Intuitive Surgical, Inc. (ISRG): Why This Mega-cap Stock Could Continue Surging Post 52-week Highs

We recently compiled a list of the 10 Mega-Cap Stocks That Could Continue Surging Post 52-Week Highs. In this article, we are going to take a look at where Intuitive Surgical, Inc. (NASDAQ:ISRG) stands against the other mega-cap stocks.

The US stock markets have gone up leading up to the day of President Donald Trump’s inauguration. All the major indices are set to continue their optimism from last week, when the Dow, the S&P, and the Nasdaq all reported gains of over 3.7%.

Even though the S&P had hardly moved from its early November levels when the election happened, many mega-cap stocks continue to register 52-week highs. We looked at some of these stocks and why they are expected to continue surging up with the earnings season already underway.

To come up with our list of 10 mega-cap stocks that could continue surging post 52-week highs, we only considered stocks that have recently hit their 52-week highs and have a market cap of at least $150 billion.

A medical team performing minimally invasive surgery with a da Vinci Surgical System.

Intuitive Surgical, Inc. (NASDAQ:ISRG)

Intuitive Surgical, Inc. is a medical technology company that generates, markets, and manufactures surgical systems.

The company’s share prices went up right after the estimates showed a 25% expected increase in Q4 earnings. The increased revenue forecast was the result of an 18% rise in worldwide surgeries performed using the da Vinci system of ISRG. The company expects worldwide da Vinci procedures to grow 13% to 16% in 2025. Share prices skyrocketed over 60% in the previous year.

The current optimism is also partially driven by the company’s AI prospects. ISRG sits on a vast amount of surgical data which can be used to train AI models. This unique position makes the company a unique AI play, despite its strength in medical devices technology.

Overall ISRG ranks 7th on our list of the mega-cap stocks that could continue surging post 52-week highs. While we acknowledge the potential of ISRG as an investment, our conviction lies in the belief that some AI stocks hold greater promise for delivering higher returns, and doing so within a shorter timeframe. If you are looking for an AI stock that is as promising as ISRG but that trades at less than 5 times its earnings, check out our report about the cheapest AI stock.

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Disclosure: None. This article was originally published at Insider Monkey.