In the latest trading session, Intuitive Surgical, Inc. (ISRG) closed at $312.81, marking a +0.64% move from the previous day. The stock outpaced the S&P 500's daily gain of 0.12%. At the same time, the Dow added 0.13%, and the tech-heavy Nasdaq lost 4.09%.
Prior to today's trading, shares of the company had gained 2.42% over the past month. This has outpaced the Medical sector's loss of 2.13% and lagged the S&P 500's gain of 3.98% in that time.
Intuitive Surgical, Inc. will be looking to display strength as it nears its next earnings release. On that day, Intuitive Surgical, Inc. is projected to report earnings of $1.32 per share, which would represent year-over-year growth of 15.79%. Meanwhile, the Zacks Consensus Estimate for revenue is projecting net sales of $1.73 billion, up 13.75% from the year-ago period.
ISRG's full-year Zacks Consensus Estimates are calling for earnings of $5.47 per share and revenue of $7.11 billion. These results would represent year-over-year changes of +16.88% and +14.34%, respectively.
It is also important to note the recent changes to analyst estimates for Intuitive Surgical, Inc.These recent revisions tend to reflect the evolving nature of short-term business trends. As such, positive estimate revisions reflect analyst optimism about the company's business and profitability.
Based on our research, we believe these estimate revisions are directly related to near-team stock moves. Investors can capitalize on this by using the Zacks Rank. This model considers these estimate changes and provides a simple, actionable rating system.
The Zacks Rank system ranges from #1 (Strong Buy) to #5 (Strong Sell). It has a remarkable, outside-audited track record of success, with #1 stocks delivering an average annual return of +25% since 1988. Within the past 30 days, our consensus EPS projection has moved 0.03% higher. Intuitive Surgical, Inc. currently has a Zacks Rank of #3 (Hold).
Investors should also note Intuitive Surgical, Inc.'s current valuation metrics, including its Forward P/E ratio of 56.87. For comparison, its industry has an average Forward P/E of 29.54, which means Intuitive Surgical, Inc. is trading at a premium to the group.
It is also worth noting that ISRG currently has a PEG ratio of 4.38. The PEG ratio is similar to the widely-used P/E ratio, but this metric also takes the company's expected earnings growth rate into account. The Medical - Instruments industry currently had an average PEG ratio of 2.55 as of yesterday's close.
The Medical - Instruments industry is part of the Medical sector. This group has a Zacks Industry Rank of 156, putting it in the bottom 39% of all 250+ industries.
The Zacks Industry Rank gauges the strength of our industry groups by measuring the average Zacks Rank of the individual stocks within the groups. Our research shows that the top 50% rated industries outperform the bottom half by a factor of 2 to 1.
Make sure to utilize Zacks.com to follow all of these stock-moving metrics, and more, in the coming trading sessions.
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