ISRG stock falls to a 42x P/E despite new rivals entering the surgical robotics market, testing growth investors’ patience.
Intuitive Surgical (NASDAQ: ISRG) has retreated roughly 40% from its early 2025 high, leaving its valuation at 42 times earnings. The decline reflects growing competition in the surgical robotics sector, once dominated by the company’s da Vinci system.
Medtronic and Johnson & Johnson have recently secured U.S. approvals for their Hugo and OTTAVA robotic systems, respectively, challenging Intuitive Surgical’s market leadership. The sector has matured, with robotic-assisted surgeries now widely adopted for less invasive procedures.
Despite the pullback, the stock has historically rebounded from steep declines, though rising competition may pressure future growth.