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Intuitive Surgical, Inc. (ISRG) Declines More Than Market: Some Information for Investors

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In the latest market close, Intuitive Surgical, Inc. (ISRG - Free Report) reached $523.91, with a -0.49% movement compared to the previous day. This change lagged the S&P 500's 0.09% loss on the day. At the same time, the Dow added 0.04%, and the tech-heavy Nasdaq lost 0.1%.

The company's stock has dropped by 2.83% in the past month, falling short of the Medical sector's loss of 2.1% and the S&P 500's loss of 0.29%.

The upcoming earnings release of Intuitive Surgical, Inc. will be of great interest to investors. The company's upcoming EPS is projected at $1.76, signifying a 10% increase compared to the same quarter of the previous year. Our most recent consensus estimate is calling for quarterly revenue of $2.2 billion, up 14.32% from the year-ago period.

In terms of the entire fiscal year, the Zacks Consensus Estimates predict earnings of $6.88 per share and a revenue of $8.14 billion, indicating changes of +20.49% and +14.3%, respectively, from the former year.

Investors should also note any recent changes to analyst estimates for Intuitive Surgical, Inc. These latest adjustments often mirror the shifting dynamics of short-term business patterns. Therefore, positive revisions in estimates convey analysts' confidence in the company's business performance and profit potential.

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, stretching from #1 (Strong Buy) to #5 (Strong Sell), has a noteworthy track record of outperforming, validated by third-party audits, with stocks rated #1 producing an average annual return of +25% since the year 1988. Over the last 30 days, the Zacks Consensus EPS estimate has moved 0.04% lower. Intuitive Surgical, Inc. currently has a Zacks Rank of #3 (Hold).

From a valuation perspective, Intuitive Surgical, Inc. is currently exchanging hands at a Forward P/E ratio of 76.54. Its industry sports an average Forward P/E of 28.24, so one might conclude that Intuitive Surgical, Inc. is trading at a premium comparatively.

It's also important to note that ISRG currently trades at a PEG ratio of 4.1. 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 had an average PEG ratio of 2.41 as trading concluded yesterday.

The Medical - Instruments industry is part of the Medical sector. This industry, currently bearing a Zacks Industry Rank of 58, finds itself in the top 24% echelons of all 250+ industries.

The Zacks Industry Rank assesses the vigor of our specific industry groups by computing the average Zacks Rank of the individual stocks incorporated in the groups. Our research shows that the top 50% rated industries outperform the bottom half by a factor of 2 to 1.

Keep in mind to rely on Zacks.com to watch all these stock-impacting metrics, and more, in the succeeding trading sessions.


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