Robotic Surgery Leader Sees 12 Percent Surge After Exceeding Forecasts

ago 9 hours
Robotic Surgery Leader Sees 12 Percent Surge After Exceeding Forecasts

Intuitive Surgical, a leader in robotic surgery, has reported a notable 12 percent surge in stock value following impressive third-quarter results. The company announced adjusted earnings of $2.40 per share, significantly surpassing analysts’ expectations of $1.99 per share.

Strong Financial Results

Intuitive Surgical’s sales for the third quarter reached $2.51 billion, exceeding forecasts which projected $2.41 billion. In the same quarter last year, the company recorded earnings of $1.84 per share with $2.04 billion in sales. This year-on-year growth reflects the company’s robust performance in the evolving healthcare landscape.

Procedure Growth Exceeds Expectations

  • The da Vinci robotic system’s procedures increased by 20% this quarter.
  • This growth significantly outpaced initial estimates of 15.7%.
  • For the full year, the company anticipates a 17% to 17.5% increase in procedures.

In contrast, analysts had predicted a more conservative growth rate of 16.4% for the year.

Stock Market Reaction

Following the earnings report, Intuitive Surgical’s stock surged over 13% in after-hours trading. It reached a price of $525.97 while forming a lengthy consolidation pattern. Market analysts indicate a buy point for the stock at $616.

Stock Performance Insights

  • Intuitive recently regained its 50-day moving average.
  • However, it remains below its 200-day moving average, suggesting ongoing challenges.

This performance indicates a positive outlook among investors and may signal further opportunities for growth in the coming quarters.

For updates on Intuitive Surgical and other market trends, follow Allison Gatlin on X/Twitter @AGatlin_IBD.