
(Fast Growth)
Current Ratio
4.73
This Stock
vs
2.27
Sector Avg
+108.0%
(Stronger)
Similar Companies
Peer comparison within the same industry
| Company | AI Rating | Market Cap | P/E | ROE | Profit Margin | Price | |
|---|---|---|---|---|---|---|---|
|
ISRG
Intuitive Surgical, Inc.
|
NEUTRAL | $201.46B | 74.04 | 16.9% | 28.6% | $561.98 | |
|
ABT
Abbott Laboratories
|
NEUTRAL | $216.15B | 15.6 | 30.6% | 31.9% | $124.19 | |
|
TMO
Thermo Fisher Scientific Inc.
|
NEUTRAL | $222.61B | 34.25 | 13.1% | 15.0% | $592.51 | |
|
AMGN
Amgen Inc.
|
NEUTRAL | $176.43B | 25.32 | 81.7% | 19.5% | $327.64 | |
|
DHR
Danaher Corporation
|
NEUTRAL | $164.98B | 47.41 | 6.8% | 14.4% | $230.4 |
Recent Insider Trading
Insider buy and sell transactions from the last 6 months
| Date | Insider | Position | Transaction | Shares | Value |
|---|---|---|---|---|---|
| 2025-12-15 | BROSIUS MARK PRESTON | Officer | Sale | 4,964 | $2,717,619 |
| 2025-12-12 | BROSIUS MARK PRESTON | Officer | Sale | 4,812 | $2,633,896 |
| 2025-12-12 | BROSIUS MARK PRESTON | Officer | Option Exercise | 4,500 | $358,370 |
| 2025-12-12 | BROSIUS MARK PRESTON | Officer | Option Exercise | 4,500 | $358,370 |
| 2025-12-10 | CURET MYRIAM J | Officer | Sale | 104 | $58,230 |
| 2025-12-10 | CURET MYRIAM J | Officer | Option Exercise | 104 | $23,857 |
| 2025-12-01 | CURET MYRIAM J | Officer | Sale | 125 | $71,124 |
| 2025-12-01 | CURET MYRIAM J | Officer | Option Exercise | 125 | $26,112 |
| 2025-12-01 | GUTHART GARY S | Officer and Director | Option Exercise | 25,500 | $3,557,760 |
| 2025-12-01 | GUTHART GARY S | Officer and Director | Sale | 22,806 | $13,019,722 |
| 2025-11-12 | LEONARD KEITH R JR | Director | Gift | 1,606 | - |
| 2025-11-12 | CHARLTON HENRY L | Officer | Sale | 13,731 | $7,963,980 |
| 2025-11-12 | BARRATT CRAIG H | Director | Sale | 750 | $435,000 |
| 2025-11-12 | CHARLTON HENRY L | Officer | Option Exercise | 9,000 | $2,069,552 |
| 2025-11-12 | BARRATT CRAIG H | Director | Option Exercise | 750 | $53,492 |
Insider transactions can signal confidence or concerns about company prospects
Wall Street Analysts
Professional analyst ratings and price targets
Consensus
NONE
29 analysts
Truist Securities
2025-12-18
Buy
Buy
RBC Capital
2025-12-17
Outperform
Outperform
Citigroup
2025-12-11
Buy
Neutral
UBS
2025-10-23
Neutral
Neutral
Raymond James
2025-10-22
Outperform
Outperform
Piper Sandler
2025-10-22
Overweight
Overweight
RBC Capital
2025-10-22
Outperform
Outperform
Truist Securities
2025-10-22
Buy
Buy
Wells Fargo
2025-10-22
Overweight
Overweight
BTIG
2025-10-22
Buy
Buy