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Investing.com - Evercore ISI has raised its price target on Intuitive Surgical (NASDAQ:ISRG) to $540.00 from $450.00 while maintaining an "In Line" rating on the stock. The medical technology giant, currently trading at $462.74 with a market capitalization of $166 billion, has received mixed signals from analysts, with price targets ranging from $350 to $685.
The firm cited Intuitive Surgical’s strong performance, noting the company beat expectations "across the board" with acceleration in system placements, procedures, and utilization. According to InvestingPro data, the company’s robust performance is reflected in its impressive 20.77% revenue growth and an overall financial health score of "GREAT."
Evercore ISI increased its revenue estimates for fiscal years 2025 and 2026 by 120-150 basis points, while earnings per share estimates were raised by approximately 400 basis points.
The new $540 price target represents approximately 55 times price-to-earnings ratio excluding stock-based compensation, or about 71 times including stock-based compensation expenses.
Evercore ISI noted that procedure growth comparisons will become more challenging starting in the fourth quarter, and questioned how much of the recent procedure beat was driven by one-time factors versus underlying acceleration.
In other recent news, Intuitive Surgical has reported quarterly results that exceeded expectations, with sales surpassing estimates by 3.8% and earnings per share outperforming forecasts by 13.7%. Additionally, the company received U.S. Food and Drug Administration clearance for AI enhancements to its Ion lung biopsy system, which introduces artificial intelligence into the navigational workflow and integrates advanced imaging capabilities. Following these developments, RBC Capital raised its price target for Intuitive Surgical to $615, maintaining an Outperform rating. Bernstein SocGen Group also reiterated an Outperform rating with a price target of $685, citing strong system placements and procedure volumes as positive indicators for the company. Piper Sandler reaffirmed its Overweight rating with a $595 price target after meeting with company executives. These updates reflect a period of significant activity and positive assessments from multiple analyst firms regarding Intuitive Surgical’s recent performance and future potential.
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