ISRG Intuitive Surgical, Inc. - Common Stock

NASDAQ · Health Care · View on SEC EDGAR ↗
$443.73
Price · May 20, 2026
Fundamentals as of Apr 22, 2026

ISRG Stock Snapshot Price, market cap, P/E, EPS, ROE, debt/equity, 52-week range

Price
$443.73
Market Cap
$201.11B
P/E (TTM)
72.0
EPS (TTM)
$7.87
Revenue (TTM)
$10.06B
Div Yield
ROE
16.7%
Debt/Equity
52W Range
$418 – $604

ISRG Stock Price Chart Daily OHLCV with technical indicators — pan, zoom, and customize your view

10-Year Performance Revenue, net income, margins and EPS trends

Revenue & Net Income $10.06B
10-point trend, +271.9%
2016-12-31 2025-12-31
EPS $7.87
10-point trend, +25.7%
2016-12-31 2025-12-31
Free Cash Flow $2.49B
10-point trend, +151.8%
2016-12-31 2025-12-31
Margins 28.4%
10-point trend, -5.6%
2016-12-31 2025-12-31

Valuation P/E, P/S, P/B, EV/EBITDA ratios — is the stock expensive or cheap?

Metric
5Y trend
ISRG
Peer Median
P/E (TTM)
5-point trend, -6.7%
72.0
15.7
P/S (TTM)
5-point trend, -11.2%
20.0
23.9
P/B
5-point trend, +4.5%
11.3
3.4
Price / FCF
5-point trend, +9.1%
80.7

Profitability Gross, operating and net margins; ROE, ROA, ROIC

Metric
5Y trend
ISRG
Peer Median
Gross Margin
5-point trend, -4.8%
66.0%
47.4%
Operating Margin
5-point trend, -8.2%
29.3%
Net Profit Margin
5-point trend, -4.9%
28.4%
-509.8%
ROA
5-point trend, +5.7%
14.6%
-25.4%
ROE
5-point trend, +5.8%
16.7%
-39.7%
ROIC
5-point trend, +2.6%
14.4%

Financial Health Debt, liquidity, solvency — balance sheet strength

Metric
5Y trend
ISRG
Peer Median
Current Ratio
5-point trend, -4.1%
4.9
4.6
Quick Ratio
5-point trend, -14.2%
3.7

Growth Revenue, EPS and net income growth: YoY, 3Y CAGR, 5Y CAGR

Metric
5Y trend
ISRG
Peer Median
Revenue YoY
5-point trend, +76.3%
20.5%
Revenue CAGR 3Y
5-point trend, +76.3%
17.4%
Revenue CAGR 5Y
5-point trend, +76.3%
18.2%
EPS YoY
5-point trend, +68.9%
22.6%
Net Income YoY
5-point trend, +67.5%
23.0%

Per Share Metrics EPS, book value per share, cash flow per share, dividend per share

Metric
5Y trend
ISRG
Peer Median
EPS (Diluted)
5-point trend, +68.9%
$7.87

Capital Efficiency Asset turnover, inventory turnover, receivables turnover

Metric
5Y trend
ISRG
Peer Median

ISRG Analyst Consensus Bullish and bearish analyst opinions, 12-month price target, upside

BUY 41 analysts
  • Strong Buy 11 26.8%
  • Buy 18 43.9%
  • Hold 11 26.8%
  • Sell 1 2.4%
  • Strong Sell 0 0.0%

12-Month Price Target

30 analysts · 2026-05-18
Median target $580.00 +30.7%
Mean target $577.01 +30.0%

Earnings History EPS actual vs estimate, surprise %, beat rate, next earnings date

Avg Surprise
0.25%
Period EPS Actual EPS Est Surprise
March 31, 2026 $2.50 $2.14 0.36%
Dec. 31, 2025 $2.53 $2.30 0.23%
Sept. 30, 2025 $2.40 $2.02 0.38%
June 30, 2025 $2.19 $1.96 0.23%
March 31, 2025 $1.81 $1.76 0.05%

