Latest news with #daVinci5
Yahoo
30-07-2025
- Business
- Yahoo
One Buy-Rated Stock With an Unbreakable Moat That You Can't Ignore
Intuitive Surgical (ISRG), valued at $177 billion, is a medical technology company best known for its da Vinci Surgical System. It has long held a monopoly on the robotic surgery market with the da Vinci systems, a robotic platform that helps surgeons perform minimally invasive surgeries. Its success is based on a two-decade-old ecosystem of surgeon loyalty, hospital dependency, and technological supremacy. During the same period, the stock returned more than 6,330%. With advancements in artificial intelligence (AI), Intuitive can now further develop its system, solidifying its unbreakable moat. Let us see if the stock is currently a buy. More News from Barchart Warren Buffett Warns Inflation Turns Business Into 'The Upside-Down World of Alice in Wonderland' But Weeds Out 'Bad Businesses' Why GOOGL Stock May Be the Market's Next Big Winner Alphabet Posts Lower Free Cash Flow and FCF Margins - Is GOOGL Stock Overvalued? Tired of missing midday reversals? The FREE Barchart Brief newsletter keeps you in the know. Sign up now! A Unique and Strong Business Model Intuitive's da Vinci system is an advanced robotic system that allows surgeons to operate through small incisions using robotic arms and a 3D high-definition camera, giving them greater precision, control, and vision. These minimally invasive surgeries result in fewer complications, shorter hospital stays, and faster recovery times. Intuitive's business model includes not only selling these systems but also earning recurring revenue from sales of system-related instruments and accessories, as well as surgeon training programs. In the most recent second quarter, global da Vinci procedures increased 17% year over year. The company installed 395 da Vinci systems in Q2, including 180 da Vinci 5 systems, its fifth-generation robotic system, which the company launched in 2024. Total revenue increased by 21% to $2.44 billion, with adjusted earnings up 23% to $2.19 per share. Despite an increase in the average selling price (ASP) of da Vinci systems from $1.44 million to $1.5 million, systems revenue increased by 28% due to increased placements and demand for the company's latest da Vinci platforms. This reveals that hospitals are prioritizing investments in Intuitive's cutting-edge surgical platforms, despite broader capital expenditure constraints in some global markets. Additionally, instruments and accessories revenue also rose by 18% YoY to $1.47 billion. One standout performer in the quarter was the SP (Single Port) platform, which grew procedures by 88% year on year. It is used in confined anatomical spaces and complex cases such as colorectal or head and neck surgeries, where traditional multiport robotic systems may fail to function. In the second quarter, Intuitive placed 23 SP systems. Additionally, the Ion system, Intuitive's robotic-assisted platform for minimally invasive lung biopsies, saw a 52% increase in procedures to 35,000, with an installed base of 905 systems. Despite macroeconomic uncertainty and rising trade tensions, gross margins remained at 67.9%. The company repurchased $181 million worth of shares and spent $155 million in capex, yet grew its cash reserves to $9.5 billion. Looking ahead, the company intends to launch da Vinci 5 globally. Intuitive is well-positioned to execute, with a healthy balance sheet, recurring revenue model, and strong free cash flow. The Unbreakable Moat Intuitive has a two-decade headstart in the field of robotic surgery. According to GlobalData, Intuitive held 60% of the global robotic surgery market in 2024. This market, which was valued at $2.9 billion in 2024, is expected to reach $9.2 billion by 2034. Intuitive has installed over 11,000 da Vinci systems across 74 countries. Bringing a robotic system to market requires years of research and development, surgeon partnerships, billions of dollars, and regulatory hurdles. Even if a new entrant or an established player attempts to enter this space, they must show clinical efficacy, safety, and training scalability at a level that matches Intuitive. Rivals with deep pockets have developed alternatives. Notably, Medtronic (MDT) with its