We use cookies to understand how you use our site and to improve your experience. This includes personalizing content and advertising. To learn more, click here. By continuing to use our site, you accept our use of cookies, revised Privacy Policy and Terms of Service.
You are being directed to ZacksTrade, a division of LBMZ Securities and licensed broker-dealer. ZacksTrade and Zacks.com are separate companies. The web link between the two companies is not a solicitation or offer to invest in a particular security or type of security. ZacksTrade does not endorse or adopt any particular investment strategy, any analyst opinion/rating/report or any approach to evaluating individual securities.
If you wish to go to ZacksTrade, click OK. If you do not, click Cancel.
Intuitive Surgical (ISRG - Free Report) announced preliminary revenue results for fourth-quarter 2023. The strong preliminary results drove up the company’s shares 10.3% in the trading session on Jan 10.
Per the preliminary report, fourth-quarter 2023 net sales are estimated to be at least $1.93 billion, suggesting a 17% year-over-year rise. The Zacks Consensus Estimate of $1.86 billion lies below the preliminary figure.
The company recorded sales of $1.14 billion from instruments and accessories, implying year-over-year growth of 22%. A strong improvement was driven primarily by growth in da Vinci procedure volume and higher pricing. Systems revenues are estimated to increase 6% to $480 million.
For 2023, ISRG estimated revenues of $7.12 billion, indicating a year-over-year increase of 14%. The Zacks Consensus Estimate of $7.06 billion lies below the preliminary figure. Full-year revenues from instruments and accessories were up 22% at $4.28 billion, whereas systems revenue was flat at $1.68 billion.
Per management, da Vinci procedures grew approximately 21% worldwide in the fourth quarter of 2023, reflecting a favorable base for comparison as the prior-year quarter faced a resurgence of COVID-19 in China that negatively impacted procedure volumes in the country.
The company also placed a higher number of da Vinci system in the fourth quarter of 2023. Total system placements were 415 during the period, implying year-over-year growth of 12%. With higher system placements, procedure volumes are likely to continue the improving trend in 2024.
On the third-quarter earnings call in November 2023, management confirmed continued recovery in the procedure volume. The trend was maintained during the fourth quarter as well. The company stated that it completed approximately 2,286,000 surgical procedures with da Vinci surgical systems during 2023, marking growth of 22% from 2022. The company attributes the higher demand for procedures to overall market improvement, especially general surgery procedures in the United States and cancer procedures in the international markets. ISRG expects worldwide da Vinci procedures to increase 13-16% in 2024.
In the fourth quarter, nearly half of system placements were placed under operating lease arrangements.
Meanwhile, Intuitive Surgical informed that disruptions from COVID-19 were insignificant in the second half of 2023, following COVID-19 resurgences in China in early 2023. Lower infections and hospitalization following the gradual withdrawal of COVID-19 in 2023 led to the recovery of procedure volumes in the country. The trend is likely to follow in the next two quarters.
Price Performance
Shares of the company rose 15.4% from Oct 1 to Dec 31, 2023, compared with the industry’s 10.1% growth. The S&P 500 gained 10.6% during the same time frame.
Image Source: Zacks Investment Research
Zacks Rank & Stocks to Consider
Currently, Intuitive Surgical carries a Zacks Rank #3 (Hold).
Some better-ranked stocks in the broader medical space areDaVita Inc. (DVA - Free Report) ,Merit Medical Systems, Inc. (MMSI - Free Report) and Integer Holdings Corporation (ITGR - Free Report) .
DaVita, sporting a Zacks Rank #1 (Strong Buy) at present, has an estimated long-term growth rate of 17.3%. DVA’s earnings surpassed estimates in each of the trailing four quarters, delivering an average surprise of 36.6%. You can see the complete list of today’s Zacks #1 Rank stocks here.
DaVita’s shares have risen 22.1% compared with the industry’s 23.9% growth between Oct 1 and Dec 31, 2023.
Merit Medical, carrying a Zacks Rank #2 (Buy) at present, has an estimated long-term growth rate of 11.5%. MMSI’s earnings surpassed estimates in each of the trailing four quarters, delivering an average surprise of 14.4%.
Merit Medical’s shares have risen 10.5% compared with the industry’s 7.2% growth between Oct 1 and Dec 31, 2023.
Integer Holdings, carrying a Zacks Rank of 2 at present, has an estimated long-term growth rate of 15.8%. ITGR’s earnings surpassed estimates in each of the trailing four quarters, delivering an average surprise of 11.9%.
