Here’s What Hit Intuitive Surgical (ISRG) in Q3

Core Insights - Sands Capital Global Growth Fund reported a -2.0% return in Q3 2025, underperforming the MSCI ACWI which returned 7.6% [1] - The fund focuses on identifying promising growth companies globally, with a notable emphasis on stocks like Intuitive Surgical, Inc. [2] Company Overview: Intuitive Surgical, Inc. - Intuitive Surgical, Inc. is a leading provider of soft-tissue robotic surgical systems, with a market capitalization of $198.804 billion as of December 16, 2025 [2][3] - The company's stock experienced a one-month return of 3.49% and a 52-week gain of 3.23% [2] Performance Analysis - Despite a decline in stock price during Q3 2025 due to concerns over U.S. hospital budgets, Intuitive Surgical exceeded consensus expectations across all metrics, showcasing strong operating margins [3] - Da Vinci 5 placements increased by 22% quarter-over-quarter, indicating robust demand even before new product launches in the EU and Japan [3] Market Position and Future Outlook - The health care sector, particularly medical equipment, underperformed in Q3 2025, but Intuitive Surgical's fundamentals remained strong [3] - Management's stock repurchase of $180 million reflects confidence in the company's future, as it enters a new robot upgrade cycle [3] - Enthusiasm for robotic cardiothoracic procedures could potentially expand Intuitive's U.S. addressable market by 5 to 10% [3] Hedge Fund Interest - Intuitive Surgical was held by 99 hedge fund portfolios at the end of Q3 2025, a decrease from 107 in the previous quarter, indicating a shift in investor interest [4]