Intuitive Surgical’s (ISRG) story is improving. A new product was developed as an upgrade to its da Vinci Surgical System. Furthermore, the company enjoys a virtual monopoly in robotic surgery without direct competition.
The company’s razor/razor blade business model ensures recurring revenues even during difficult times. In the third quarter, earnings of $1.64 per share were higher than the Zacks Consensus Estimate of $1.45. Revenue growth was witnessed across all the segments.
However, we believe there is limited upside potential for the stock at current levels. As such, we are downgrading the stock to Neutral with a target price of $320.
Read the full analyst report on “ISRG”
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