Hugo system, Johnson & Johnson (JNJ) with its Ottava surgical system, and Stryker (SYK) with its Mako system have all attempted but failed to gain market share. This is due in part to hospitals and surgeons being locked into the da Vinci ecosystem, where they have invested a significant amount of money to purchase these systems and train their surgeons. Once trained, switching platforms is costly and risky. That's what makes the moat so unbreakable. Besides the da Vinci, Intuitive has expanded its reach into pulmonology, colorectal, thoracic, and head-and-neck surgeries with Ion, SP, and staplers, creating a diversified model. Overall, Intuitive is a growth stock with decades of innovation, operational excellence, and a moat based on technological superiority and clinical outcomes that competitors will find difficult to replicate. Is ISRG Stock a Buy, Hold, or Sell on Wall Street? On Wall Street, overall, Intuitive stock is a 'Moderate Buy.' Out of the 28 analysts that cover the stock, 18 rate it a 'Strong Buy,' two suggest a 'Moderate Buy,' seven rate it a 'Hold,' and one says it is a 'Strong Sell.' The average target price of $602.96 is 21% above current levels. The high price estimate of $675 implies 36% upside over the next 12 months. Despite its unbreakable moat and excellent long-term growth prospects in the robotic surgery market, ISRG stock is currently trading at a premium of 60x forward earnings. Risk-averse investors can start accumulating shares around the $400 level to invest with a margin of safety. On the date of publication, Sushree Mohanty did not have (either directly or indirectly) positions in any of the securities mentioned in this article. All information and data in this article is solely for informational purposes. This article was originally published on Error in retrieving data Sign in to access your portfolio Error in retrieving data Error in retrieving data Error in retrieving data Error in retrieving data
Yahoo
09-07-2025
- Business
- Yahoo
Intuitive Surgical's Da Vinci 5 System Receives CE Mark, Expands Advanced Robotic Surgery Access Across Europe
Intuitive Surgical Inc. (NASDAQ:ISRG) is one of the best US stocks to buy and hold in 2025. On July 2, Intuitive Surgical announced that its latest da Vinci 5 Surgical System received CE mark approval. This regulatory milestone enables the system's use across adult and pediatric patients in Europe for a spectrum of minimally invasive endoscopic procedures, such as abdominopelvic and thoracoscopic surgeries in urology, gynecology, and general laparoscopy. The da Vinci 5 introduces 50+ enhancements on the foundational da Vinci Xi Surgical System. Key innovations include first-of-its-kind Force Feedback-enabled technology, which allows surgeons to sense pressure and tension during operations. It also features Intuitive's most realistic 3D vision system to date. The system supports 10,000x more computing power than previous models. There's also greater surgeon autonomy through integrated components controlled at the fingertips, a universal user interface for care teams, and dynamic assistance to automate select tasks. A medical team performing minimally invasive surgery with a da Vinci Surgical System. In 2024, the US FDA had already granted 510(k) clearance for the da Vinci 5 Surgical System for use in urology, general, gynecology, and thoracic procedures in adults. In 2024, surgeons performed 410,000+ procedures in Europe using da Vinci systems, contributing to ~17 million procedures performed worldwide to date with Intuitive's technology. Intuitive Surgical Inc. (NASDAQ:ISRG) develops, manufactures, and markets products that enable physicians and healthcare providers to enhance the quality of and access to minimally invasive care. While we acknowledge the potential of ISRG as an investment, we believe certain AI stocks offer greater upside potential and carry less downside risk. If you're looking for an extremely undervalued AI stock that also stands to benefit significantly from Trump-era tariffs and the onshoring trend, see our free report on the . READ NEXT: and . Disclosure: None. This article is originally published at Insider Monkey.
Yahoo
08-07-2025
- Business
- Yahoo
ISRG Expands Installed Base, But Is Utilization Keeping Pace?
