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Analysts Turn Positive on Intuitive Surgical as Recurring Revenue and AI Bolster Outlook

Fresh Buy calls lean on the recurring revenue engine plus AI catalysts.

Overview

  • Intuitive Surgical closed 2025 with 532 fourth‑quarter da Vinci placements, an installed base of 11,106 systems, and about 18% growth in annual procedures.
  • Management projects a moderation to roughly 13%–15% procedure growth in 2026.
  • TD Cowen initiated coverage on Jan. 26 with a Buy rating and a $660 price target, citing underestimated longer‑term procedure growth.
  • Freedom Capital Markets raised its target to $610 and upgraded to Buy, pointing to expected benefits from the da Vinci 5 system.
  • About 75% of revenue comes from recurring instruments, accessories, and services, the FDA cleared an AI lung‑biopsy visual aid in late 2025, and shares trade near 67x earnings versus about 28x for the S&P 500.