| Stock (Symbol) | Stock Price | |
Intuitive Surgical (ISRG) |
$540 |
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| Data is as of | Expected to Report | Sector |
November 5, 2012 |
Jan 15 |
Healthcare |
| Sharek’s Take | ||
 Today I will sell Intuitive Surgical (ISRG) from the Growth Portfolio because I feel the stock doesn’t possess enough upside and the funds can be better used elsewhere. I have a hard time selling this stock as its been one of my best winners throughout the years. I originally purchased ISRG at $29 on 10/27/04, then sold it at $96 1/19/09 only to buy it back at $211 on 7/22/09. Right now, I feel this solid stock is around as high as it can go for the next twelve months. |
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| One-Year Chart | ||
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| Earnings Table | ||
 Last quarter profits grew 22% on a 20% rise in sales. There were 155 da Vinci’s sold, up from 133 a year ago.ISRG only beat by 4 cents last quarter due to weakness in Europe. The company usually crushes estimates. So momentum has slowed. Annual Profit Estimates are similar to last quarter, another sign of slowing momentum. Quarterly estimates aren’t great for the next two quarters, but ISRG could beat the street. I guess profits could grow 20% to 25% next year. |
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| Fair Value | ||
 This stock is $538 and I think should be $526 next year. |
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| Ten-Year Chart | ||
 This has been one of the great stocks of the last decade. During the big fall from $350 to $100 there were real concerns about hospitals getting funding to buy da Vinci’s.ISRG gets half its revenue from replacement parts for existing machines, so this will continue to be a good investment — its just expensive now. |
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| Power Ranking | Bottom Line | |
Growth Portfolio
N/A |
Intuitive Surgical is a great company to own, the stock’s just a little high. I will sell ISRG from the Growth Portfolio but keep the stock on my radar. Right now I’d buy it back at $350. |
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Aggressive Growth Portfolio
N/A |
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Here’s this quarter’s current one-year chart of ISRG. Profits have grown 