Intuitive Surgical ISRG continues to expand its global dominance in robotic-assisted surgery with a 15% year-over-year increase in da Vinci system installations, bringing its global installed base to more than 10,000 units. In the first quarter of 2025, the company placed 367 da Vinci systems — including 147 of the next-gen da Vinci 5 — amid strong U.S. demand. However, installations outside the country remained unchanged year over year, reflecting healthcare budget constraints in markets like Germany, Japan and the United Kingdom. While Intuitive Surgical's recurring revenues, now 85% of the total revenues, remain robust, a critical metric — utilization — reveals a key tension. Overall, procedures grew 17% year over year, yet average system utilization rose just 2% across the multiport platforms. SP and Ion platforms posted stronger utilization increases of 26% and 5% respectively, supported by focused adoption strategies and new clearances. The limited growth in core platform utilization raises questions about the ROI of hospitals post-installation, particularly in constrained capital environments. Management acknowledged this dynamic, noting efforts to drive training, site enablement, and digital adoption to boost throughput. Additionally, da Vinci 5's Force Feedback and case insight tools, though early in rollout, are beginning to demonstrate measurable value in clinical outcomes and surgeon proficiency. ISRG's installed base expansion remains strong, especially in the United States. However, modest system utilization growth suggests that procedural ramp-up may lag deployments in some markets. Long-term growth will require more than system placements; it hinges on improving per-system productivity, proving clinical differentiation, and navigating financial headwinds that may shift hospital ROI expectations. Stryker SYK reported record-breaking Mako installations in the first quarter of 2025, both in the United States and globally, driven by sustained momentum in orthopedics and increased procedural demand. The new Mako 4 SmartRobotics system, launched this year, features a smaller OR footprint and improved integration with its latest Q Guidance system, streamlining setup and intraoperative workflows. Management cited high utilization rates for installed units globally, particularly in knee and hip procedures, where Mako continues to drive share gains. The company also noted progress toward launching Mako Spine later in 2025 and Mako Shoulder in early 2026, expanding its robotic footprint across specialties. With a strong capital order book and robust procedural volume, Stryker expects the Mako franchise to be a key contributor to its 8.5-9.5% organic growth target. Zimmer Biomet's ZBH ROSA robotics platform saw ongoing adoption in knee procedures, but results were more muted. While ROSA volume-based placements contributed to a mix shift versus outright sales, ROSA was mentioned as central to ZBH's robotic strategy in 2025. The company emphasized the growing uptake of cementless knee and hip implants, including the Oxford Partial Cementless Knee, which complements robotic workflows. Though specific ROSA installation figures weren't disclosed, the system remains integral to ZBH's ASC and digitization strategy. Management cited increased commercial focus and expanded surgical capabilities as key growth drivers, but acknowledged tariffs and ongoing pressure on operating margins as near-term headwinds. Shares of ISRG have gained 2.4% in the year-to-date period against the industry's decline of 7.7%. Image Source: Zacks Investment Research From a valuation standpoint, Intuitive Surgical trades at a forward price-to-earnings ratio of 64.35, above the industry average. But, it is still lower than its five-year median of 72.21. ISRG carries a Value Score of D. Image Source: Zacks Investment Research The Zacks Consensus Estimate for Intuitive Surgical's 2025 earnings implies a 6.8% rise from the year-ago period's level. Image Source: Zacks Investment Research The stock currently carries a Zacks Rank #2 (Buy). You can see the complete list of today's Zacks #1 Rank (Strong Buy) stocks here. Want the latest recommendations from Zacks Investment Research? Today, you can download 7 Best Stocks for the Next 30 Days. Click to get this free report Stryker Corporation (SYK) : Free Stock Analysis Report Intuitive Surgical, Inc. (ISRG) : Free Stock Analysis Report Zimmer Biomet Holdings, Inc. (ZBH) : Free Stock Analysis Report This article originally published on Zacks Investment Research ( Zacks Investment Research Sign in to access your portfolio
Globe and Mail
07-07-2025
- Business
- Globe and Mail
ISRG da Vinci 5 Gets European Nod: Will it Boost the Stock's Prospect?
