), the leader in robotic surgery, is set to report its
first-quarter 2013 results on Apr 18, 2013. Let's see how things
are shaping up prior to the announcement.
In the last quarter, the company posted a positive earnings
surprise of 5.5% riding on continued demand for its surgical
Growth Factors this Past Quarter
Intuitive Surgical faces little direct competition in robotic
surgery. The installed base of Intuitive Surgical continues to
grow steadily as hospitals are compelled to upgrade their systems
with these expensive machines. Recurring revenues from Instrument
sales continue to climb steadily.
Our proven model does not conclusively show that Intuitive
Surgical is likely to beat earnings estimates this quarter. This
is because a stock needs to have both a positive Earnings ESP
Zacks Earnings ESP: A Better Method
) and a Zacks Rank #1, #2 or #3 for this to happen. This is not
the case here as you will see below.
Negative Zacks ESP: The Most Accurate Estimate stands at $3.96
while the Zacks Consensus Estimate is pegged at $3.99. This comes
to a difference of -0.75%.
Zacks Rank #3 (Hold): Intuitive Surgical's Zacks Rank #3
(Hold) lowers the predictive power of ESP because the Zacks Rank
#3 when combined with a negative ESP makes surprise prediction
difficult. We caution against stocks with Zacks Ranks #4
and #5 (Sell rated stocks) going into the earnings announcement,
especially when the company is seeing negative estimate revisions
Other Stocks to Consider
Here are some companies you may want to consider as our model
shows they have the right combination of elements to post an
earnings beat this quarter.
), Earnings ESP of +18.18% and a Zacks Rank #1 (Strong Buy)
Coventry Health Care Inc.
), Earnings ESP of +7.69% and a Zacks Rank #1 (Strong Buy)
), Earnings ESP of +8.00% and a Zacks Rank #2 (Buy)
COVENTRY HLTHCR (CVH): Free Stock Analysis
HANGER ORTHOPED (HGR): Free Stock Analysis
INTUITIVE SURG (ISRG): Free Stock Analysis
NUVASIVE INC (NUVA): Free Stock Analysis
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