Fundamental Analysis
The idea of surgical robotics was little more than a curiosity until 1999, the year Intuitive Surgical introduced the da Vinci® Surgical System. Today, Intuitive Surgical is a global leader in the rapidly emerging field of robotic-assisted minimally invasive surgery.
With its corporate headquarters located in Sunnyvale, California, Intuitive Surgical serves customers throughout the United States and internationally, providing technology innovation across cardiac, thoracic, urology, gynecologic, colorectal, pediatric and general surgical disciplines.
Reasons to buy – INTUITIVE SURGICAL
High level decisions on buy or sell for a stock should be driven by
1. The margin that the company makes. i.e. Out of $1 that the company sells how much does the company taken home.
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- Here we see INTUITIVE SURGICAL makes a margin of 33% on Operating Level and about 34% on Net level. This means that out of $1 that it makes $0.34 is being pocketed as profits.
2. The growth rates of the company on revenue, net income, EPS and Dividend. i.e. If it sold $1 last year how much more did it sell this year.
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- Here we see net revenue growth of 25% in the revenue and the net profit figures grew by 59%.
3. The efficiency ratios of the company on Equity and Assets. i.e. How well is the company able to sweat each $1 that it puts to work in the company.
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- Here we see INTUITIVE SURGICAL makes a Return on Assets of 18% and Return of Equity of 21% which is pretty good.
INTUITIVE SURGICAL is involved in development and manufacturing of delicate instruments used for invasive surgery. Given all the fundamental parameters are clear of the thresholds that we have set this falls in our good books.
GOLD STANDARD : This is one of the no-debate stocks that are a must have in ones portfolio.
All these ratios can be found in the attached excel sheets and are based on the EDGAR report submitted by INTUITIVE SURGICAL to the SEC. All the data on the above analysis can be found at the link below
Balance Sheet
Income Statement