Intuitive Surgical ISRG received the CE-mark for its latest surgical robot system, da Vinci 5, earlier this month. This fifth-generation system includes over 150 enhancements such as Force Feedback technology, an ergonomic surgeon console, improved 3D vision and greater computing power, aimed at improving surgical outcomes and operational efficiency. It is cleared for minimally invasive endoscopic procedures across adult and pediatric patients in specialties including urologic, gynecologic, general laparoscopic, abdominopelvic and thoracoscopic surgeries. The da Vinci 5's approval in Europe marks a major regulatory step, expanding the clinical reach of Intuitive Surgical's most advanced surgical platform to date. Building on the foundation of the da Vinci Xi Surgical System, the da Vinci 5 introduces enhanced integration, refined ergonomics, and next-generation capabilities to support surgeon precision and patient outcomes. This expansion enhances Intuitive Surgical's competitive moat in robotic-assisted surgery while aligning with hospital needs for surgical efficiency, workforce sustainability and value-based care. Several other companies, including Medtronic MDT and Stryker SYK, also commercialize surgical robots in Europe. However, intelligent computing is likely to be a key differentiator, with da Vinci 5 offering 10,000 times more processing power than earlier generations. The system integrates advanced sensors and software that deliver real-time, actionable insights to help surgeons quantify and improve their performance. This data-driven approach supports continuous improvement and performance benchmarking, particularly valuable as hospital systems seek to optimize surgical efficiency and outcomes. Favorable Industry Prospects for ISRG Per a report by Grand View Research, the surgical robots market size in Europe was estimated at $1.89 billion in 2024 and is projected to reach $3.31 billion by 2030, registering a CAGR of 10.3% from 2025 to 2030. Industry growth is driven by technological innovation, increasing investments from global and regional players, and a rise in chronic conditions and joint replacement procedures. Da Vinci 5 Shows Strong Adoption in the United States In the first quarter of 2025, the adoption of Intuitive Surgical's da Vinci 5 system in the United States demonstrated strong early momentum. Of the 367 da Vinci systems placed globally during the quarter, 147 were da Vinci 5 units, reflecting solid U.S. demand. More than 32,000 procedures were performed using da Vinci 5, showcasing broad multidisciplinary uptake. Notably, force feedback instruments — a hallmark of the latest device — were associated with significant clinical benefits, including faster bowel recovery post-nephrectomy and improved suturing proficiency among novice surgeons. Additionally, 'case insight' tools were applied in over 22,000 da Vinci 5 procedures, offering real-time analytics and performance feedback. Estimate Revision Trend of ISRG The Zacks Consensus Estimate for Intuitive Surgical for 2025 and 2026 has moved southwards by 1.6% and 3.4%, respectively, to an earnings per share of $7.84 and $9.05 over the past 90 days. The negative estimate revision reflects rising costs for the company as it continues to launch the latest da Vinci 5 in the United States and other geographies amid macro headwinds like supply constraints. ISRG's Performance in Europe Intuitive Surgical delivered solid performance in Europe during the first quarter of 2025, placing 88 earlier versions of da Vinci systems, up from 84 in the prior year. These systems have been widely used in Europe, with more than 410,000 procedures performed in 2024 alone. Despite macroeconomic pressures and constrained healthcare budgets in key markets like Germany and the United Kingdom, procedure growth remained strong, supported by increased utilization of existing systems. While capital constraints persist, Intuitive's focus on training and operational optimization continues to support robust procedural and commercial momentum. The launch of the latest da Vinci system is likely to drive adoption higher in Europe, backed by ISRG's market-leading position in the region. However, we expect ISRG to face competition from rival surgical robots. Medtronic's Hugo is reported to be 20-25% less expensive than da Vinci at some European centers, with modular arms offering greater flexibility for certain abdominal procedures. However, some users note a steeper learning curve and early software bugs in MDT's Hugo. Meanwhile, Stryker's Hugo leads in orthopedic (joint replacement) robotic surgery and is unlikely to be a direct competitor in soft tissue surgery. Price Performance of ISRG ISRG has gained 18.9% over the past three months compared with the industry 's growth of 14.3%. It has also outperformed its peers like Medtronic and Stryker over this period. While MDT has gained 7.9%, SYK has improved 17.1%. ISRG's Faces Supply and Capital Budget constraints Intuitive Surgical's near-term growth prospects may face headwinds from supply and capital budget constraints. Limited availability of force feedback instruments for the da Vinci 5 system, a key innovation, is delaying broader adoption despite demonstrated clinical benefits and strong demand. The company expects full availability only by late 2025, potentially curbing near-term procedure volume growth