Core Viewpoint - Intuitive Surgical, Inc. (ISRG) is expected to report second-quarter 2025 earnings with sales estimated at $2.35 billion and earnings per share (EPS) at $1.92, driven by a projected 15-17% increase in da Vinci procedures in 2025 [2][8]. Financial Performance - ISRG delivered an earnings surprise of 5.85% in the last reported quarter, with an average surprise of 14.64% over the past four quarters [3][4]. - The company has stable EPS estimates of $7.84 for 2025 and $9.05 for 2026 [2]. Market Trends - The Instruments & Accessories segment is anticipated to show strong results due to robust da Vinci procedure growth, particularly in U.S. general surgery and cancer procedures outside the U.S. [6][7]. - Procedure growth in China has improved, primarily driven by urologic procedures, although tariff-related challenges may impact sales [9]. Product Adoption - Strong adoption of the newly launched da Vinci 5 surgical system is expected to contribute positively to the second-quarter results, with 147 systems placed in the first quarter [10]. - The Services segment is likely to reflect strong adoption of digital products and services, including Intuitive App and Intuitive Hub [11]. Valuation and Performance - ISRG shares have declined 0.7% year-to-date, underperforming the S&P 500 Index's gain of 6.5% but outperforming the Zacks Medical sector's decrease of 6.4% [13]. - The company is currently trading at a forward 12-month P/E of 60.92X, significantly higher than the industry average of 27.90X, indicating a premium valuation [16][17]. Future Outlook - Continued growth in da Vinci procedure volume and strong Ion procedure growth are expected to drive ISRG's performance for the remainder of 2025 [20]. - The launch of da Vinci SP in Europe and da Vinci 5 in the U.S. is anticipated to further enhance system placements [21]. - Rising trade tensions and tariff implications may introduce uncertainty, but the company's U.S. and Mexico manufacturing facilities should mitigate some risks [22].

Core Viewpoint - Intuitive Surgical, Inc. (ISRG) is expected to report first-quarter 2025 earnings on April 22, with sales estimated at $2.18 billion and earnings per share at $1.71, reflecting stable earnings estimates for 2025 and 2026 [1][2] Earnings and Estimates - The company has shown a consistent earnings surprise, with a 24.86% surprise in the last quarter and an average surprise of 14.97% over the past four quarters [2] - Current estimates indicate an Earnings ESP of 0.00% and a Zacks Rank of 3 (Hold), suggesting uncertainty regarding an earnings beat this time [3] Segment Performance - The Instruments & Accessories segment is anticipated to report strong results due to robust da Vinci procedure growth, particularly in U.S. general surgery and cancer procedures in international markets [4] - The launch of the da Vinci 5 systems is expected to contribute positively to system placements, with 174 systems placed in the U.S. during the fourth quarter, marking a nearly 60% sequential growth [5][9] - The Services segment is likely to reflect strong adoption of digital products, while margins may improve due to cost reductions and lower freight rates, despite increased depreciation expenses [11] Market Trends - General surgery procedures have driven growth in the U.S., while cancer procedures have benefited international markets, a trend expected to continue [7] - China's recovery post-COVID is likely to boost sales, although tariff-related challenges may impact performance [8] - The Systems segment is expected to show strong adoption of the da Vinci 5, although placements in China may face pressure due to delayed tenders [10] Valuation and Performance - ISRG shares have declined 7.5% year-to-date, outperforming the industry decline of 12.6% and the S&P 500's decline of 10.6% [13] - The company is trading at a forward P/E of 57.48X, significantly higher than the industry average of 26.59X, indicating a premium valuation despite a decrease from a five-year high [16] Investment Outlook - Despite high valuation, ISRG is expected to maintain strong performance driven by growth in da Vinci procedure volume and system placements [19] - The launch of new systems in Europe and the U.S. is likely to support growth, although challenges in bariatric procedures and trade tensions may offset some gains [20][21] - Investors are advised to monitor the stock for potential entry points amid tariff uncertainties and high valuation concerns [24][25]