Intuitive Surgical Inc (ISRG)
Official siteHEALTHCARE • MEDICAL INSTRUMENTS & SUPPLIES • NASDAQ
Market Cap: $135.02B
Last updated: Sep 01, 2026 at 5:00 PM ET
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Globus Medical Grew Earnings 56% On 6% Revenue. The Robotics Line Went Backwards.
Q2 non-GAAP EPS $1.34, up 55.8% y/y; revenue $789.6M, +5.9%; company kept revenue guide $3.18-3.22B and raised adjusted EPS to $4.95-5.05 from $4.70-4.80 Enabling Technologies revenue fell 25.8% to $26.1M, now 3.3% of sales - robotics is a marginal, shrinking contributor, so treat any robotics pull-through thesis as unproven Adjusted gross margin expanded 200bps to 69.4%; SG&A down $16.8M to $286.8M, SG&A margin improved 440bps to 36.3%; R&D fell to 4.6% of sales - 40-140bps of margin tailwind likely temporary 1H operating cash flow $412.1M vs $255.2M y/y; 1H free cash flow $339.3M vs $172.5M; cash and marketable securities $840.5M, net cash ~$6.26/sh, trading near 15x 2024E EPS or 13.3x trailing FCF Neuromodulation down 14.3% and not expected to recover until late Q4; U.S. sales +3% with spine +7% while international +18% - prefer mid-$70s entry given cost-driven EPS gains and revenue risks
The Biggest Healthcare Disconnect In Decades - And The Stocks I’m Watching
Healthcare has hit a 26-year relative low, but weakness alone does not make the sector a buy. AI-led capital flows, patent cliffs, IRA pricing pressure, and GLP-1 disruption explain much of the selloff. I prefer selective exposure: picks-and-shovels, AI-driven platforms, and discounted turnarounds over broad healthcare ETFs. TMO, WST, LLY, ISRG, and PFE stand out as stocks to watch, each with different risk/reward profiles.
The Aristocrat Nobody Wanted: Why (MDT) Is Worth a Second Look Right Now
(MDT) has raised its dividend for 48 consecutive years, yet trades at just 14x forward earnings. On a trailing basis it is 24x vs. (ISRG) at 57x and (SYK) at 40x. The 5-year dividend CAGR is 4.4%, slowing to 2.0% over three years. This is a yield anchor at 3.3%, not a fast compounder. Payout ratio of 50.2% keeps the streak sustainable. FCF yield sits near 4.87% with $5.41B in trailing free cash flow. Ten straight years of positive FCF. The income is backed by real cash generation. Revenue grew 8.7% in the most recent quarter, the company's strongest enterprise growth in 10 quarters. Full-year guidance raised then reiterated. Two consecutive beats matter. Blended fair value from multiple sources lands near $107-$108 vs. current price near $86, implying roughly 24-25% upside before the 3.3% yield. GNG Research internal FV is $94.01. EPS beat rate over the last 8 quarters: 100%. The market is pricing this like a business that disappoints. The data from the GNG Research terminal shows otherwise.
Why TransMedics Stock is a Buy for Long-Term Investors
TransMedics is replacing a 60-year-old organ-transport method with its FDA-approved OCS platform, which keeps hearts, lungs, and livers alive and functioning during transit — a massive step-change in reliability and outc Business model now prints cash: $250K consoles + $80–100K per-procedure recurring revenue + the scaling National OCS Program (NOP) aircraft fleet. Margins expanding, FCF inflection is real. Financials are inflecting sharply: EPS beat (+83%), strong operating leverage, rising gross margins, and guidance moving higher even with temporary revenue noise. Short-term volatility ≠ broken thesis: Stock recently sold off on a slight revenue miss and high short interest, but fundamental adoption trends remain strong across transplant centers. Long-term runway is substantial: Multi-organ expansion, NOP scaling, higher utilization rates, and future indications (including kidney) create years of growth. GNG Research Rating — BUY on weakness: Best accumulation zone is sub-$110, with long-term fair value well above current levels based on sustained growth, rising margins, and expanding TAM.
Government Contracts
Top agency: Department of Defense at 78.9% of trailing twelve month obligations across 2 agencies
Recent Awards
Federal contract obligations are bookings recorded by the awarding agency, not recognized revenue. They can exceed 100% of revenue and can be negative when contracts are de-obligated. Source: USAspending.gov prime awards, data through Jul 31, 2026.
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Frequently Asked Questions About ISRG
- Does ISRG pay dividends?
- Intuitive Surgical Inc (ISRG) does not currently pay a regular dividend.
- What is ISRG's P/E ratio?
- Intuitive Surgical Inc has a price-to-earnings (P/E) ratio of 36.84.
- What is ISRG's market cap?
- Intuitive Surgical Inc (ISRG) has a market capitalization of $135.02B with a current stock price of $376.86.
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