Intuitive Surgical: What’s Driving the Bull Run?



Intuitive Surgical stock continues to rise

Leading surgical robotics player Intuitive Surgical (ISRG) is trading at all-time highs. The stock has been rising, returning 98% over the past year. On January 19, 2018, the stock was trading at its 52-week high of $436.60. On January 22, 2018, it closed trading at $433.90. As of January 22, 2018, the stock’s 50-day moving average was $384.73, and its 200-day moving average was $357.02.

Year to date, ISRG stock has risen 18.9%. Over the last six months, it has risen more than 40%. It surpassed the performance of the market as well as the broader US medical device sector by a huge margin. Peers Stryker (SYK), Medtronic (MDT), and Edwards Lifesciences (EW) have registered 12-month stock returns of 33.6%, 14.7%, and 30.3%, respectively.

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Recent developments impacting ISRG stock

On January 10, 2018, Intuitive Surgical announced its preliminary fiscal 4Q17 and fiscal 2017 earnings results. The stock traded 6.6% higher that day, triggered by the upbeat results expectations. On January 18, 2018, Leerink Partners raised its target price on ISRG stock. It’s upbeat on Intuitive Surgical’s growth prospects with recent reimbursement approvals for 12 da Vinci procedures in Japan. The news triggered positive investor sentiment, and the stock traded at its 52-week high on January 19, 2018.

On October 19, 2017, Intuitive Surgical released strong 3Q17 results, exceeding Wall Street estimates. The stock rose ~4% that day. On January 25, 2018, Intuitive Surgical is set to announce its fiscal 4Q17 and fiscal 2017 results. Investors interested in exposure to Intuitive Surgical but want to avoid the company-specific risks can invest in the Vanguard S&P 500 ETF (VOO), which has 0.20% of its portfolio holdings in ISRG stock.


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