Bernstein Raises PT on Intuitive Surgical, Inc. (ISRG) to $685; Maintains 'Outperform' Rating

With a year-to-date decline in share price, along with strong hedge fund interest, Intuitive Surgical, Inc. (NASDAQ:ISRG) secures a place on our list of the 11 Best Rebound Stocks to Buy According to Hedge Funds.

Following the company’s da Vinci 5 surgical system’s entry into the broad U.S. launch phase, Bernstein raised its price target on Intuitive Surgical, Inc. (NASDAQ:ISRG) to $685 from $675 on July 23, 2025, maintaining an ‘Outperform’ rating.

This price revision follows robust second-quarter results, where Intuitive Surgical, Inc. (NASDAQ:ISRG) recorded 21% revenue growth and a 23% EPS surge. Revenue reached $2.44 billion, while adjusted EPS climbed to $2.19, both exceeding consensus estimates.

Furthermore, global da Vinci procedures recorded a 17% growth, while system placements increased by 147 units in the previous quarter to 180 units in Q2. Gross and operating margins also surpassed consensus by 160 and 400 basis points, respectively. Meanwhile, recent regulatory approvals in Japan and Europe helped Intuitive Surgical, Inc. (NASDAQ:ISRG) raise its 2025 procedure and gross margin guidance, justifying Bernstein’s bullish stance.

Intuitive Surgical, Inc. (NASDAQ:ISRG) offers products that help healthcare providers improve minimally invasive care quality. It is included in our list of the Best Rebound Stocks To Buy.

While we acknowledge the potential of ISRG as an investment, we believe certain AI stocks offer greater upside potential and carry less downside risk. If you're looking for an extremely undervalued AI stock that also stands to benefit significantly from Trump-era tariffs and the onshoring trend, see our free report on the best short-term AI stock.

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