We use cookies to understand how you use our site and to improve your experience. This includes personalizing content and advertising. To learn more, click here. By continuing to use our site, you accept our use of cookies, revised Privacy Policy and Terms of Service.
You are being directed to ZacksTrade, a division of LBMZ Securities and licensed broker-dealer. ZacksTrade and Zacks.com are separate companies. The web link between the two companies is not a solicitation or offer to invest in a particular security or type of security. ZacksTrade does not endorse or adopt any particular investment strategy, any analyst opinion/rating/report or any approach to evaluating individual securities.
If you wish to go to ZacksTrade, click OK. If you do not, click Cancel.
Is a Beat Likely for Intuitive Surgical (ISRG) in Q2 Earnings?
Read MoreHide Full Article
Intuitive Surgical, Inc. (ISRG - Free Report) is scheduled to release second-quarter 2022 results on Jul 21, after the closing bell.
The company’s stock has declined 41.3% so far this year against an increase of 29.5% for the industry.
Image Source: Zacks Investment Research
In the last reported quarter, the company delivered an earnings surprise of 5.61%. Its earnings beat estimates in three of the trailing four quarters and came in line once, the average surprise being 7.81%.
Q2 Estimates
Currently, the Zacks Consensus Estimate for second-quarter revenues is pegged at $1.56 billion, suggesting an improvement of 6.8% from the year-ago reported figure. The consensus mark for earnings stands at $1.16 per share, indicating a decline of 11.5% from the prior-year quarter.
Factors to Note
The Instruments & Accessories segment is likely to have witnessed a strong second quarter on the back of growth in da Vinci procedure volume and an increase in system placements.
As evident from the first-quarter earnings call, the pandemic-led disruptions stemming from COVID-19 resurgences hurt the company’s procedure volume in the quarter. However, growth in the utilization of its products continued in the quarter on recovering demand in areas with receding infection cases. The momentum is likely to be reflected in the second-quarter results.
On its first-quarter earnings call, the company stated that the growth of the single port (SP) platform is likely to be driven by additional clinical indications and clearances in markets beyond the United States and Korea. During the first quarter, the company enhanced the development of its SP ecosystem by launching its Firefly Imaging Technology. It will also expand the life of its eight instruments by 65%.
During the first quarter, the use of Intuitive Surgical’s digital product, Intuitive Hub, grew approximately 60% year over year. The company is in discussions with the FDA on how best to characterize some of its core artificial intelligence technology. It will continue to bring its flexible endoscopy platform Ion to scale and boost capacity, quality and cost improvements while seeking to expand access to new markets. These developments might have contributed to Intuitive Surgical’s second-quarter performance.
ISRG’s new platforms made advancements in commercialization, innovation and clinical programs. This trend is likely to have continued in the second quarter as well. However, higher logistics costs during the reported quarter amid supply-chain challenges and rising inflationary pressure are likely to have driven expenses higher, hurting margins.
Earnings Beat Likely
Our proven model predicts an earnings beat for Intuitive Surgical this time around. The combination of a positive Earnings ESP and a Zacks Rank #1 (Strong Buy), 2 (Buy) or 3 (Hold) increases the chances of an earnings beat. You can uncover the best stocks to buy or sell before they are reported with our Earnings ESP Filter.
Earnings ESP: Earnings ESP, which represents the difference between the Most Accurate Estimate ($1.17 per share) and the Zacks Consensus Estimate ($1.16 per share), is +0.24%.
Here are some medical stocks worth considering as these also have the right combination of elements to post an earnings beat this quarter.
STERIS (STE - Free Report) has an Earnings ESP of +1.85% and a Zacks Rank of 1.
STERIS’ stock has declined 14% so far this year. STE topped earnings estimates in the last four reported quarters. STERIS has a four-quarter earnings surprise of 9.2%, on average.
Glaukos (GKOS - Free Report) has an Earnings ESP of +2.27% and a Zacks Rank of 2.
Glaukos’ stock has gained 13.4% so far this year. GKOS topped earnings estimates in the last four reported quarters. Glaukos has a four-quarter earnings surprise of 28.68%, on average.
Alcon (ALC - Free Report) has an Earnings ESP of +5.07% and a Zacks Rank of 2.