Peer Comparison Key metrics vs sector peers

Ticker Market Cap P/E Rev YoY Net Margin ROE Gross Margin
ISRG $201.11B 72.0 20.5% 28.4% 16.7% 66.0%
ABT $250.18B 33.7 5.7% 14.7% 13.1%
SYK $134.44B 41.8 11.2% 12.9% 15.1% 64.0%
BSX 49.1 19.9% 14.4% 12.6% 69.0%
EW $49.50B 46.6 11.6% 17.7% 10.6% 78.0%
IDXX $53.93B 51.7 10.4% 24.6% 69.2% 61.8%
BDX 25.3 8.2% 7.7% 6.5%
RMD $37.77B 27.1 9.8% 27.2% 25.0% 59.4%
GEHC 18.0 4.8% 10.1% 22.1% 40.0%
DXCM $25.54B 31.8 15.6% 17.9% 31.4% 60.1%
ZBH $28.66B 25.3 7.2% 8.6% 5.6%

Full Fundamentals All metrics by year — income statement, balance sheet, cash flow

Income Statement 16
Annual Income Statement data for ISRG
Metric Trend 202520242023202220212020201920182017201620152014
Revenue 12-point trend, +372.1% $10.06B $8.35B $7.12B $6.22B $5.71B $4.36B $4.48B $3.72B $3.14B $2.71B $2.38B $2.13B
Cost of Revenue 12-point trend, +376.7% $3.42B $2.72B $2.39B $2.03B $1.75B $1.50B $1.37B $1.12B $936M $814M $806M $718M
Gross Profit 12-point trend, +369.8% $6.64B $5.63B $4.73B $4.20B $3.96B $2.86B $3.11B $2.60B $2.20B $1.89B $1.58B $1.41B
R&D Expense 12-point trend, +637.0% $1.31B $1.15B $999M $879M $671M $595M $557M $418M $329M $240M $197M $178M
SG&A Expense 12-point trend, +245.2% $2.38B $2.14B $1.96B $1.74B $1.47B $1.22B $1.18B $987M $810M $704M $640M $691M
Operating Expenses 12-point trend, +325.4% $3.70B $3.29B $2.96B $2.62B $2.14B $1.81B $1.74B $1.40B $1.14B $943M $838M $869M
Operating Income 12-point trend, +440.7% $2.95B $2.35B $1.77B $1.58B $1.82B $1.05B $1.37B $1.20B $1.06B $950M $740M $545M
Other Non-op 12-point trend, +8611.9% $366M $325M $192M $30M $69M $157M $128M $80M $42M $36M $18M $4M
Pretax Income 12-point trend, +503.2% $3.31B $2.67B $1.96B $1.61B $1.89B $1.21B $1.50B $1.28B $1.10B $985M $758M $549M
Income Tax 12-point trend, +233.9% $435M $336M $142M $262M $162M $140M $120M $154M $434M $247M $170M $130M
Net Income 12-point trend, +581.9% $2.86B $2.32B $1.80B $1.32B $1.70B $1.06B $1.38B $1.13B $671M $738M $589M $419M
EPS (Basic) 12-point trend, -29.5% $8.00 $6.54 $5.12 $3.72 $4.79 $3.02 $3.98 $9.92 $6.01 $6.43 $5.29 $11.35
EPS (Diluted) 12-point trend, -29.2% $7.87 $6.42 $5.03 $3.65 $4.66 $2.94 $3.85 $9.49 $5.77 $6.26 $5.18 $11.11
Shares (Basic) 12-point trend, +867.2% 356,900,000 355,200,000 351,200,000 355,700,000 356,100,000 351,100,000 346,200,000 113,700,000 111,700,000 114,900,000 111,300,000 36,900,000
Shares (Diluted) 12-point trend, +862.1% 362,700,000 362,000,000 357,400,000 362,000,000 365,800,000 361,000,000 358,400,000 118,800,000 116,300,000 117,900,000 113,700,000 37,700,000
EBITDA 12-point trend, +440.7% $2.95B $2.35B $1.77B $1.58B $1.82B $1.05B $1.37B $1.20B $1.05B $945M $740M $545M
Balance Sheet 24
Annual Balance Sheet data for ISRG
Metric Trend 202520242023202220212020201920182017201620152014
