Jennison Associates LLC Cuts Position in Intuitive Surgical, Inc. $ISRG

Key Points

• Jennison Associates LLC reduced its stake in Intuitive Surgical by 5.2% in the first quarter, selling 168,127 shares and leaving it with 3.04 million shares worth about $1.40 billion.
• Wall Street remains broadly positive despite recent price-target cuts, with analysts still assigning a consensus rating of “Moderate Buy” and an average target price of $523.46.
• The stock has fallen sharply, trading down 14.1% to around $345.42, near its 52-week low, even though the company previously posted better-than-expected earnings and revenue growth.

Jennison Associates LLC trimmed its holdings in shares of Intuitive Surgical, Inc. (NASDAQ:ISRG - Free Report) by 5.2% during the first quarter, according to the company in its most recent Form 13F filing with the Securities & Exchange Commission. The institutional investor owned 3,041,010 shares of the medical equipment provider's stock after selling 168,127 shares during the period. Intuitive Surgical comprises 1.0% of Jennison Associates LLC's investment portfolio, making the stock its 25th largest position. Jennison Associates LLC owned 0.86% of Intuitive Surgical worth $1,401,875,000 as of its most recent SEC filing.

Several other institutional investors also recently bought and sold shares of ISRG. Holos Integrated Wealth LLC purchased a new position in shares of Intuitive Surgical in the 4th quarter valued at $25,000. Newbridge Financial Services Group Inc. lifted its holdings in shares of Intuitive Surgical by 300.0% during the 4th quarter. Newbridge Financial Services Group Inc. now owns 44 shares of the medical equipment provider's stock valued at $25,000 after acquiring an additional 33 shares in the last quarter. Olistico Wealth LLC purchased a new stake in Intuitive Surgical during the 4th quarter worth $28,000. Main Street Group LTD purchased a new stake in Intuitive Surgical during the 1st quarter worth $30,000. Finally, Laurel Wealth Advisors LLC acquired a new stake in Intuitive Surgical in the 4th quarter valued at $31,000. 83.64% of the stock is currently owned by hedge funds and other institutional investors.

Analysts Set New Price Targets

Several research analysts have commented on the company. TD Cowen cut their price objective on Intuitive Surgical from $585.00 to $520.00 and set a "buy" rating on the stock in a research report on Monday, July 13th. Stifel Nicolaus decreased their target price on Intuitive Surgical from $670.00 to $550.00 and set a "buy" rating for the company in a research report on Friday. Wall Street Zen upgraded Intuitive Surgical from a "hold" rating to a "buy" rating in a research note on Saturday, June 13th. Leerink Partners lowered their target price on Intuitive Surgical from $573.00 to $454.00 and set an "outperform" rating for the company in a research note on Friday. Finally, The Goldman Sachs Group set a $558.00 target price on Intuitive Surgical in a report on Wednesday, May 27th. One equities research analyst has rated the stock with a Strong Buy rating, twenty have given a Buy rating, seven have issued a Hold rating and one has issued a Sell rating to the company. According to data from MarketBeat.com, the stock currently has a consensus rating of "Moderate Buy" and an average price target of $523.46.

Intuitive Surgical Trading Down 14.1%

ISRG opened at $345.42 on Friday. The company has a fifty day simple moving average of $415.28 and a 200 day simple moving average of $467.88. The firm has a market cap of $122.33 billion, a price-to-earnings ratio of 39.57, a PEG ratio of 2.81 and a beta of 1.46. Intuitive Surgical, Inc. has a twelve month low of $344.55 and a twelve month high of $603.88.

Intuitive Surgical (NASDAQ:ISRG - Get Free Report) last issued its quarterly earnings data on Tuesday, April 21st. The medical equipment provider reported $2.50 EPS for the quarter, topping analysts' consensus estimates of $2.08 by $0.42. The firm had revenue of $2.77 billion for the quarter, compared to analyst estimates of $2.62 billion. Intuitive Surgical had a net margin of 28.45% and a return on equity of 17.09%. The firm's revenue was up 23.0% compared to the same quarter last year. During the same quarter in the previous year, the business posted $1.81 EPS. On average, analysts forecast that Intuitive Surgical, Inc. will post 8.62 earnings per share for the current fiscal year.

Intuitive Surgical News Summary

Here are the key news stories impacting Intuitive Surgical this week:

• Positive Sentiment: Intuitive Surgical reported stronger-than-expected Q2 revenue and earnings, helped by solid demand for its da Vinci robotic surgery systems and continued adoption of its products. Reuters article
• Positive Sentiment: The company still reported healthy procedure growth overall, with worldwide procedures rising and placements of robotic systems remaining strong, which supports the long-term investment case. Yahoo Finance article
• Neutral Sentiment: Several analysts lowered price targets after the report, but most kept bullish ratings such as overweight, buy, or outperform, suggesting Wall Street still sees meaningful upside despite the near-term pullback. Benzinga article
• Negative Sentiment: Management did not raise its forecast for procedure growth, and investors reacted badly to slower U.S. procedure growth and a cautious full-year outlook. Benzinga article
• Negative Sentiment: Reuters also noted concerns that changes to some insurance plans could reduce demand, adding to worries about slower U.S. growth and a softer near-term procedure trajectory. Reuters article

Insider Activity

In related news, SVP Iman Jeddi sold 5,625 shares of the stock in a transaction dated Monday, June 1st. The stock was sold at an average price of $420.55, for a total value of $2,365,593.75. Following the completion of the transaction, the senior vice president owned 6,463 shares of the company's stock, valued at approximately $2,718,014.65. This represents a 46.53% decrease in their ownership of the stock. The sale was disclosed in a document filed with the SEC, which is accessible through this link. The transaction was executed under a pre-arranged Rule 10b5-1 trading plan. Also, Director Amy L. Ladd sold 119 shares of the firm's stock in a transaction that occurred on Wednesday, April 29th. The shares were sold at an average price of $463.50, for a total value of $55,156.50. Following the sale, the director owned 120 shares of the company's stock, valued at approximately $55,620. This trade represents a 49.79% 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 7,169 shares of company stock worth $3,059,135 over the last ninety days. Corporate insiders own 0.60% of the company's stock.

Intuitive Surgical Company Profile

Intuitive Surgical, founded in 1995 and headquartered in Sunnyvale, California, is a medical technology company focused on the design, manufacture and service of robotic-assisted surgical systems. The company is best known for its da Vinci surgical systems, which enable minimally invasive procedures by translating a surgeon's hand movements into finer, scaled motions of small instruments inside the patient. Intuitive's business centers on supplying hospitals and surgical centers with systems, instruments and related technologies that aim to improve precision, visualization and control in the operating room.

In addition to its core surgical platforms, Intuitive markets a portfolio of reusable and disposable instruments, accessories, and proprietary software, and provides training, servicing and clinical support to its customers.

Want to see what other hedge funds are holding ISRG? Visit HoldingsChannel.com to get the latest 13F filings and insider trades for Intuitive Surgical, Inc. (NASDAQ:ISRG - Free Report).

This instant news alert was generated by narrative science technology and financial data from MarketBeat in order to provide readers with the fastest reporting and unbiased coverage. Please send any questions or comments about this story to contact@marketbeat.com.