Alcon’s stock has declined 18.2% so far this year. ALC topped earnings estimates in the last four reported quarters. Alcon has a four-quarter earnings surprise of 21.37%, on average.
Image: Bigstock
Is a Beat Likely for Intuitive Surgical (ISRG) in Q2 Earnings?
Intuitive Surgical, Inc. (ISRG - Free Report) is scheduled to release second-quarter 2022 results on Jul 21, after the closing bell.
The company’s stock has declined 41.3% so far this year against an increase of 29.5% for the industry.
Image Source: Zacks Investment Research
In the last reported quarter, the company delivered an earnings surprise of 5.61%. Its earnings beat estimates in three of the trailing four quarters and came in line once, the average surprise being 7.81%.
Q2 Estimates
Currently, the Zacks Consensus Estimate for second-quarter revenues is pegged at $1.56 billion, suggesting an improvement of 6.8% from the year-ago reported figure. The consensus mark for earnings stands at $1.16 per share, indicating a decline of 11.5% from the prior-year quarter.
Factors to Note
The Instruments & Accessories segment is likely to have witnessed a strong second quarter on the back of growth in da Vinci procedure volume and an increase in system placements.
As evident from the first-quarter earnings call, the pandemic-led disruptions stemming from COVID-19 resurgences hurt the company’s procedure volume in the quarter. However, growth in the utilization of its products continued in the quarter on recovering demand in areas with receding infection cases. The momentum is likely to be reflected in the second-quarter results.
On its first-quarter earnings call, the company stated that the growth of the single port (SP) platform is likely to be driven by additional clinical indications and clearances in markets beyond the United States and Korea. During the first quarter, the company enhanced the development of its SP ecosystem by launching its Firefly Imaging Technology. It will also expand the life of its eight instruments by 65%.
During the first quarter, the use of Intuitive Surgical’s digital product, Intuitive Hub, grew approximately 60% year over year. The company is in discussions with the FDA on how best to characterize some of its core artificial intelligence technology. It will continue to bring its flexible endoscopy platform Ion to scale and boost capacity, quality and cost improvements while seeking to expand access to new markets. These developments might have contributed to Intuitive Surgical’s second-quarter performance.
ISRG’s new platforms made advancements in commercialization, innovation and clinical programs. This trend is likely to have continued in the second quarter as well. However, higher logistics costs during the reported quarter amid supply-chain challenges and rising inflationary pressure are likely to have driven expenses higher, hurting margins.
Earnings Beat Likely
Our proven model predicts an earnings beat for Intuitive Surgical this time around. The combination of a positive Earnings ESP and a Zacks Rank #1 (Strong Buy), 2 (Buy) or 3 (Hold) increases the chances of an earnings beat. You can uncover the best stocks to buy or sell before they are reported with our Earnings ESP Filter.
Earnings ESP: Earnings ESP, which represents the difference between the Most Accurate Estimate ($1.17 per share) and the Zacks Consensus Estimate ($1.16 per share), is +0.24%.
Zacks Rank: Intuitive Surgical carries a Zacks Rank #3. You can see the complete list of today’s Zacks #1 Rank stocks here.
Intuitive Surgical, Inc. Price and Consensus
Intuitive Surgical, Inc. price-consensus-chart | Intuitive Surgical, Inc. Quote
Other Stocks Worth a Look
Here are some medical stocks worth considering as these also have the right combination of elements to post an earnings beat this quarter.
STERIS (STE - Free Report) has an Earnings ESP of +1.85% and a Zacks Rank of 1.
STERIS’ stock has declined 14% so far this year. STE topped earnings estimates in the last four reported quarters. STERIS has a four-quarter earnings surprise of 9.2%, on average.
Glaukos (GKOS - Free Report) has an Earnings ESP of +2.27% and a Zacks Rank of 2.
Glaukos’ stock has gained 13.4% so far this year. GKOS topped earnings estimates in the last four reported quarters. Glaukos has a four-quarter earnings surprise of 28.68%, on average.
Alcon (ALC - Free Report) has an Earnings ESP of +5.07% and a Zacks Rank of 2.
Alcon’s stock has declined 18.2% so far this year. ALC topped earnings estimates in the last four reported quarters. Alcon has a four-quarter earnings surprise of 21.37%, on average.
Stay on top of upcoming earnings announcements with the Zacks Earnings Calendar.