First Shanghai Securities·2025-08-19 07:03Group 1: Company Performance - Intuitive Surgical (ISRG) reported Q2 2025 revenue of $2.44 billion, a year-on-year increase of 21%[6] - Instrument and accessory revenue reached $1.47 billion, up 18.5%, driven by a 17% increase in da Vinci surgeries and a 52% increase in Ion surgeries[6] - Operating expenses rose by 9% to $880 million, while net profit increased by 25% to $660 million, resulting in a profit margin of 27%[6] Group 2: Sales and Market Trends - In Q2 2025, 395 da Vinci surgical robots were sold, with U.S. sales up 45% to 216 units, reflecting strong demand for the da Vinci 5 system[7] - The average system utilization rate improved by 2%, with instrument and accessory revenue per surgery approximately $1,800, consistent with the previous year[7] - The company expects a surgical growth rate of 15.5%-17% for the full year 2025, with non-GAAP gross margins projected to remain between 66%-67%[8] Group 3: Valuation and Recommendations - The target price for ISRG is set at $581.17, indicating a potential upside of 21% from the current price of $480.26[5][8] - The DCF valuation method was used, applying a discount rate of 7.5% and a perpetual growth rate of 5% to arrive at the target price[8]