Intuitive Surgical Beats Q4 Expectations

Intuitive Surgical (NASDAQ:ISRG) delivered strong first-quarter results that surpassed expectations on both earnings and revenue.

The company reported adjusted earnings of $1.81 per share, topping the consensus forecast of $1.74. Revenue reached $2.25 billion, beating estimates of $2.19 billion and reflecting continued demand for its da Vinci robotic surgery systems.

While procedure volumes remain a bright spot—projected to grow between 15% and 17% globally in 2025—this marks a slight slowdown from last year’s 17% growth rate. The real concern, however, lies in profitability expectations.

Intuitive Surgical anticipates gross margins to compress to a range of 65% to 66.5% of revenue, down from 69.1% in 2024. This includes an expected tariff-related drag of around 1.7% on revenue, plus or minus 30 basis points. Meanwhile, operating expenses are set to rise 10% to 14%, consistent with last year’s spending pace.

Intuitive Surgical (NASDAQ:ISRG) delivered strong first-quarter results that surpassed expectations on both earnings and revenue.

The company reported adjusted earnings of $1.81 per share, topping the consensus forecast of $1.74. Revenue reached $2.25 billion, beating estimates of $2.19 billion and reflecting continued demand for its da Vinci robotic surgery systems.

While procedure volumes remain a bright spot—projected to grow between 15% and 17% globally in 2025—this marks a slight slowdown from last year’s 17% growth rate. The real concern, however, lies in profitability expectations.

Intuitive Surgical anticipates gross margins to compress to a range of 65% to 66.5% of revenue, down from 69.1% in 2024. This includes an expected tariff-related drag of around 1.7% on revenue, plus or minus 30 basis points. Meanwhile, operating expenses are set to rise 10% to 14%, consistent with last year’s spending pace.

Intuitive Surgical, Inc. (NASDAQ: ISRG) is a leading company in the medical technology sector, known for its innovative robotic-assisted surgical systems. The company is set to release its quarterly earnings on April 22, 2025. Wall Street anticipates an earnings per share (EPS) of $1.71, with projected revenues of approximately $2.19 billion.

The expected EPS of $1.71 represents a 14% increase from the same period last year, as highlighted by the company's strong performance. This growth is supported by a projected revenue increase of 15.4% year-over-year, reaching $2.18 billion. Such positive financial metrics indicate a robust demand for Intuitive Surgical's products and services.

Over the past month, analysts have revised the consensus EPS estimate upward by 0.2%. This revision reflects a positive reassessment of the company's financial health and potential, which can influence investor sentiment and the stock's short-term price performance. Investors will closely watch the earnings release to see if the actual results align with these optimistic projections.

Intuitive Surgical's stock performance is closely tied to its earnings results. A positive earnings surprise could lead to an increase in the stock price, while a miss might result in a decline. The management's discussion during the earnings call will be crucial in evaluating the sustainability of any immediate price changes and future earnings projections.

The company's financial ratios provide additional insights into its valuation. With a price-to-earnings (P/E) ratio of approximately 74.08, investors are willing to pay $74.08 for every dollar of earnings. The price-to-sales ratio stands at about 20.71, and the enterprise value to sales ratio is around 20.47. These figures reflect the company's valuation in relation to its sales and earnings. Additionally, Intuitive Surgical has a strong current ratio of 4.07, indicating its ability to cover short-term liabilities with its short-term assets.

Intuitive Surgical, Inc. (NASDAQ: ISRG) is a leading company in the medical technology sector, known for its innovative robotic-assisted surgical systems. The company is set to release its quarterly earnings on April 22, 2025. Wall Street anticipates an earnings per share (EPS) of $1.71, with projected revenues of approximately $2.19 billion.

The expected EPS of $1.71 represents a 14% increase from the same period last year, as highlighted by the company's strong performance. This growth is supported by a projected revenue increase of 15.4% year-over-year, reaching $2.18 billion. Such positive financial metrics indicate a robust demand for Intuitive Surgical's products and services.

Over the past month, analysts have revised the consensus EPS estimate upward by 0.2%. This revision reflects a positive reassessment of the company's financial health and potential, which can influence investor sentiment and the stock's short-term price performance. Investors will closely watch the earnings release to see if the actual results align with these optimistic projections.

Intuitive Surgical's stock performance is closely tied to its earnings results. A positive earnings surprise could lead to an increase in the stock price, while a miss might result in a decline. The management's discussion during the earnings call will be crucial in evaluating the sustainability of any immediate price changes and future earnings projections.

The company's financial ratios provide additional insights into its valuation. With a price-to-earnings (P/E) ratio of approximately 74.08, investors are willing to pay $74.08 for every dollar of earnings. The price-to-sales ratio stands at about 20.71, and the enterprise value to sales ratio is around 20.47. These figures reflect the company's valuation in relation to its sales and earnings. Additionally, Intuitive Surgical has a strong current ratio of 4.07, indicating its ability to cover short-term liabilities with its short-term assets.

