Intuitive Surgical (NASDAQ:ISRG) Downgraded to "Hold" Rating by Wall Street Zen

Key Points

• Wall Street Zen downgraded Intuitive Surgical to “Hold” from “Buy,” though the broader analyst consensus remains “Moderate Buy,” with 22 Buy, eight Hold, and one Sell rating and a $508.68 consensus price target.
• Intuitive Surgical reported stronger-than-expected quarterly results, with EPS of $2.80 versus the $2.48 estimate and revenue of $2.89 billion, up 18.4% year over year.
• The stock opened at $393.33, well below its one-year high of $603.88; insiders sold roughly $4.9 million in shares over the past three months, while institutional investors own 83.64% of the company.

Intuitive Surgical (NASDAQ:ISRG - Get Free Report) was downgraded by equities research analysts at Wall Street Zen from a "buy" rating to a "hold" rating in a research report issued to clients and investors on Sunday, Wall Street Zen reports.

Other equities research analysts also recently issued reports about the stock. Bank of America reduced their price target on shares of Intuitive Surgical from $520.00 to $515.00 in a research report on Friday, June 12th. JPMorgan Chase & Co. lowered their price target on Intuitive Surgical from $550.00 to $450.00 and set an "overweight" rating on the stock in a report on Friday, July 17th. Weiss Ratings reaffirmed a "hold (c)" rating on shares of Intuitive Surgical in a research note on Friday, August 14th. BTIG Research reaffirmed a "buy" rating and set a $469.00 price objective on shares of Intuitive Surgical in a report on Tuesday, September 8th. Finally, Sanford C. Bernstein reaffirmed an "outperform" rating on shares of Intuitive Surgical in a report on Wednesday, August 12th. Twenty-two analysts have rated the stock with a Buy rating, eight have given a Hold rating and one has assigned a Sell rating to the stock. According to MarketBeat.com, the company has a consensus rating of "Moderate Buy" and a consensus price target of $508.68.

Intuitive Surgical Stock Performance

Intuitive Surgical stock opened at $393.33 on Friday. The company has a market cap of $138.96 billion, a P/E ratio of 45.06, a price-to-earnings-growth ratio of 2.97 and a beta of 1.47. Intuitive Surgical has a one year low of $328.57 and a one year high of $603.88. The business has a fifty day moving average of $372.69 and a two-hundred day moving average of $419.71.

Intuitive Surgical (NASDAQ:ISRG - Get Free Report) last announced its quarterly earnings results on Thursday, July 16th. The medical equipment provider reported $2.80 earnings per share (EPS) for the quarter, beating analysts' consensus estimates of $2.48 by $0.32. The business had revenue of $2.89 billion during the quarter, compared to the consensus estimate of $2.83 billion. Intuitive Surgical had a net margin of 28.45% and a return on equity of 16.91%. The business's revenue was up 18.4% compared to the same quarter last year. During the same quarter last year, the firm posted $1.81 EPS. Sell-side analysts predict that Intuitive Surgical will post 8.87 EPS for the current year.

Insider Activity at Intuitive Surgical

In other news, VP Fredrik Widman sold 1,089 shares of the business's stock in a transaction that occurred on Tuesday, September 15th. The shares were sold at an average price of $374.44, for a total value of $407,765.16. Following the completion of the transaction, the vice president owned 1,026 shares of the company's stock, valued at $384,175.44. The trade was a 51.49% decrease in their ownership of the stock. The transaction was disclosed in a filing with the SEC, which is available at the SEC website. The transaction was executed under a pre-arranged Rule 10b5-1 trading plan. Also, EVP Gary Loeb sold 400 shares of the company's stock in a transaction that occurred on Monday, August 10th. The shares were sold at an average price of $379.00, for a total transaction of $151,600.00. Following the transaction, the executive vice president directly owned 5,320 shares in the company, valued at $2,016,280. The trade was a 6.99% decrease in their position. The SEC filing for this sale provides additional information. The transaction was executed under a pre-arranged Rule 10b5-1 trading plan. Insiders sold 12,370 shares of company stock worth $4,891,989 over the last three months. Company insiders own 0.60% of the company's stock.

Institutional Investors Weigh In On Intuitive Surgical

A number of hedge funds and other institutional investors have recently made changes to their positions in the business. Norges Bank purchased a new stake in Intuitive Surgical in the 4th quarter valued at about $2,856,987,000. Bank of New York Mellon Corp acquired a new stake in shares of Intuitive Surgical in the second quarter worth approximately $1,335,753,000. J. Stern & Co. LLP boosted its position in shares of Intuitive Surgical by 18,504.6% in the fourth quarter. J. Stern & Co. LLP now owns 2,127,248 shares of the medical equipment provider's stock worth $1,204,788,000 after acquiring an additional 2,115,814 shares during the last quarter. Arrowstreet Capital Limited Partnership grew its holdings in Intuitive Surgical by 95.3% in the first quarter. Arrowstreet Capital Limited Partnership now owns 2,105,544 shares of the medical equipment provider's stock valued at $970,635,000 after purchasing an additional 1,027,475 shares during the period. Finally, Polen Capital Management LLC acquired a new position in Intuitive Surgical during the fourth quarter worth approximately $477,225,000. Hedge funds and other institutional investors own 83.64% of the company's stock.

About Intuitive Surgical

Intuitive Surgical, Inc is a medical technology company that develops and manufactures robotic-assisted surgical systems and related products. Its technology is designed to support surgeons during minimally invasive procedures by providing enhanced visualization, instrument control and dexterity.

The company's principal product is the da Vinci Surgical System, which is used across a range of specialties, including general surgery, urology, gynecology, cardiothoracic surgery and other procedures.

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