Zacks Investment Research Upgrades Intuitive Surgical Inc. (ISRG) to “Buy”
Zacks Investment Research upgraded shares of Intuitive Surgical Inc. (NASDAQ:ISRG) from a hold rating to a buy rating in a research report released on Wednesday. Zacks Investment Research currently has $753.00 price objective on the stock.
According to Zacks, “Intuitive Surgical reported impressive second quarter 2016 results. We believe incremental spending on product development and higher investment on expanding the company’s footprint in international markets (particularly in Europe) are prudent moves that will drive long-term growth. Further, growing adoption of the da Vinci system among physicians for general surgery and thoracic procedures is a key growth catalyst. Moreover, the integrated Table Motion product has gained significant traction within a short span of time, which will boost top-line growth. However, management’s guidance for the second half of the year disappointed us. Gross margin is also forecasted to decline in the back half. Moreover, higher spending on product development can weigh on margin in the near term.”
Several other analysts have also recently weighed in on the stock. Barclays PLC restated a buy rating on shares of Intuitive Surgical in a report on Saturday, June 18th. Citigroup Inc. restated a buy rating on shares of Intuitive Surgical in a report on Thursday, June 2nd. JPMorgan Chase & Co. restated a buy rating on shares of Intuitive Surgical in a report on Thursday, June 2nd. Piper Jaffray Cos. restated a neutral rating and set a $700.00 target price (up previously from $610.00) on shares of Intuitive Surgical in a report on Wednesday, July 20th. Finally, BTIG Research restated a neutral rating on shares of Intuitive Surgical in a report on Wednesday, July 20th. One analyst has rated the stock with a sell rating, five have given a hold rating and fourteen have assigned a buy rating to the company. The stock presently has an average rating of Buy and an average target price of $701.42.
Shares of Intuitive Surgical (NASDAQ:ISRG) opened at 693.55 on Wednesday. The stock has a market cap of $26.70 billion, a P/E ratio of 39.36 and a beta of 0.73. The company’s 50-day moving average is $688.34 and its 200-day moving average is $647.09. Intuitive Surgical has a 12-month low of $447.00 and a 12-month high of $720.01.
Intuitive Surgical (NASDAQ:ISRG) last released its quarterly earnings results on Tuesday, July 19th. The company reported $5.62 earnings per share for the quarter, beating the consensus estimate of $4.97 by $0.65. The business had revenue of $670 million for the quarter, compared to analysts’ expectations of $640.69 million. Intuitive Surgical had a net margin of 26.80% and a return on equity of 15.25%. During the same quarter in the previous year, the business posted $4.57 earnings per share. On average, equities research analysts anticipate that Intuitive Surgical will post $21.30 earnings per share for the current year.
In other Intuitive Surgical news, CEO Gary S. Guthart sold 13,400 shares of the stock in a transaction on Monday, August 1st. The stock was sold at an average price of $698.00, for a total value of $9,353,200.00. Following the sale, the chief executive officer now owns 78,780 shares in the company, valued at $54,988,440. The transaction was disclosed in a legal filing with the SEC, which is accessible through the SEC website. Also, CFO Marshall Mohr sold 5,000 shares of the stock in a transaction on Wednesday, July 27th. The stock was sold at an average price of $684.09, for a total value of $3,420,450.00. Following the completion of the sale, the chief financial officer now owns 6,725 shares in the company, valued at approximately $4,600,505.25. The disclosure for this sale can be found here. Corporate insiders own 3.10% of the company’s stock.
A number of hedge funds have recently added to or reduced their stakes in the company. Forte Capital LLC ADV raised its stake in Intuitive Surgical by 0.3% in the first quarter. Forte Capital LLC ADV now owns 1,489 shares of the company’s stock worth $895,000 after buying an additional 5 shares during the last quarter. Tokio Marine Asset Management Co. Ltd. raised its stake in Intuitive Surgical by 0.5% in the second quarter. Tokio Marine Asset Management Co. Ltd. now owns 1,198 shares of the company’s stock worth $792,000 after buying an additional 6 shares during the last quarter. Cleararc Capital Inc. raised its stake in Intuitive Surgical by 0.7% in the second quarter. Cleararc Capital Inc. now owns 917 shares of the company’s stock worth $607,000 after buying an additional 6 shares during the last quarter. Glenmede Trust Co. NA raised its stake in Intuitive Surgical by 3.0% in the second quarter. Glenmede Trust Co. NA now owns 275 shares of the company’s stock worth $181,000 after buying an additional 8 shares during the last quarter. Finally, IFP Advisors Inc raised its stake in Intuitive Surgical by 3.3% in the first quarter. IFP Advisors Inc now owns 284 shares of the company’s stock worth $171,000 after buying an additional 9 shares during the last quarter. Institutional investors and hedge funds own 92.28% of the company’s stock.
Intuitive Surgical Company Profile
Intuitive Surgical, Inc (Intuitive) designs, manufactures and markets da Vinci Surgical Systems, and related instruments and accessories. The Company’s da Vinci Surgical System consists of a surgeon’s console, a patient-side cart and a vision system. The da Vinci Surgical System translates a surgeon’s hand movements, which are performed on instrument controls at a console, into corresponding micro-movements of instruments positioned inside the patient through small incisions or ports.
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