Intuitive Surgical Confirms Bullish Flag: 25% to 30% Upside Ahead

Core Viewpoint - Intuitive Surgical is experiencing strong growth and positive market sentiment, with significant revenue and earnings increases, positioning the company for continued upside potential in its stock price. Financial Performance - The company reported $2.04 billion in net revenue for Q3 2024, a 17.2$1.56 and adjusted EPS of $1.84, which is a 26$669 million, representing 32% of revenue, showcasing strong cash flow generation [5] Market Position and Growth Potential - Intuitive Surgical's stock price has rallied significantly, with a 30% increase since summer, and technical indicators suggest further upside potential of 25% to 30% [2][3] - The company placed 379 new da Vinci systems, marking a 15% increase in the installed base, with the da Vinci 5 system accounting for 30% of placements [3] - Analysts have a "Moderate Buy" consensus, with price targets ranging from $475 to$604, indicating a potential upside of 17% at the high end [7] Operational Strength - The company has widened its gross and operating margins, contributing to bottom-line growth [4] - Intuitive Surgical has no debt and low liabilities, with an 8.25% increase in cash and a 15% rise in total assets [6] - The company is focused on reinvestment in R&D and capital expenditures while maintaining a strong balance sheet [5][6]