15 Best Stocks to Buy During Recession

6. Intuitive Surgical, Inc. (NASDAQ:ISRG)

Number of Hedge Fund Holders: 95

Intuitive Surgical, Inc. (NASDAQ:ISRG) develops, produces, and markets a robotic system for assisting minimally invasive surgery. Morgan Stanley opines that the company’s Q1 2025 report and detailed commentary on tariffs exhibit a clearing event for the stock, and the firm sees a healthy entry point to one of the best business models in MedTech. As per the firm, outside of tariffs, Intuitive Surgical, Inc. (NASDAQ:ISRG)’s base business remains in a strong place. Elsewhere, William Blair analyst Brandon Vazquez maintained the bullish stance on the company’s stock. This analyst’s rating was backed by a combination of factors demonstrating the company’s strong performance and growth potential.

As per the analyst, Intuitive Surgical, Inc. (NASDAQ:ISRG)’s Q1 2025 results surpassed expectations thanks to impressive global and international procedure growth rates, which demonstrate strong demand for the company’s offerings. Furthermore, the analyst opines that, despite macroeconomic challenges, Intuitive Surgical, Inc. (NASDAQ:ISRG) has demonstrated resilience. Its strategic initiatives, which include the operating lease strategy, continue to help mitigate the risks, says Vazquez. In Q1 2025, revenue came in at $2.25 billion, reflecting an increase of 19% as compared with $1.89 billion in Q1 2024. The increased revenue was aided by higher growth in da Vinci procedure volume, higher da Vinci system placements, and a rise in the installed base of systems.

Baron Funds, an investment management company, released its Q4 2024 investor letter. Here is what the fund said:

“Apart from cash, stock selection was positive overall due to solid gains from a handful of holdings in health care equipment, biotechnology, life sciences tools & services, and health care services. Stock selection in health care equipment was an 80-plus basis point tailwind to performance owing to modest gains from the Fund’s large positions in global medical device manufacturer Boston Scientific Corporation and robotic surgical system leader Intuitive Surgical, Inc. (NASDAQ:ISRG). Intuitive’s quarterly revenue and earnings surpassed Street expectations due to strong systems placements and procedure growth. The company remains in the early stages of a new product cycle with its new da Vinci 5 system, and we continue to believe the company has a long runway for growth driven by continued adoption and expansion of robotic surgery.”