Integer Holdings’ shares have risen 26.3% compared with the industry’s 10.1% growth between Oct 1 and Dec 31, 2023.
Unique Zacks Analysis of Your Chosen Ticker
Pick one free report - opportunity may be withdrawn at any time
Image: Bigstock
Intuitive Surgical (ISRG) Preliminary Q4 Revenues Improve Y/Y
Intuitive Surgical (ISRG - Free Report) announced preliminary revenue results for fourth-quarter 2023. The strong preliminary results drove up the company’s shares 10.3% in the trading session on Jan 10.
ISRG is scheduled to release fourth-quarter results on Jan 23.
Per the preliminary report, fourth-quarter 2023 net sales are estimated to be at least $1.93 billion, suggesting a 17% year-over-year rise. The Zacks Consensus Estimate of $1.86 billion lies below the preliminary figure.
The company recorded sales of $1.14 billion from instruments and accessories, implying year-over-year growth of 22%. A strong improvement was driven primarily by growth in da Vinci procedure volume and higher pricing. Systems revenues are estimated to increase 6% to $480 million.
For 2023, ISRG estimated revenues of $7.12 billion, indicating a year-over-year increase of 14%. The Zacks Consensus Estimate of $7.06 billion lies below the preliminary figure. Full-year revenues from instruments and accessories were up 22% at $4.28 billion, whereas systems revenue was flat at $1.68 billion.
Per management, da Vinci procedures grew approximately 21% worldwide in the fourth quarter of 2023, reflecting a favorable base for comparison as the prior-year quarter faced a resurgence of COVID-19 in China that negatively impacted procedure volumes in the country.
The company also placed a higher number of da Vinci system in the fourth quarter of 2023. Total system placements were 415 during the period, implying year-over-year growth of 12%. With higher system placements, procedure volumes are likely to continue the improving trend in 2024.
Intuitive Surgical, Inc. Price
Intuitive Surgical, Inc. price | Intuitive Surgical, Inc. Quote
A Brief Q4 Analysis
On the third-quarter earnings call in November 2023, management confirmed continued recovery in the procedure volume. The trend was maintained during the fourth quarter as well. The company stated that it completed approximately 2,286,000 surgical procedures with da Vinci surgical systems during 2023, marking growth of 22% from 2022. The company attributes the higher demand for procedures to overall market improvement, especially general surgery procedures in the United States and cancer procedures in the international markets. ISRG expects worldwide da Vinci procedures to increase 13-16% in 2024.
In the fourth quarter, nearly half of system placements were placed under operating lease arrangements.
Meanwhile, Intuitive Surgical informed that disruptions from COVID-19 were insignificant in the second half of 2023, following COVID-19 resurgences in China in early 2023. Lower infections and hospitalization following the gradual withdrawal of COVID-19 in 2023 led to the recovery of procedure volumes in the country. The trend is likely to follow in the next two quarters.
Price Performance
Shares of the company rose 15.4% from Oct 1 to Dec 31, 2023, compared with the industry’s 10.1% growth. The S&P 500 gained 10.6% during the same time frame.
Image Source: Zacks Investment Research
Zacks Rank & Stocks to Consider
Currently, Intuitive Surgical carries a Zacks Rank #3 (Hold).
Some better-ranked stocks in the broader medical space areDaVita Inc. (DVA - Free Report) ,Merit Medical Systems, Inc. (MMSI - Free Report) and Integer Holdings Corporation (ITGR - Free Report) .
DaVita, sporting a Zacks Rank #1 (Strong Buy) at present, has an estimated long-term growth rate of 17.3%. DVA’s earnings surpassed estimates in each of the trailing four quarters, delivering an average surprise of 36.6%. You can see the complete list of today’s Zacks #1 Rank stocks here.
DaVita’s shares have risen 22.1% compared with the industry’s 23.9% growth between Oct 1 and Dec 31, 2023.
Merit Medical, carrying a Zacks Rank #2 (Buy) at present, has an estimated long-term growth rate of 11.5%. MMSI’s earnings surpassed estimates in each of the trailing four quarters, delivering an average surprise of 14.4%.
Merit Medical’s shares have risen 10.5% compared with the industry’s 7.2% growth between Oct 1 and Dec 31, 2023.
Integer Holdings, carrying a Zacks Rank of 2 at present, has an estimated long-term growth rate of 15.8%. ITGR’s earnings surpassed estimates in each of the trailing four quarters, delivering an average surprise of 11.9%.
Integer Holdings’ shares have risen 26.3% compared with the industry’s 10.1% growth between Oct 1 and Dec 31, 2023.