Now trading at a price of $432.14, Intuitive Surgical has moved -0.4% so far today.
Intuitive Surgical returned losses of -10.2% last year, with its stock price reaching a high of $616.0 and a low of $425.0. Over the same period, the stock underperformed the S&P 500 index by -27.6%. AThe company's 50-day average price was $484.88. Intuitive Surgical, Inc. develops, manufactures, and markets products that enable physicians and healthcare providers to enhance the quality of and access to minimally invasive care in the United States and internationally. Based in Sunnyvale, CA, the Large-Cap Health Care company has 15,638 full time employees. Intuitive Surgical has not offered a dividend during the last year.
Wider Gross Margins Than the Industry Average of 42.49%:
| 2019 | 2020 | 2021 | 2022 | 2023 | 2024 | |
|---|---|---|---|---|---|---|
| Revenue (M) | $4,478 | $4,358 | $5,710 | $6,222 | $7,124 | $8,352 |
| Gross Margins | 69% | 66% | 69% | 67% | 66% | 67% |
| Net Margins | 31% | 24% | 30% | 21% | 25% | 28% |
| Net Income (M) | $1,379 | $1,061 | $1,705 | $1,322 | $1,798 | $2,323 |
| Net Interest Expense (M) | $128 | $157 | $69 | $30 | $192 | $325 |
| Depreciation & Amort. (M) | $43 | $50 | $27 | $28 | $20 | $439 |
| Diluted Shares (M) | 358 | 361 | 366 | 362 | 357 | 362 |
| Earnings Per Share | $3.85 | $2.94 | $4.66 | $3.65 | $5.03 | $6.42 |
| EPS Growth | n/a | -23.64% | 58.5% | -21.67% | 37.81% | 27.63% |
| Avg. Price | $177.34 | $209.13 | $303.7 | $261.19 | $337.36 | $433.99 |
| P/E Ratio | 44.11 | 68.57 | 62.88 | 70.59 | 65.76 | 65.86 |
| Free Cash Flow (M) | $1,173 | $1,143 | $1,750 | $958 | $750 | $1,304 |
| CAPEX (M) | $426 | $342 | $340 | $532 | $1,064 | $1,111 |
| Current Ratio | 4.53 | 6.86 | 5.08 | 4.4 | 4.76 | 4.07 |
Intuitive Surgical benefits from rapidly growing revenues and increasing reinvestment in the business, an excellent current ratio of 4.07, and wider gross margins than its peer group. The company's financial statements show positive EPS growth and generally positive cash flows.
Intuitive Surgical Has Elevated P/B and P/E Ratios:
Intuitive Surgical has a trailing twelve month P/E ratio of 67.7, compared to an average of 22.94 for the Health Care sector. Based on its EPS guidance of $7.86, the company has a forward P/E ratio of 61.7. The 10.7% compound average growth rate of Intuitive Surgical's historical and projected earnings per share yields a PEG ratio of 6.31. This suggests that these shares are overvalued. Furthermore, Intuitive Surgical is likely overvalued compared to the book value of its equity, since its P/B ratio of 8.68 is higher than the sector average of 3.19. The company's shares are currently trading 433.6% below their Graham number. Overall, Intuitive Surgical's lofty valuation in terms of earnings and assets is to some extent attenuated by its strong cash flow trend and reasonable levels of debt.
Intuitive Surgical Has an Average Rating of Buy:
The 27 analysts following Intuitive Surgical have set target prices ranging from $350.0 to $685.0 per share, for an average of $582.1 with a buy rating. The company is trading -25.8% away from its average target price, indicating that there is an analyst consensus of strong upside potential.
Intuitive Surgical has a very low short interest because 1.5% of the company's shares are sold short. Institutions own 89.0% of the company's shares, and the insider ownership rate stands at 0.53%, suggesting a small amount of insider investors. The largest shareholder is Vanguard Group Inc, whose 9% stake in the company is worth $14,405,913,185.
