In the latest trading session, Intuitive Surgical, Inc. (ISRG) closed at $585.08, marking a -1.21% move from the previous day. This change lagged the S&P 500's 0.01% gain on the day. Elsewhere, the Dow gained 0.55%, while the tech-heavy Nasdaq lost 0.44%.
Coming into today, shares of the company had gained 6.54% in the past month. In that same time, the Medical sector gained 2.01%, while the S&P 500 gained 0.86%.
The upcoming earnings release of Intuitive Surgical, Inc. will be of great interest to investors. The company's upcoming EPS is projected at $2.25, signifying a 1.81% increase compared to the same quarter of the previous year. Alongside, our most recent consensus estimate is anticipating revenue of $2.72 billion, indicating a 12.59% upward movement from the same quarter last year.
Looking at the full year, the Zacks Consensus Estimates suggest analysts are expecting earnings of $8.65 per share and revenue of $9.92 billion. These totals would mark changes of +17.85% and 0%, respectively, from last year.
Additionally, investors should keep an eye on any recent revisions to analyst forecasts for Intuitive Surgical, Inc. Such recent modifications usually signify the changing landscape of near-term business trends. With this in mind, we can consider positive estimate revisions a sign of optimism about the business outlook.
Empirical research indicates that these revisions in estimates have a direct correlation with impending stock price performance. To benefit from this, we have developed the Zacks Rank, a proprietary model which takes these estimate changes into account and provides an actionable rating system.
The Zacks Rank system, which varies between #1 (Strong Buy) and #5 (Strong Sell), carries an impressive track record of exceeding expectations, confirmed by external audits, with stocks at #1 delivering an average annual return of +25% since 1988. Within the past 30 days, our consensus EPS projection remained stagnant. Intuitive Surgical, Inc. currently has a Zacks Rank of #2 (Buy).
Looking at valuation, Intuitive Surgical, Inc. is presently trading at a Forward P/E ratio of 61.63. For comparison, its industry has an average Forward P/E of 23.83, which means Intuitive Surgical, Inc. is trading at a premium to the group.
It's also important to note that ISRG currently trades at a PEG ratio of 3.92. The PEG ratio is akin to the commonly utilized P/E ratio, but this measure also incorporates the company's anticipated earnings growth rate. The Medical - Instruments industry had an average PEG ratio of 2.26 as trading concluded yesterday.
The Medical - Instruments industry is part of the Medical sector. At present, this industry carries a Zacks Industry Rank of 107, placing it within the top 44% of over 250 industries.
The Zacks Industry Rank assesses the vigor of our specific industry groups by computing the average Zacks Rank of the individual stocks incorporated in the groups. Our research shows that the top 50% rated industries outperform the bottom half by a factor of 2 to 1.
Don't forget to use Zacks.com to keep track of all these stock-moving metrics, and others, in the upcoming trading sessions.
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Intuitive Surgical, Inc. (ISRG): Free Stock Analysis ReportThis article originally published on Zacks Investment Research (zacks.com).
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