Intuitive Surgica’s Price Target Raised at Stifel

Stifel analysts increased their price target for Intuitive Surgical (NASDAQ:ISRG) from $315.00 to $350.00, maintaining a Buy rating. This adjustment follows conversations with two high-volume robotic surgeons specializing in foregut and general surgery procedures.

Firstly, the surgeons conveyed their belief that Intuitive Surgical could potentially launch their next-generation da Vinci system as early as the first half of 2024. They anticipate that many of the upgrades in the next-gen da Vinci system would be software-based, rather than solely hardware improvements.

The surgeons expect the patient cart in the new system to be similar to the current generation's technology. However, they foresee significant visual enhancements in the next-gen model. This includes improvements in Firefly imaging, which could provide better illumination of vessels and tumors, and the integration of CT images for enhanced visual assistance during surgeries.

Additionally, the surgeons highlighted other possible improvements in the next-gen system. These include the introduction of haptic feedback, which would offer tactile feedback to the surgeon, and potentially integrated insufflation capabilities, which could enhance the efficiency and safety of surgical procedures. These advancements, as discussed by the surgeons, underline the potential for significant developments in robotic-assisted surgery, reinforcing the positive outlook for Intuitive Surgical.