This story originally appeared on Zacks
Intuitive Surgical, Inc. (ISRG) closed the most recent trading day at $325.53, moving +0.38% from the previous trading session. This change outpaced the S&P 500’s 0.14% loss on the day. Elsewhere, the Dow lost 0.45%, while the tech-heavy Nasdaq lost 0.01%.
Heading into today, shares of the company had lost 5.99% over the past month, lagging the Medical sector’s loss of 2.72% and the S&P 500’s loss of 0.13% in that time.
Wall Street will be looking for positivity from Intuitive Surgical, Inc. as it approaches its next earnings report date. This is expected to be January 20, 2022. The company is expected to report EPS of $1.28, up 7.56% from the prior-year quarter. Our most recent consensus estimate is calling for quarterly revenue of $1.51 billion, up 13.66% from the year-ago period.
Any recent changes to analyst estimates for Intuitive Surgical, Inc. should also be noted by investors. These revisions typically reflect the latest short-term business trends, which can change frequently. With this in mind, we can consider positive estimate revisions a sign of optimism about the company’s business outlook.
Based on our research, we believe these estimate revisions are directly related to near-team stock moves. To benefit from this, we have developed the Zacks Rank, a proprietary model which takes these estimate changes into account and provides an actionable rating system.
The Zacks Rank system, which ranges from #1 (Strong Buy) to #5 (Strong Sell), has an impressive outside-audited track record of outperformance, with #1 stocks generating an average annual return of +25% since 1988. Over the past month, the Zacks Consensus EPS estimate remained stagnant. Intuitive Surgical, Inc. is currently a Zacks Rank #3 (Hold).
Valuation is also important, so investors should note that Intuitive Surgical, Inc. has a Forward P/E ratio of 58.64 right now. This valuation marks a premium compared to its industry’s average Forward P/E of 48.25.
It is also worth noting that ISRG currently has a PEG ratio of 5.86. 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 2.42 as of yesterday’s close.
The Medical – Instruments industry is part of the Medical sector. This group has a Zacks Industry Rank of 166, putting it in the bottom 35% 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.
To follow ISRG in the coming trading sessions, be sure to utilize Zacks.com.
Zacks’ Top Picks to Cash in on Artificial Intelligence
In 2021, this world-changing technology is projected to generate $327.5 billion in revenue. Now Shark Tank star and billionaire investor Mark Cuban says AI will create “the world’s first trillionaires.” Zacks’ urgent special report reveals 3 AI picks investors need to know about today.
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
Intuitive Surgical, Inc. (ISRG): Free Stock Analysis Report
To read this article on Zacks.com click here.
Zacks Investment Research