Cash & Equivalents 12-point trend, +461.1% $3.37B $2.03B $2.75B $1.58B $1.29B $1.62B $1.17B $858M $648M $1.04B $715M $600M
Short-term Investments 12-point trend, +306.0% $2.57B $1.99B $2.47B $2.54B $2.91B $3.49B $2.05B $2.21B $1.31B $1.52B $845M $632M
Receivables 12-point trend, +384.7% $1.53B $1.23B $1.13B $942M $783M $646M $645M $682M $508M $430M $394M $315M
Inventory 12-point trend, +912.7% $1.84B $1.49B $1.22B $893M $587M $602M $596M $409M $241M $182M $168M $182M
Prepaid Expense 12-point trend, +477.8% $477M $385M $314M $300M $271M $268M $200M $179M $99M $83M $74M $83M
Current Assets 12-point trend, +439.7% $9.78B $7.11B $7.89B $6.25B $5.84B $6.63B $4.66B $4.33B $2.81B $3.25B $2.20B $1.81B
PP&E (Net) 12-point trend, +1279.0% $5.34B $4.65B $3.54B $2.37B $1.88B $1.58B $1.27B $812M $613M $458M $432M $387M
PP&E (Gross) 12-point trend, +1148.4% $7.62B $6.53B $5.10B $3.61B $2.85B $2.33B $1.84B $1.25B $960M $780M $699M $610M
Accum. Depreciation 12-point trend, +921.3% $2.28B $1.88B $1.56B $1.24B $969M $758M $563M $436M $347M $322M $267M $223M
Goodwill 12-point trend, +87.0% $370M $348M $349M $348M $344M $337M $307M $241M $201M $201M $201M $198M
Intangibles 12-point trend, -76.9% $17M $23M $39M $50M $70M $77M $112M $67M $26M $32M $50M $74M
Total Assets 12-point trend, +416.7% $20.46B $18.74B $15.44B $12.97B $13.55B $11.17B $9.73B $7.85B $5.78B $6.49B $4.91B $3.96B
Accounts Payable 12-point trend, +314.1% $255M $193M $189M $147M $121M $82M $124M $101M $82M $68M $53M $62M
Accrued Liabilities 4-point trend, +33.7% · · · · · · · · $170M $151M $96M $127M
Current Liabilities 12-point trend, +300.3% $2.01B $1.75B $1.66B $1.42B $1.15B $965M $1.03B $821M $663M $596M $492M $501M
Capital Leases 7-point trend, +92.0% $132M $112M $64M $70M $67M $58M $69M · · · · ·
Other Non-current Liabilities 4-point trend, -72.1% · · · · · · · · $22M $113M $96M $79M
Total Liabilities 12-point trend, +334.0% $2.52B $2.21B $2.04B $1.86B $1.60B $1.41B $1.45B $1.16B $996M $709M $588M $580M
Common Stock 12-point trend, +400000.00 $400.0K $400.0K $400.0K $400.0K $400.0K $400.0K $100.0K $100.0K $100.0K $0 $0 $0
Retained Earnings 12-point trend, +1337.7% $7.01B $6.80B $4.74B $3.50B $4.76B $3.26B $2.49B $1.52B $115M $1.57B $899M $488M
AOCI 12-point trend, +949.0% $43M $-51M $-12M $-162M $-24M $25M $12M $-13M $-16M $-9M $-10M $-5M
Stockholders' Equity 12-point trend, +427.4% $17.82B $16.43B $13.31B $11.04B $11.90B $9.73B $8.26B $6.68B $4.78B $5.78B $4.32B $3.38B
Liabilities + Equity 12-point trend, +416.7% $20.46B $18.74B $15.44B $12.97B $13.55B $11.17B $9.73B $7.85B $5.78B $6.49B $4.91B $3.96B
Shares Outstanding 12-point trend, +870.2% 355,100,000 356,600,000 352,300,000 350,000,000 357,700,000 353,100,000 347,900,000 343,400,000 112,300,000 38,800,000 37,400,000 36,600,000
