Intuitive Surgical Stock Pops On Quick Uptake For Its New Robotic Surgeon

Intuitive Surgical (ISRG) stock popped late Thursday after the robotic surgery behemoth beat first-quarter expectations as it launched its next-generation system.

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The company won Food and Drug Administration clearance for its da Vinci 5 system on March 14. In the two weeks following the FDA’s nod, Intuitive Surgical placed eight new systems. The speedy placements suggest da Vinci 5 could be in high demand after this initially “measured” launch.

“We are pleased by the feedback from our measured da Vinci 5 launch as well as the continued adoption of SP (single-port) and Ion (for lung biopsies), and we remain focused on delivering the goals we share with our customers, including improving patient outcomes,” Chief Executive Gary Guthart said in a written statement.

In after-hours trades on today’s stock market, Intuitive Surgical stock rose 1.7% to 379. Shares recently fell below their 50-day moving average, according to MarketSurge.com.

Intuitive Surgical Stock: Earnings And Sales Beat

Overall, Intuitive Surgical earned $1.50 per share, minus some items, on $1.89 billion in sales for the first quarter. Both measured topped forecasts for $1.42 a share and $1.87 billion, respectively. Earnings climbed 22% as sales ramped 11.5% higher.

Notably, the number of procedures performed using its bread-and-butter da Vinci systems grew 16% year over year, beating forecasts for 14.5%, according to FactSet. That translated into stronger sales of its one-time instruments and accessories, up 35% to nearly $1.16 billion. Analysts called for a lower $1.15 billion from that segment.

Systems revenue slowed down slightly to $418.2 million. Intuitive Surgical previously cautioned that some customers might hold off on replacing their older systems until the da Vinci 5 is broadly available. Still, even that beat Intuitive Surgical stock analysts’ call for $398 million.

Follow Allison Gatlin on X, the platform formerly known as Twitter, at @IBD_AGatlin.

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