and revenue acceleration from premium features. Simultaneously, healthcare capital budget constraints in key markets like Germany, the U.K., and Japan are restraining system placements. Economic pressures and shifting government priorities, such as post-COVID austerity and defense spending in Europe, are prompting hospitals to delay or reprioritize investments in surgical robotics. While ISRG is promoting increased system utilization and flexible leasing models to mitigate these challenges, prolonged constraints may dampen global system expansion. Together, these factors could limit the pace of da Vinci 5's scaling and affect ISRG's ability to fully capitalize on its innovation pipeline in 2025. ISRG Stock More Expensive Than Industry Intuitive Surgical is currently trading at a forward 12-month price-to-earnings multiple of 64.32X, significantly higher than the industry average of 28.81X. However, the current valuation is lower than its five-year median of 71.52X. The company currently carries a Zacks Value Score of 'D.' ISRG: A Long-Term Buy Despite near-term cost pressures and macroeconomic headwinds, Intuitive Surgical remains a compelling long-term investment. The CE mark approval of the da Vinci 5 system opens significant revenue potential in Europe's growing $3.31 billion surgical robotics market. This next-generation platform, offering advanced computing power, force feedback, and intelligent analytics, is well-positioned to meet rising demand for minimally invasive, value-based care. Early U.S. adoption trends indicate strong clinician confidence, which is likely to be mirrored in Europe. While supply and capital constraints may temper immediate gains, ISRG's dominant market share, robust clinical backing, and strategic focus on training, utilization, and operational efficiency ensure resilience. Though the valuation appears premium, it reflects ISRG's innovation leadership and long-term growth prospects. Intuitive Surgical currently carries a Zacks Rank #2 (Buy). You can see the complete list of today's Zacks #1 Rank (Strong Buy) stocks here. Only $1 to See All Zacks' Buys and Sells We're not kidding. Several years ago, we shocked our members by offering them 30-day access to all our picks for the total sum of only $1. No obligation to spend another cent. Thousands have taken advantage of this opportunity. Thousands did not - they thought there must be a catch. Yes, we do have a reason. We want you to get acquainted with our portfolio services like Surprise Trader, Stocks Under $10, Technology Innovators, and more, that closed 256 positions with double- and triple-digit gains in 2024 alone. See Stocks Now >> Medtronic PLC (MDT): Free Stock Analysis Report Stryker Corporation (SYK): Free Stock Analysis Report Intuitive Surgical, Inc. (ISRG): Free Stock Analysis Report
Yahoo
03-07-2025
- Business
- Yahoo
Intuitive receives CE mark approval for robotic-assisted surgical system
Intuitive's multi-port robotic-assisted surgical system, da Vinci 5, has secured the CE mark approval for use in both adult and paediatric patients in Europe. This approval allows the system to be utilised for a wide range of minimally invasive endoscopic procedures across abdominopelvic and thoracoscopic procedures, including those in gynaecology, urology, and general laparoscopy. The system builds on the functional design of the da Vinci Xi Surgical System. It features over 150 improvements, contributing to the da Vinci surgical system portfolio that has been leveraged in more than 410,000 procedures in Europe last year. The system delivers improved surgical senses, including Force Feedback-enabled technology and an ergonomic surgeon console for supporting surgeon career longevity. It also streamlines workflow with a universal user interface for care teams and integrates assistance to automate chosen tasks. Additionally, the surgical system delivers actionable insights via an intelligent platform that claims to have 10,000 times more computing power, with new sensors, processors, and software. This provides surgeons with usable data aiding them to quantify, understand, and enhance their surgical performance. Intuitive CEO Dave Rosa said: 'At Intuitive, we're focused on providing healthcare systems across Europe and around the world with thoughtful innovation that solves problems today and into the future. 'After over a decade of careful development, da Vinci 5 is the most advanced and integrated platform we've ever created – designed to enable better outcomes, efficiency, and insights for the future of minimally invasive care.' Last year, da Vinci 5 was cleared by the US Food and Drug Administration for use in various surgical procedures for adults, spanning general, gynaecology, urology, and thoracic. "Intuitive receives CE mark approval for robotic-assisted surgical system" was originally created and published by Medical Device Network, a GlobalData owned brand. The information on this site has been included in good faith for general informational purposes only. It is not intended to amount to advice on which you should rely, and we give no representation, warranty or guarantee, whether express or implied as to its accuracy or completeness. You must obtain professional or specialist advice before taking, or refraining from, any action on the basis of the content on our site. Sign in to access your portfolio