Cash Flow 12
Annual Cash Flow data for ISRG
Metric Trend 202520242023202220212020201920182017201620152014
Stock-based Comp 12-point trend, +366.7% $788M $677M $593M $513M $449M $395M $336M $261M $209M $178M $168M $169M
Deferred Tax 12-point trend, +154.9% $19M $-135M $-281M $-185M $-64M $58M $-6M $34M $60M $21M $5M $-35M
Amort. of Intangibles 12-point trend, -41.1% $13M $17M $20M $28M $27M $50M $43M $14M $13M $18M $24M $22M
Operating Cash Flow 12-point trend, +355.6% $3.03B $2.42B $1.81B $1.49B $2.09B $1.48B $1.60B $1.17B $1.14B $1.09B $806M $665M
CapEx 12-point trend, +411.2% $540M $1.11B $1.06B $532M $340M $342M $426M $187M $191M $54M $81M $106M
Investing Cash Flow 12-point trend, +532.6% $666M $-3.27B $-360M $1.37B $-2.46B $-941M $-1.15B $-1.05B $379M $-1.28B $-850M $-154M
Stock Repurchased 12-point trend, +129.5% $2.30B $0 $416M $2.61B $0 $134M $270M $0 $2.27B $42M $184M $1.00B
Net Stock Activity 12-point trend, -129.5% $-2.30B $0 $-416M $-2.61B $0 $-134M $-270M $0 $-2.27B $-42M $-184M $-1.00B
Financing Cash Flow 12-point trend, -241.4% $-2.36B $151M $-288M $-2.57B $43M $-86M $-168M $126M $-1.91B $514M $159M $-692M
Net Change in Cash 12-point trend, +839.8% $1.34B $-708M $1.17B $295M $-332M $456M $273M $246M $-388M $322M $114M $-182M
Taxes Paid $538M · · · · · · · · · · ·
Free Cash Flow 12-point trend, +345.2% $2.49B $1.30B $750M $958M $1.74B $1.14B $1.17B $982M $953M $989M $691M $560M
Profitability 8
Annual Profitability data for ISRG
Metric Trend 202520242023202220212020201920182017201620152014
Gross Margin 12-point trend, -0.5% 66.0% 67.5% 66.4% 67.4% 69.3% 65.6% 69.5% 69.9% 70.1% 69.9% 66.2% 66.3%
Operating Margin 12-point trend, +14.5% 29.3% 28.1% 24.8% 25.4% 31.9% 24.1% 30.7% 32.2% 33.7% 34.9% 31.0% 25.6%
Net Margin 12-point trend, +44.4% 28.4% 27.8% 25.2% 21.2% 29.8% 24.3% 30.8% 30.3% 21.1% 27.2% 24.7% 19.7%
Pretax Margin 12-point trend, +27.8% 32.9% 32.0% 27.5% 25.8% 33.1% 27.7% 33.5% 34.4% 35.0% 36.3% 31.8% 25.8%
EBITDA Margin 12-point trend, +14.5% 29.3% 28.1% 24.8% 25.4% 31.9% 24.1% 30.7% 32.2% 33.7% 34.9% 31.0% 25.6%
ROA 12-point trend, +37.6% 14.6% 13.6% 12.7% 10.0% 13.8% 10.2% 15.7% 16.6% 10.8% 12.9% 13.3% 10.6%
ROE 12-point trend, +37.0% 16.7% 15.6% 14.8% 11.5% 15.8% 11.8% 18.5% 19.7% 12.6% 14.6% 15.3% 12.2%
ROIC 12-point trend, +16.7% 14.4% 12.5% 12.3% 11.9% 14.0% 9.5% 15.3% 15.8% 13.4% 12.3% 13.3% 12.3%
Liquidity & Solvency 2
Annual Liquidity & Solvency data for ISRG
Metric Trend 202520242023202220212020201920182017201620152014
Current Ratio 12-point trend, +32.3% 4.9 4.1 4.8 4.4 5.1 6.9 4.5 5.3 4.0 5.4 4.5 3.7
Quick Ratio 12-point trend, +20.5% 3.7 3.0 3.8 3.6 4.3 6.0 3.8 4.6 3.5 5.0 4.0 3.1
Efficiency 3
Annual Efficiency data for ISRG
Metric Trend 202520242023202220212020201920182017201620152014
