It seems that any positive outcome has already been priced in. ISRG has increased 50% already YoY and 18% YTD. I'm afraid any surprise, if any, will be a risk to the downside.
I for one have already sold my position a few days ago. I generally don't hold any positions going into earnings reports because of the crazy volatility involved with the day traders that descend and such. I will look to jump back in after the report, though, of course that depends on the report itself.
Will probably come down to whether they boost the top end of their guidance or just narrow the range. I think they are currently guiding revs at 17% to 19% for the full year with q1 typically being the weakest. I Expect YOY EPS growth for Q1 to be better than that. Perhaps a lot better.
Any unexpected announcements (new model, progress in China, etc) could also be a catalyst for further appreciation. Japan reimbursement is partially priced in but if they have positive comments re:Japan, we could still get a bump. More likely they will give their usual conservative comments re:Japan
If there is no raise in guidance and no other news we will probably retrace some from these levels but reach new highs by the time they report Q4