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Intuitive Surgical stays a buy despite nearly 30% stock drop, with strong margins and growth outlook.

Analyst Insights
18 Jul 2026
Seeking Alpha
View Source
Bullish
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Intuitive Surgical's stock has fallen nearly 30%, but the company remains a buy due to resilient adoption metrics and strong growth in system placements and installed base. Despite softer U.S. procedure growth, profitability improved with Q2 non-GAAP gross margin rising to 70% and operating margin to 42.1%, alongside an EPS beat by $0.30. The forward price-to-earnings ratio contracted to 36.7, and the company maintains solid guidance for procedure growth, margins, and expenses, supporting a favorable risk/reward profile for investors.

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