Asset Turnover 12-point trend, -4.7% 0.5 0.5 0.5 0.5 0.5 0.4 0.5 0.5 0.5 0.5 0.5 0.5
Inventory Turnover 12-point trend, -48.2% 2.1 2.0 2.3 2.7 2.9 2.5 2.7 3.4 4.4 4.7 4.6 4.0
Receivables Turnover 12-point trend, +5.7% 7.3 7.1 6.9 7.2 8.0 6.8 6.7 6.3 6.6 6.6 6.7 6.9
Per Share 5
Annual Per Share data for ISRG
Metric Trend 202520242023202220212020201920182017201620152014
Book Value / Share 12-point trend, -45.6% $50.19 $46.08 $37.77 $31.55 $33.27 $82.68 $71.24 $58.33 $42.08 $148.91 $115.49 $92.33
Revenue / Share 12-point trend, -50.9% $27.75 $23.07 $19.93 $17.19 $15.61 $36.23 $37.48 $31.35 $26.90 $68.81 $62.91 $56.54
Cash Flow / Share 12-point trend, -52.6% $8.36 $6.67 $5.08 $4.12 $5.71 $12.34 $13.37 $9.85 $9.84 $26.54 $20.37 $17.64
Cash / Share 12-point trend, -42.2% $9.48 $5.69 $7.81 $4.52 $3.61 $13.79 $10.07 $7.49 $5.77 $26.72 $19.11 $16.40
EPS (TTM) 12-point trend, -29.2% $7.87 $6.42 $5.03 $3.65 $4.66 $2.94 $3.85 $9.49 $5.77 $6.26 $5.18 $11.11
Growth Rates 9
Annual Growth Rates data for ISRG
Metric Trend 202520242023202220212020201920182017201620152014
Revenue YoY 5-point trend, -33.9% 20.5% 17.2% 14.5% 9.0% 31.0% · · · · · · ·
Revenue CAGR 3Y 3-point trend, -2.3% 17.4% 13.5% 17.8% · · · · · · · · ·
Revenue CAGR 5Y 18.2% · · · · · · · · · · ·
EPS YoY 5-point trend, -61.4% 22.6% 27.6% 37.8% -21.7% 58.5% · · · · · · ·
EPS CAGR 3Y 3-point trend, +48.9% 29.2% 11.3% 19.6% · · · · · · · · ·
EPS CAGR 5Y 21.8% · · · · · · · · · · ·
Net Income YoY 5-point trend, -62.2% 23.0% 29.2% 36.0% -22.4% 60.7% · · · · · · ·
Net Income CAGR 3Y 3-point trend, +52.1% 29.3% 10.9% 19.2% · · · · · · · · ·
Net Income CAGR 5Y 21.9% · · · · · · · · · · ·
Valuation (TTM) 10
Annual Valuation (TTM) data for ISRG
Metric Trend 202520242023202220212020201920182017201620152014
Revenue TTM 12-point trend, +372.1% $10.06B $8.35B $7.12B $6.22B $5.71B $4.36B $4.48B $3.72B $3.14B $2.71B $2.38B $2.13B
Net Income TTM 12-point trend, +581.9% $2.86B $2.32B $1.80B $1.32B $1.70B $1.06B $1.38B $1.13B $671M $738M $589M $419M
Market Cap 12-point trend, +9249.7% $201.11B $186.13B $118.85B $92.87B $128.52B $32.10B $22.86B $18.28B $13.66B $2.73B $2.27B $2.15B
P/E 12-point trend, +1260.4% 72.0 81.3 67.1 72.7 77.1 92.8 51.2 16.8 21.1 11.3 11.7 5.3
P/S 12-point trend, +1880.2% 20.0 22.3 16.7 14.9 22.5 7.4 5.1 4.9 4.4 1.0 1.0 1.0
P/B 12-point trend, +1672.7% 11.3 11.3 8.9 8.4 10.8 3.3 2.8 2.7 2.9 0.5 0.5 0.6
P / Tangible Book 6-point trend, +234.8% 11.5 11.6 9.2 8.7 11.2 3.4 · · · · · ·
P / Cash Flow 12-point trend, +1952.0% 66.4 77.1 65.5 62.3 61.5 21.6 14.3 15.6 11.9 2.6 2.9 3.2
P / FCF 12-point trend, +2000.3% 80.7 142.8 158.6 96.9 74.0 28.1 19.5 18.6 14.3 2.8 3.3 3.8
Earnings Yield 12-point trend, -92.6% 1.4% 1.2% 1.5% 1.4% 1.3% 1.1% 1.9% 5.9% 4.7% 8.9% 8.5% 18.9%

