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Sunnyvale, California-based Intuitive Surgical, Inc. (ISRG) develops, manufactures, and markets products that enable physicians and healthcare providers to enhance the quality and accessibility of minimally invasive care. Valued at $205.8 billion by market cap, the company offers endoscopes, endoscopic retractors and disectors, scissors, scalpels, forceps, needle holders, electrocautery, ultrasonic cutters, and accessories during surgical procedures.
Companies worth $200 billion or more are generally described as “mega-cap stocks,” and ISRG definitely fits that description, with its market cap exceeding this threshold, reflecting its substantial size, influence, and dominance in the medical instruments & supplies industry. Intuitive Surgical excels in robotic-assisted surgery with its gold-standard da Vinci system, backed by a strong brand reputation, continuous R&D investment, and comprehensive surgeon training, driving user proficiency and patient outcomes.
Despite its notable strength, ISRG slipped 6.8% from its 52-week high of $616, achieved on Jan. 23. Over the past three months, ISRG stock gained 21.1%, outperforming the Nasdaq Composite’s ($NASX) 7.8% gains during the same time frame.
In the longer term, shares of ISRG rose 10% on a YTD basis and climbed 5.9% over the past 52 weeks, underperforming NASX’s YTD gains of 20.2% and 21.1% returns over the last year.
To confirm the bullish trend, ISRG has been trading above its 50-day and 200-day moving averages since late October.
On Oct. 21, ISRG reported its Q3 results, and its shares surged 13.9% in the following trading session. Its revenue of $2.51 billion beat analyst expectations by 3.9%. The company’s adjusted EPS of $2.40 surpassed analyst estimates of $1.99.
In the competitive arena of medical instruments & supplies, Cooper Companies, Inc. (COO) has lagged behind the stock, with a 15.2% loss on a YTD basis and a 24.1% downtick over the past 52 weeks.
Wall Street analysts are reasonably bullish on ISRG’s prospects. The stock has a consensus “Moderate Buy” rating from the 29 analysts covering it, and the mean price target of $610.28 suggests a potential upside of 6.3% from current price levels.