Intuitive Surgical Inc. (NASDAQ:ISRG) is a leader in robotic-assisted surgery, known for its da Vinci Surgical System. The company has seen significant growth, driven by the strong performance of its da Vinci portfolio. In the fourth quarter of 2024, Intuitive Surgical placed a record 493 systems, a 19% increase from the previous year, highlighting the growing demand for its innovative surgical solutions.

The da Vinci 5 system, launched in March 2024, has been a key driver of this growth, with 174 systems placed in the fourth quarter alone. This system, along with the Ion and SP platforms, has contributed to a 36.5% increase in the System segment’s sales, reaching $655 million. The strong market uptake of these systems underscores Intuitive Surgical's robust market position and the increasing adoption of its technology.

Intuitive Surgical's financial performance in the fourth quarter of 2024 was impressive, with revenues reaching $2.4 billion and adjusted earnings per share of $2.21. These figures surpassed market expectations, driven by an 18% year-over-year increase in global da Vinci procedure volume. The company's revenue growth of 25% year-over-year further highlights its strong market presence and the success of its da Vinci systems.

Despite the positive financial results, ISRG's stock experienced a decline. The stock has a high price-to-earnings (P/E) ratio of 90.84 and a price-to-sales ratio of 25.93, indicating that it may be overvalued compared to its earnings and sales. However, the company's strong liquidity position, with a current ratio of 4.30, provides a buffer against potential financial challenges.

For investors seeking diversification, the High-Quality portfolio, which has consistently outperformed the S&P 500, may be worth considering. Intuitive Surgical's strong fourth-quarter results and the increasing adoption of its da Vinci systems position the company well for future growth, despite the challenges it faces in certain international markets.

Intuitive Surgical Inc. (NASDAQ:ISRG) is a leader in robotic-assisted surgery, known for its da Vinci Surgical System. The company has seen significant growth, driven by the strong performance of its da Vinci portfolio. In the fourth quarter of 2024, Intuitive Surgical placed a record 493 systems, a 19% increase from the previous year, highlighting the growing demand for its innovative surgical solutions.

The da Vinci 5 system, launched in March 2024, has been a key driver of this growth, with 174 systems placed in the fourth quarter alone. This system, along with the Ion and SP platforms, has contributed to a 36.5% increase in the System segment’s sales, reaching $655 million. The strong market uptake of these systems underscores Intuitive Surgical's robust market position and the increasing adoption of its technology.

Intuitive Surgical's financial performance in the fourth quarter of 2024 was impressive, with revenues reaching $2.4 billion and adjusted earnings per share of $2.21. These figures surpassed market expectations, driven by an 18% year-over-year increase in global da Vinci procedure volume. The company's revenue growth of 25% year-over-year further highlights its strong market presence and the success of its da Vinci systems.

Despite the positive financial results, ISRG's stock experienced a decline. The stock has a high price-to-earnings (P/E) ratio of 90.84 and a price-to-sales ratio of 25.93, indicating that it may be overvalued compared to its earnings and sales. However, the company's strong liquidity position, with a current ratio of 4.30, provides a buffer against potential financial challenges.

For investors seeking diversification, the High-Quality portfolio, which has consistently outperformed the S&P 500, may be worth considering. Intuitive Surgical's strong fourth-quarter results and the increasing adoption of its da Vinci systems position the company well for future growth, despite the challenges it faces in certain international markets.

Medical device leader Intuitive Surgical (NASDAQ:ISRG) delivered better-than-expected fourth-quarter earnings and revenue, driven by strong demand for its Da Vinci surgical robots. Despite the impressive results, shares dropped over 2% in pre-market today as the company revised its 2025 gross profit margin guidance downward.

The company reported adjusted earnings per share of $2.21, significantly surpassing analysts' forecasts of $1.75. Quarterly revenue climbed to $2.41 billion, beating the consensus estimate of $2.2 billion, reflecting robust growth in global procedure volumes.

Looking ahead, Intuitive Surgical projects its non-GAAP gross profit margin to decline to 67%–68% in 2025, compared to 69.1% in 2024. This forecast does not account for potential impacts from new tariffs, which the company cautioned could materially affect results.

The firm also expects global Da Vinci procedures to grow by 13% to 16% in 2025, signaling continued demand for its advanced surgical systems. However, rising costs are set to weigh on profitability, with non-GAAP operating expenses forecasted to increase by 10% to 15% in 2025, up from a 10% rise last year.

While Intuitive Surgical's growth outlook remains strong, the anticipated margin compression has left investors cautious about the company’s ability to maintain its profitability amid rising operational costs and tariff uncertainties.