Financial Statements Income statement, balance sheet, cash flow — annual, last 5 years

Income Statement
2025-12-312024-12-312023-12-312022-12-312021-12-31
Revenue $10.06B$8.35B$7.12B$6.22B$5.71B
Gross Margin % 66.0%67.5%66.4%67.4%69.3%
Operating Margin % 29.3%28.1%24.8%25.4%31.9%
Net Income $2.86B$2.32B$1.80B$1.32B$1.70B
Diluted EPS $7.87$6.42$5.03$3.65$4.66
Balance Sheet
2025-12-312024-12-312023-12-312022-12-312021-12-31
Current Ratio 4.94.14.84.45.1
Quick Ratio 3.73.03.83.64.3
Cash Flow
2025-12-312024-12-312023-12-312022-12-312021-12-31
Free Cash Flow $2.49B$1.30B$750M$958M$1.74B

ISRG AI Analyst Panel — Bullish and Bearish Views 2026Q2 debate: Claude, Grok, Gemini, ChatGPT on the stock's prospects

Round 1 — Opening Takes

Grok NEUTRAL 0.75
↑ Bullish

I see the strongest bull case for ISRG as its razor-and-blade model fueling endless profits from a growing installed base of da Vinci systems worldwide. The 28.58% net margin means Intuitive converts nearly a third of sales straight to bottom-line profit, far above peers, thanks to recurring instrument revenue. Debt-to-equity sits at 0.0, giving the company a rock-solid balance sheet to fund R&D without leverage risk. EPS TTM has climbed to 7.56, up from 7.17 last quarter, signaling procedure volume acceleration into 2026.

↓ Bearish

The bear case breaks if robotic surgery hype fades amid competition or reimbursement cuts, exposing that sky-high valuation. P/E TTM at 73x towers over peers like SYK's 40x, meaning the market prices in perfection with no room for growth slowdowns. Recent price action shows a sharp drop to $512 close after touching $545, with volume spiking to 8.6 million shares, hinting at profit-taking. ETF outflows including ISRG signal institutional caution.

Claude NEUTRAL 0.68
↑ Bullish

Intuitive Surgical owns the surgical robotics market with near-monopoly economics and a moat that's only widening. The company is printing cash with zero debt, a 66% gross margin, and a 29% net margin that most medical device peers can't touch. Yes, the stock trades at 73 times trailing earnings — well above peers like Stryker at 40x or Abbott at 26x — but that multiple reflects a business that converts 16% of shareholder equity into profit year after year while growing installed base faster than competitors can react. The installed base compounds, procedure volume follows, and pricing power stays intact.

↓ Bearish

This valuation leaves almost no room for disappointment, and robotics adoption curves flatten eventually. At 73x earnings, ISRG is pricing in flawless execution for years — any miss on procedure growth, margin compression from competition, or slower international expansion triggers a sharp multiple contraction. The current ratio dropped from 5.6 to 4.97 in one quarter, signaling cash burn or capital deployment that warrants watching. Peers like Stryker and Zimmer are investing heavily in competing platforms; if adoption slows or pricing pressure emerges, ISRG's premium multiple has nowhere to hide.

Gemini NEUTRAL 0.80
↑ Bullish

Intuitive Surgical dominates the robotic surgery market with an unassailable competitive moat that allows for massive, recurring profitability. The company maintains a gross margin of 66.38%. This indicates that for every dollar of revenue, they retain over sixty-six cents after direct production costs, reflecting immense pricing power in the medical device space. Furthermore, with a debt-to-equity ratio of zero, they operate with a pristine balance sheet. This means the company is entirely self-funded and faces no interest rate risk, providing the financial flexibility to aggressively reinvest in their next-generation surgical platforms while competitors struggle with leverage.

