Intuitive Surgical Inc, a leader in robotic-assisted surgery technologies, revealed financial outcomes for the quarter ending December 2025 that surpassed the predictions set by market analysts. The company recorded quarterly revenue of $2.87 billion, eclipsing the $2.75 billion consensus estimate. Adjusted earnings per share for the quarter stood at $2.53, outperforming the predicted $2.26 per share, demonstrating robust profitability for the period.
Following this performance, Intuitive Surgical provided forward-looking guidance for the fiscal year 2026. Management anticipates a growth in total worldwide da Vinci surgical procedures by approximately 13% to 15% year-over-year. This forecast represents a deceleration from the estimated 18% growth in procedures expected during 2025. Additionally, the company projects its gross profit margin to fall within a range of 67% to 68% of revenues in 2026. This projection is relatively consistent with the 67.6% margin realized in the previous year, indicating stable margin performance moving forward.
The stock price reacted modestly to these announcements, with shares closing at $526.86, marking a slight increase of 0.2% on the trading day following the report.
Within the analyst community, responses to the earnings announcement have been varied, leading to adjustments in price targets and maintained or revised ratings reflecting diverse outlooks on Intuitive Surgical's near-term prospects.
Bernstein analyst Lee Hambright reiterated an Outperform rating on the company’s stock, indicating continued confidence in its growth trajectory. Hambright also raised the price target for Intuitive Surgical shares slightly from $740 to $750, signaling an optimistic view about the company’s valuation potential post-earnings.
Conversely, Evercore ISI Group analyst Vijay Kumar maintained an In-Line rating on the stock, suggesting a neutral stance on its relative performance against market expectations. Kumar lowered the price target from $580 to $550, reflecting a more cautious outlook or tempered expectations regarding valuation following the quarterly results and guidance.
These divergent analyst perspectives underscore the balance between the strengths evidenced in the company’s recent financial results and the slower anticipated growth in surgical procedures in 2026 relative to the prior year’s forecast. This dynamic exemplifies the nuanced views investors and analysts hold in assessing Intuitive Surgical's future growth and profitability.
As of market close following the report, Intuitive Surgical’s stock traded near $525, experiencing a marginal decline of 0.13%, reflecting the mixed reception among investors amid evolving analyst opinions.
While Intuitive Surgical continues to demonstrate solid operating performance with expanding revenues and consistent margins, there remain uncertainties related to the deceleration in procedural growth and the implications that may have on longer-term earnings expansion and stock price appreciation.
Overall, the company’s earnings release and guidance update have prompted analysts to recalibrate expectations, contributing to a range of investment theses evidenced by both upward and downward adjustments in target prices as stakeholders weigh the evolving performance metrics.