New York, Jan 24, 2026, 17:23 EST — The market has closed.
- Intuitive Surgical shares ended Friday at $523.99, slipping roughly 0.4%
- The company surpassed quarterly estimates but projected slower growth for da Vinci procedures in 2026
- Tariffs and hospital demand signals remain key focus points heading into Monday
Intuitive Surgical (ISRG.O) shares ended Friday 0.4% lower at $523.99, with investors digesting a quarterly beat offset by a weaker growth forecast and higher tariff expenses.
U.S. markets remain closed until Monday, leaving the stock heading into the new week shadowed by two key uncertainties: the pace at which procedure growth slows, and the extent to which tariffs will erode margins.
That’s key since “procedure growth”—the count of surgeries done with Intuitive’s robots—directly boosts demand for the single-use instruments and accessories that form a large portion of repeat sales. Gross margin, the profit remaining after manufacturing and delivery, is now influenced heavily by trade policy and the product mix.
Intuitive beat Wall Street’s Q4 profit and revenue estimates on Thursday, buoyed by steady demand for its da Vinci surgical robots. The company reported an 18% jump in da Vinci procedure volumes compared to last year. Shares climbed 3.3% in after-hours trading. Looking ahead, Intuitive expects da Vinci-assisted procedures to rise 13% to 15% in 2026, down from an 18% increase projected for 2025. It also forecast a 2026 gross profit margin of 67% to 68%, factoring in about a 1.2% revenue hit from tariffs, noting that over 80% of its instruments and accessories come from Mexico. (Reuters)
The regulatory filing revealed Intuitive installed 532 da Vinci systems this quarter, including 303 of the da Vinci 5 models, pushing its total installed base to 11,106 systems. The company also deployed 42 Ion systems, with Ion procedures jumping roughly 44% year-on-year. Quarterly revenue hit $2.87 billion, while non-GAAP net income — the adjusted figure — came in at $914 million. (SEC)
On Friday, Intuitive softened its headline to focus on long-term adoption, noting that over 20 million patients worldwide had been treated with da Vinci systems by the end of 2025. CEO Dave Rosa described it as “a future of care that is less invasive and profoundly better.” (Businessinsider)
The downside scenario is clear enough. On the earnings call, management highlighted capital constraints in parts of Europe, budget hurdles in Japan, and increased competition in China. They also warned that tariff impacts could shift rapidly if trade policies change. CFO Jamie Samath noted, “the tender win ratio was lower in Q4.” Executives linked some of the margin squeeze last quarter to tariffs and the rising share of newer systems. (The Motley Fool)
Some analysts pushed back, suggesting the 2026 estimates might be on the low side if utilization holds firm. Leerink Partners’ Mike Kratky noted the forecast “leaves room for upside based on robust utilization of da Vinci” and bumped his price target to $622. (Investors)
Trading picks back up Monday, with investors keyed into any shifts in estimates, follow-ups from the earnings call, and fresh tariff news that might shake up margin forecasts. Another moment to watch is Jan. 29, when medtech rival Stryker reports its quarterly results and hospital demand trends, shedding light on surgical equipment spending. (Stryker)