↓ Bearish

The valuation has simply become too detached from the underlying growth trajectory to justify a new position at these levels. Investors are currently paying a P/E ratio of 73.09. This implies the market expects near-perfect execution for years to come, leaving absolutely no room for even minor earnings misses or clinical setbacks. Additionally, the P/S ratio sits at 20.89. This high multiple means the stock is priced for hyper-growth that is increasingly difficult to sustain as they reach market saturation, making the current share price highly vulnerable to a multiple compression if growth rates normalize toward industry averages.

Chatgpt NEUTRAL 0.62
↑ Bullish

I think ISRG's edge lies in a durable robotic platform and a high-margin service ecosystem. ROE TTM: 16.06%. That level signals ISRG uses equity efficiently and can sustain earnings growth. Gross margin TTM: 66.38%. That margin suggests pricing power and strong fixed-cost absorption in their device ecosystem. Debt/Equity: 0.0. A debt-free balance sheet gives optionality to fund R&D, expansion, or buybacks.

↓ Bearish

I think ISRG is richly priced relative to growth risk, which could unwind. P/E TTM: 73.0905. That lofty multiple prices in aggressive growth unless the growth trajectory stays flawless. P/S TTM: 20.8877. A high sales multiple means the stock relies on top-line expansion for returns; any slowdown hits multiple. P/B (annual): 11.3128. A double-digit price-to-book suggests over-optimism about asset-like value; if profitability stalls, the stock could revert.

Round 2 — Responses & Rebuttals

Grok

Claude, your point about the current ratio dropping from 5.6 to 4.97 signaling cash burn overlooks the balance sheet strength. At 4.97, it still means short-term assets cover liabilities nearly five times over, giving ISRG ample liquidity to fund da Vinci expansions or R&D without strain. With debt-to-equity at zero, this dip likely reflects smart capital deployment, not distress.

Claude

I think Grok is reading the price action wrong. Yes, we saw a drop to $512 and volume spike to 8.6 million, but that happened in early July after the stock had already run from $508 to $544 in the prior three weeks. That's not profit-taking on a trend — that's normal weekly chop in a $200 billion stock. The real tell is EPS climbing to 7.56 from 7.17 quarter-over-quarter. That 5% beat matters because it shows procedure volume is actually accelerating, not stalling. ETF flows are noise compared to earnings momentum.

Gemini ⇄ Mind changed

Grok, your point about the institutional caution signaled by recent ETF outflows is a critical piece of the puzzle that I overlooked in my initial assessment. When you look at the volume spike to 8.6 million shares during the recent pullback, it suggests that the smart money is actively rebalancing away from this premium valuation. That volume represents a significant shift in ownership dynamics. If institutional support wanes, the stock's 73 times earnings multiple becomes extremely fragile, as there are fewer buyers left to justify such an aggressive price for a medical device company.

Chatgpt

Claude, your moat argument is compelling, but a 73x trailing P/E leaves ISRG vulnerable if growth or margins slow. That level implies the market expects years of flawless execution, so even a modest miss in procedure volumes or pricing power could trigger meaningful multiple compression. I value the debt-free stance and strong margins, but valuation discipline matters here — capital deployment flexibility won't save the stock if the growth path stalls.

Round 3 — Final Rebuttals

G
Grok

Claude, I push back on dismissing ETF flows as noise — they signal real institutional caution worth heeding. The March 25 news flagged notable outflows from ETFs including ISRG, right as volume spiked to 8.6 million shares on the drop to $512 close. That surge is well above the prior week's 5.4 million average, pointing to distribution by big holders, not random chop. At 73x earnings, this trim makes sense if procedure growth moderates, amplifying downside risk.

