In the latest trading session, Intuitive Surgical, Inc. (ISRG) closed at $476.16, marking a +1.34% move from the previous day. This change lagged the S&P 500's 1.52% gain on the day. On the other hand, the Dow registered a gain of 1.89%, and the technology-centric Nasdaq increased by 1.88%.
Shares of the company witnessed a loss of 3.83% over the previous month, trailing the performance of the Medical sector with its gain of 4.77%, and the S&P 500's gain of 1.1%.
The investment community will be closely monitoring the performance of Intuitive Surgical, Inc. in its forthcoming earnings report. The company is expected to report EPS of $2, up 8.7% from the prior-year quarter. Alongside, our most recent consensus estimate is anticipating revenue of $2.41 billion, indicating a 18.22% upward movement from the same quarter last year.
Regarding the entire year, the Zacks Consensus Estimates forecast earnings of $8.17 per share and revenue of $9.78 billion, indicating changes of +11.31% and +17.1%, respectively, compared to the previous year.
It's also important for investors to be aware of any recent modifications to analyst estimates for Intuitive Surgical, Inc. Such recent modifications usually signify the changing landscape of near-term business trends. Therefore, positive revisions in estimates convey analysts' confidence in the business performance and profit potential.
Research indicates that these estimate revisions are directly correlated with near-term share price momentum. Investors can capitalize on this by using the Zacks Rank. This model considers these estimate changes and provides a simple, actionable rating system.
The Zacks Rank system, ranging from #1 (Strong Buy) to #5 (Strong Sell), possesses a remarkable history of outdoing, externally audited, with #1 stocks returning an average annual gain of +25% since 1988. Over the past month, the Zacks Consensus EPS estimate has shifted 3.59% upward. Right now, Intuitive Surgical, Inc. possesses a Zacks Rank of #3 (Hold).
Investors should also note Intuitive Surgical, Inc.'s current valuation metrics, including its Forward P/E ratio of 57.51. This represents a premium compared to its industry average Forward P/E of 22.61.
Also, we should mention that ISRG has a PEG ratio of 3.94. Comparable to the widely accepted P/E ratio, the PEG ratio also accounts for the company's projected earnings growth. By the end of yesterday's trading, the Medical – Instruments industry had an average PEG ratio of 2.26.
The Medical – Instruments industry is part of the Medical sector. At present, this industry carries a Zacks Industry Rank of 153, placing it within the bottom 39% of over 250 industries.
