Intuitive Surgical, Inc.

How has the stock done?

Change in closing price from the first day shown, or with Price the closing price itself. Prices: Yahoo Finance, to Nov 12, 2026. Dashed lines: the days the company released earnings (its SEC 8-K filings); EPS estimates: Yahoo Finance. The stock's move after a release runs from the last close before its day to the close the day after (or five days after), so a release before the open counts like one after the close.

Is the business growing?

In the fiscal year to Dec 2025, Instruments and accessories was 60% and Systems was 25% of revenue.

Quarters: Intuitive Surgical, Inc.'s SEC filings, named by the month they end. Fiscal years: Intuitive Surgical, Inc.'s annual reports to the SEC.

How it makes money

Of every $100 in revenue, $28.4 ends up as net income. Net margin rose from 21.3% to 28.4% over the past 3 years.

Circled: Dec 2023 (net 31.4%, operating 23.3%). Net margin is usually about 2 points below operating margin; in that quarter something below operating income (a tax charge or benefit, a gain or loss on investments, a write-down) moved it, not the business itself.

Each margin is that line of the income statement divided by revenue. Fiscal year: Intuitive Surgical, Inc.'s annual reports to the SEC; quarters: SEC filings.

How much goes into research?

Intuitive Surgical spent $1.5B on research and development in the four quarters to Sep 2026, 12.9% of its revenue, against 13.0% a year earlier. Over the year its research spending rose 19.2% and its revenue rose 20.5%.

From Intuitive Surgical, Inc.'s SEC filings: research and development expense by quarter, the fourth being the year minus nine months; its share is the four quarters' expense over their revenue. Some companies count the research they buy, through licences and acquisitions, in this line, so it jumps in the quarter they pay; others report that on a line of its own, not shown here.

Customers and suppliers

Partners

FFosun PharmaManufactures and distributes da Vinci systems in China40% ownership of the Joint Venture, 2025

Hillrom BAXDevelops Integrated Table Motion product offering

Only the companies Intuitive Surgical names in its 10-K filed Feb 3, 2026 (SEC). Hover a name for the filing's own words.

Is it expensive?

P/E of 53.3x, above the peer median of 46.2x, so it needs earnings to keep growing to hold up.

Priced 15% above the peer median of 46.2x.

At 53.3× trailing earnings ISRG is below most of its five-year range; the five-year median is 70.2×.

Closing price over diluted earnings per share of the last four reported quarters, as known on each day (a quarter counts 35 days after it ends). From SEC filings; earnings per share adjusted for splits.

What analysts expect

The average analyst price target is $487, 11% above the current price; 76% of 34 analysts rate it a buy; earnings beat estimates in all of the last 4 quarters.

Buy or Strong Buy: 26 analysts (76%). Sell or Strong Sell: 2.

Over the past year the average of the analysts' latest price targets went from $577.00 to $522.75 (−9%), while ISRG went from $565.51 to $439.89 (−22%). In the past three months targets were raised 4 times and cut 5 times. 4 upgrades and 2 downgrades over the year; the latest: Oppenheimer moved it to Outperform from Perform on Aug 12, 2026.

The day after each of these reports the stock moved +0.1% (Dec 2025, beat); +3.9% (Mar 2026, beat); −11.2% (Jun 2026, beat); −1.2% (Sep 2026, beat).

For the quarter ending Dec 2026 (Intuitive Surgical reports on Jan 21, 2027), analysts expect adjusted earnings of $2.95 a share, 17% more than the $2.53 of a year earlier, and revenue of $3.2B, up 13% on a year earlier. For the fiscal year ending Dec 2027, they expect adjusted earnings of $12.47 a share, 11% more than the year before's estimate of $11.25, and revenue of $13.4B, up 12% on the year before's estimate.

Targets, ratings and earnings estimates: Yahoo Finance. Rating and target changes: Yahoo Finance's list of upgrades and downgrades. The average target on each day is the average of every listed firm's latest target set in the 180 days before it, so it counts fewer analysts than the average target above, and the band is the middle half of those targets (a quarter of the firms are above it, a quarter below); a target set before a stock split is divided by the split. Expected figures: the average of the analysts' estimates (Yahoo Finance). Their EPS is adjusted, as analysts estimate it, so it is set against the adjusted EPS Yahoo reports for the same quarters, not the GAAP EPS of the growth and valuation sections; revenue against the SEC filings. No change is given against a quarter whose reported EPS was more than 50% off its own estimate (often a one-off gain or charge), nor against a year that counts one. Each estimate is pinned to its fiscal period by the report date or the period's end, and one that cannot be is left out.

Where the cash goes

Generated $3.6B in free cash flow over the year and returned more than it generated: $4.6B went back to shareholders (dividends plus buybacks), so $1.0B came from cash on hand or borrowing.

Intuitive Surgical had 352M diluted shares in the quarter ended Sep 2026, 2.8% fewer than a year earlier, and 0.9% fewer each year on average since Mar 2022. It spent $4.6B on buybacks over the last four quarters. Over the last four quarters its earnings per share rose 9.1% and its net income rose 7.7%: fewer shares added about 1 point.

Free cash flow: operating cash flow minus capital spending on property, plant and equipment, from SEC filings, for the last 4 quarters and by quarter. Shares: each quarter's diluted weighted average as filed with the SEC, since the stock's listing and its latest split.

Financial health

Current ratio 4.9, no pressure to repay short-term debt.

Latest fiscal year balance sheet. Source: Yahoo Finance.

Who holds it

In the filings of 1 member of Congress and 11 funds whose copy leaves ISRG out (not traded on the exchange): Polen Capital Management, Nan Shan Life Insurance, Baillie Gifford &, Coatue Management, Temasek Holdings (Private), Fisher Asset Management and 6 more.

What did the funds Hunch tracks do?

Of the 83 funds whose 13F filings Hunch reads, 18 held ISRG at the end of their latest quarter (for most, Q2 2026). Over that quarter 8 added shares, 10 cut and 1 sold all. The largest of them is Norges Bank, 4.95M shares worth $2.0B at Jun 30, 2026, 1.8% fewer than at Dec 31, 2025.

From the 13F filings of the 83 funds Hunch tracks, not of every institution: each fund's shares of ISRG at its latest quarter end against the quarter before, as filed (long positions only, options left out), the quarter before put on the latest quarter's share count across a split. A fund files 45 days after its quarter ends, so some have a newer quarter than others. Value is at the quarter end. Norges Bank filed its 13F for Q1 2026 confidentially, with no holdings made public, so its row compares Q2 2026 with Q4 2025.

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