C
Claude

I want to push back on something nobody's challenged yet: Gemini, you said institutional support waning makes the 73x multiple fragile, but you're reading the ETF outflow as smart money rebalancing away. I'd flip that. A $200 billion surgical robotics monopoly with 66% gross margins and zero debt doesn't get sold by institutions because of valuation — it gets trimmed for portfolio rebalancing or sector rotation. The real risk isn't that institutions lose faith; it's that procedure growth actually does slow as the installed base matures. EPS climbed 5% quarter-over-quarter, but I need to see if that's from volume or just pricing. If international adoption is already plateauing and U.S. procedures are normalizing post-pandemic, then 73x earnings isn't fragile because of flows — it's fragile because the growth narrative itself is cracking. That's the bear case worth taking seriously.

G
Gemini

I want to challenge Claude’s dismissal of institutional flows. Claude, you called ETF outflows noise, but when you look at the recent 8.6 million share volume spike, you are ignoring the technical reality of how large-cap stocks rotate. Institutional investors are currently shifting capital toward value-oriented healthcare plays as the interest rate cycle stabilizes. This rotation out of high-multiple growth names is a real macro headwind for Intuitive. Even with a perfect balance sheet, the stock is trading at 73 times earnings, which is a valuation that requires constant, heavy institutional buying to maintain momentum.

C
Chatgpt

Claude, your moat claim is compelling, but the valuation is a major guardrail. The stock trades at a trailing P/E of 73x. That means the market is pricing in flawless execution for years, leaving little cushion for any step back in procedure growth or pricing power. Even with a dominant installed base, any hiccup could trigger meaningful multiple compression. If regulatory or reimbursement headwinds arise, the premium is particularly vulnerable.

Price Forecasts

Model 3M Target 6M Target Reasoning
G Grok 3M Target $525.00 6M Target $545.00 Reasoning I think ISRG's da Vinci monopoly drives modest upside as procedure growth sustains premium pricing power amid watchful institutions. The key catalyst is the Q2 2026 earnings release in late July, where EPS beating 7.56 on 15%+ procedure volume accelerates the bull case. One big risk is a Stryker robotics platform gaining FDA clearance, eroding the moat narrative. My 6-month $545 target implies a 72x P/E on current EPS, meaning the market still bets on 16% ROE fueling expansion without leverage, but any slowdown caps it there.
C Claude 3M Target $520.00 6M Target $545.00 Reasoning My thesis: ISRG's moat is real, but the 73x P/E multiple is the constraint, not the installed base. The stock re-rates on proof that procedure volume growth is holding, not decelerating. Catalyst: 2026Q2 earnings in late July will show whether the 5% EPS beat from Q1 reflects durable volume acceleration or one-quarter noise. If procedure volumes stay above 8% year-over-year growth, the multiple holds and the stock drifts toward $545 by year-end. Risk: international adoption plateaus faster than expected, forcing management to guide down procedure growth, triggering 15–20% multiple compression to 60x earnings. At 73x, the market is pricing in flawless execution with zero margin for error. Current price $514.59 leaves room for modest upside if execution holds, but downside is asymmetric if growth cracks.
G Gemini 3M Target $505.00 6M Target $485.00 Reasoning My thesis is that the stock will face a period of multiple contraction as investors rotate out of high-premium growth stocks into more defensive healthcare names. The primary catalyst for a downside move will be the next earnings report, where any deceleration in procedure volume growth will force analysts to slash their lofty expectations. Conversely, the biggest risk to my bearish outlook is a major breakthrough in international market penetration that reignites top-line acceleration. Intuitive currently trades at a P/E of 73.09. This extreme multiple means the market is paying for years of flawless future performance, leaving the share price highly susceptible to even minor disappointments in quarterly execution.
C Chatgpt 3M Target $525.00 6M Target $550.00 Reasoning I think ISRG can drift higher in the near term, but the lofty valuation will cap upside. The key catalyst is the upcoming quarterly earnings print showing continued da Vinci procedure growth and stable margins. The risk is slower-than-expected adoption or reimbursement headwinds that could curb growth and invite multiple compression. The P/E 73 implies the market is pricing near-perfect execution; a miss would trigger meaningful multiple compression. That said, the balance sheet strength and high gross margins provide a buffer if the cycle turns.

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