ISRG
Intuitive Surgical, Inc.
Healthcare · Medical Instruments & Supplies · United States · Stock
Score Breakdown
Scored for Aggressive Growth profile
Sub-scores are 0–20 each; Model Score is weighted by your selected investment goal. How it works →
Why Ranked Here
- Strong growth and near-perfect momentum scores reflect double-digit revenue and earnings expansion both annually and across recent quarters.
- A perfect profitability score anchors the rating, with operating margin, net margin, and return on assets all at top-tier levels in FY2025.
- Zero scores on dividend and theme factors, combined with a below-average financial health score, pull the composite down to a medium-risk, research-further level.
Why Not Higher
- The dividend factor contributes zero points because the company does not pay a dividend, and the theme factor also contributes zero, together representing a significant portion of uncaptured potential score.
- The financial health factor scored below the midpoint, limiting the overall composite despite strong profitability and momentum results.
Data Confidence
6 / 10
Medium — some data gaps
Why This Score
Grounded in figures from this company's SEC EDGAR filings — not a restatement of the score itself.
Revenue grew from $8,352,100,000 in FY2024 to $10,064,700,000 in FY2025, a gain of 20.5%. Net income rose 23.0% over the same period, and diluted EPS increased 22.6% from $6.42 in FY2024 to $7.87 in FY2025.
The model rewarded broad-based double-digit expansion across revenue, earnings, and per-share metrics. The score of 15/20 reflects strong but not maximum credit, suggesting the model applies additional criteria beyond headline growth rates.
In FY2025, Intuitive Surgical posted an operating margin of 29.3%, a net margin of 28.4%, and a return on assets of 14.0%.
The model awarded a perfect score, reflecting that all three profitability metrics — operating margin, net margin, and return on assets — reached levels the model treats as top-tier for this factor.
Filing evidence currently available does not support a more specific explanation for this factor.
Over the last four reported quarters, revenue moved from $2,440,000,000 in 2025Q2 to $2,505,100,000 in 2025Q3, $2,866,200,000 in 2025Q4, and $2,770,800,000 in 2026Q1. Net income rose sequentially from $658,400,000 in 2025Q2 to $821,500,000 in 2026Q1, and operating income followed a similar upward path from $743,400,000 in 2025Q2 to $855,300,000 in 2026Q1.
The model rewarded a consistent upward trend in both earnings and operating income across the four quarters, with only a modest revenue pullback in 2026Q1 after a peak in 2025Q4, which the near-perfect score suggests was not penalized heavily.
Intuitive Surgical does not currently pay a dividend; this is a genuine characteristic of the company, not a data limitation.
The model assigns a score of zero for this factor when no dividend is paid, as income-oriented criteria cannot be satisfied by a non-payer.
Intuitive Surgical is assigned to the Aging Population macro theme.
Although the company carries the Aging Population theme assignment — a category that reflects demographic tailwinds for surgical robotics — this assignment did not translate into a positive score under the model's current methodology.
Research Summary
AI-generated analysis reflects data and conditions as of the report date shown above. Verify any specific figures through primary sources before acting on this analysis.
Intuitive Surgical delivered exceptional financial performance in FY2025, with revenue rising 20.5% to $10,064,700,000 and net income climbing 23.0%, while maintaining a best-in-class operating margin of 29.3% and net margin of 28.4% that earned a perfect profitability score. Quarterly momentum has been consistently strong, with net income rising from $658,400,000 in 2025Q2 to $821,500,000 in 2026Q1 across four consecutive quarters. The company does not pay a dividend, and the theme assignment to Aging Population did not contribute to the model score under current methodology, leaving the composite score at a medium-risk level that warrants further research.
Plain English
Intuitive Surgical is growing fast and making a lot of money on each dollar of sales, but it pays no dividend and some scoring factors didn't add points, so the overall grade lands in the middle — good enough to look into more, but not a slam dunk.
Bull Case vs. Bear Case
Bull Case
- Revenue grew 20.5% year-over-year to over $10 billion in FY2025, accompanied by a 23.0% rise in net income and a 22.6% increase in diluted EPS, demonstrating broad-based financial strength.
- The company achieved a perfect profitability score, posting a 29.3% operating margin, 28.4% net margin, and 14.0% return on assets in FY2025 — metrics the model treats as top-tier.
- Quarterly momentum has been consistently upward, with net income rising every quarter from $658,400,000 in 2025Q2 to $821,500,000 in 2026Q1, and operating income following a similar trajectory.
Bear Case
- Intuitive Surgical pays no dividend, resulting in a zero score for the dividend factor, which meaningfully limits the composite score for income-oriented evaluation criteria.
- The Aging Population macro theme assignment did not translate into a positive model score under current methodology, meaning a potentially relevant demographic tailwind is not being captured in the rating.
- Revenue dipped modestly from $2,866,200,000 in 2025Q4 to $2,770,800,000 in 2026Q1, introducing a small sequential pullback that could signal near-term demand variability.
What Could Change the Picture
Bullish Triggers
- If the model's theme scoring methodology is updated to credit the Aging Population tailwind, Intuitive Surgical's composite score could improve meaningfully given its direct exposure to surgical robotics demand.
- Sustained acceleration in quarterly net income — already rising from $658,400,000 to $821,500,000 over four quarters — could push momentum and growth scores higher in future periods.
Bearish Triggers
- A reversal in the strong quarterly revenue trend, particularly if the 2026Q1 sequential dip deepens, could weigh on the momentum score in subsequent model runs.
- The absence of any dividend means the company will continue to score zero on that factor unless capital return policy changes, structurally capping the composite score.
Risk Profile
Medium RiskThe financial health factor scored below the midpoint, suggesting some balance sheet or liquidity considerations that the available filing evidence does not fully detail. Momentum remains strong but the modest revenue pullback in 2026Q1 relative to 2025Q4 is a data point worth monitoring.
This report is for educational and research purposes only. It does not constitute financial, investment, legal, or tax advice — always conduct your own due diligence before making investment decisions.