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Intuitive Surgical, Inc. (ISRG) Outpaces Stock Market Gains: What You Should Know

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Intuitive Surgical, Inc. (ISRG - Free Report) closed at $444.55 in the latest trading session, marking a +1.33% move from the prior day. The stock outpaced the S&P 500's daily gain of 0.44%. Meanwhile, the Dow gained 0.14%, and the Nasdaq, a tech-heavy index, added 0.7%.

Prior to today's trading, shares of the company had lost 7.86% lagged the Medical sector's gain of 1.25% and the S&P 500's gain of 4.03%.

Market participants will be closely following the financial results of Intuitive Surgical, Inc. in its upcoming release. The company's earnings per share (EPS) are projected to be $1.99, reflecting a 8.15% increase from the same quarter last year. Our most recent consensus estimate is calling for quarterly revenue of $2.41 billion, up 18.2% from the year-ago period.

For the full year, the Zacks Consensus Estimates project earnings of $8.17 per share and a revenue of $9.78 billion, demonstrating changes of +11.31% and +17.06%, respectively, from the preceding year.

It is also important to note the recent changes to analyst estimates for Intuitive Surgical, Inc. These revisions typically reflect the latest short-term business trends, which can change frequently. With this in mind, we can consider positive estimate revisions a sign of optimism about the business outlook.

Our research shows that these estimate changes are directly correlated with near-term stock prices. To capitalize on this, we've crafted the Zacks Rank, a unique model that incorporates these estimate changes and offers a practical 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 witnessed a 0.03% decrease. Intuitive Surgical, Inc. presently features a Zacks Rank of #3 (Hold).

Digging into valuation, Intuitive Surgical, Inc. currently has a Forward P/E ratio of 53.71. This signifies a premium in comparison to the average Forward P/E of 24.2 for its industry.

It is also worth noting that ISRG currently has a PEG ratio of 3.68. 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 was holding an average PEG ratio of 2.5 at yesterday's closing price.

The Medical - Instruments industry is part of the Medical sector. At present, this industry carries a Zacks Industry Rank of 92, placing it within the top 38% of over 250 industries.

The Zacks Industry Rank gauges the strength of our industry groups by measuring the average Zacks Rank of the individual stocks within the groups. Our research shows that the top 50% rated industries outperform the bottom half by a factor of 2 to 1.

Ensure to harness Zacks.com to stay updated with all these stock-shifting metrics, among others, in the next trading sessions.


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