Intuitive Surgical price target raised to $571 from $566 at BTIG

Investing.com - BTIG raised its price target on Intuitive Surgical (NASDAQ:ISRG) to $571 from $566 while maintaining a Buy rating following the company’s second-quarter 2025 results. The surgical robotics giant, currently valued at $183 billion, trades at a premium valuation according to InvestingPro analysis.

Intuitive Surgical reported revenue of $2.44 billion, representing 21.0% year-over-year growth, and adjusted earnings per share of $2.19. These results exceeded BTIG’s estimates of $2.356 billion in revenue and $1.88 in adjusted EPS. The company maintains excellent financial health with an InvestingPro Overall Score of 3.1 (GREAT), supported by an impressive 67% gross profit margin.

Procedure growth outpaced Street expectations by approximately 110 basis points, although systems placements fell short by 6 units. This marks the second consecutive quarter where placements have missed expectations, but system average selling prices remain strong. The company maintains robust profitability metrics, with a 14.2% return on assets and 16% return on equity.

The Da Vinci (EPA:SGEF) 5 (Dv5) surgical system is now in broader launch in the United States, with expansion continuing in European and Japanese markets. BTIG noted that Da Vinci 5 utilization is now higher than the Xi model, which the firm believes "foreshadows favorable dynamics." For deeper insights into Intuitive Surgical’s growth trajectory and comprehensive valuation analysis, access the full Pro Research Report available on InvestingPro, which covers 1,400+ top stocks.

Despite Intuitive Surgical’s cautious tone regarding macro dynamics such as trade issues and Medicaid cuts, BTIG expressed confidence in continued favorable procedure trends, growing utilization, and higher instruments and accessories revenue per procedure following the launch of Force Feedback technology. The company’s revenue continues to show strong momentum, with a 19% year-over-year growth rate.

In other recent news, Intuitive Surgical reported robust financial results for the second quarter of 2025, significantly surpassing analysts’ expectations. The company achieved earnings per share of $2.19, outperforming the projected $1.93, and revenue reached $2.44 billion, exceeding the anticipated $2.35 billion. Piper Sandler responded to this strong performance by raising its price target for Intuitive Surgical to $595, maintaining an Overweight rating due to the company’s impressive operating margin of 38.8%. Similarly, Baird increased its price target to $600, citing accelerating revenue and earnings per share growth of 21% and 23% respectively across all business segments. Both firms acknowledged the company’s strong quarterly performance, with Baird maintaining an Outperform rating. These developments highlight Intuitive Surgical’s continued growth and strong market presence.

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