Intuitive Surgical, Inc. (ISRG) closed at $306.90 in the latest trading session, marking a +1.03% move from the prior day. This move lagged the S&P 500's daily gain of 1.31%. Meanwhile, the Dow gained 1%, and the Nasdaq, a tech-heavy index, lost 4.19%.
Coming into today, shares of the company had gained 2.65% in the past month. In that same time, the Medical sector lost 3.67%, while the S&P 500 gained 2.12%.
Wall Street will be looking for positivity from Intuitive Surgical, Inc. as it approaches its next earnings report date. In that report, analysts expect Intuitive Surgical, Inc. to post earnings of $1.32 per share. This would mark year-over-year growth of 15.79%. Our most recent consensus estimate is calling for quarterly revenue of $1.73 billion, up 13.71% from the year-ago period.
Looking at the full year, our Zacks Consensus Estimates suggest analysts are expecting earnings of $5.46 per share and revenue of $7.11 billion. These totals would mark changes of +16.67% and +14.31%, respectively, from last year.
Any recent changes to analyst estimates for Intuitive Surgical, Inc. should also be noted by investors. These recent revisions tend to reflect the evolving nature of short-term business trends. As a result, we can interpret positive estimate revisions as a good sign for the company's business outlook.
Research indicates that these estimate revisions are directly correlated with near-term share price momentum. We developed the Zacks Rank to capitalize on this phenomenon. Our system takes these estimate changes into account and delivers a clear, actionable rating model.
The Zacks Rank system ranges from #1 (Strong Buy) to #5 (Strong Sell). It has a remarkable, outside-audited track record of success, with #1 stocks delivering an average annual return of +25% since 1988. Over the past month, the Zacks Consensus EPS estimate has moved 0.73% lower. Intuitive Surgical, Inc. currently has a Zacks Rank of #3 (Hold).
Looking at its valuation, Intuitive Surgical, Inc. is holding a Forward P/E ratio of 55.6. Its industry sports an average Forward P/E of 26.24, so we one might conclude that Intuitive Surgical, Inc. is trading at a premium comparatively.
Also, we should mention that ISRG has a PEG ratio of 4.28. This metric is used similarly to the famous P/E ratio, but the PEG ratio also takes into account the stock's expected earnings growth rate. The Medical - Instruments was holding an average PEG ratio of 2.48 at yesterday's closing price.
The Medical - Instruments industry is part of the Medical sector. This group has a Zacks Industry Rank of 118, putting it in the top 47% of all 250+ industries.
The Zacks Industry Rank gauges the strength of our individual industry groups by measuring the average Zacks Rank of the individual stocks within the groups. Our research shows that the top 50% rated industries outperform the bottom half by a factor of 2 to 1.
Make sure to utilize Zacks.com to follow all of these stock-moving metrics, and more, in the coming trading sessions.
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