Intuitive Surgical, Inc. (ISRG) Stock Analysis

Intuitive Surgical’s primary competitive advantage is its dominant installed base and ecosystem surrounding the da Vinci robotic surgery platform. As of mid-2025, the company has over 10,400 da Vinci systems installed globally—more than ten times the estimated installed base of its closest named rivals, such as Medtronic, Johnson & Johnson, and CMR Surgical. This scale creates high switching costs for hospitals and surgeons, who invest heavily in training, workflow integration, and inventory of proprietary instruments.

Recurring revenue from instruments, accessories, and service contracts—comprising 84% of 2024 revenue—provides stability and customer lock-in. The company’s procedure volume growth (17% in 2024) and utilization per system continue to rise, reinforcing network effects: more procedures drive more data, training, and product refinement, which in turn attract new customers.

Intuitive’s regulatory track record is unmatched; da Vinci systems are cleared for a broader range of procedures and geographies than any competitor. The company’s R&D spend ($1.15 billion in 2024) and patent portfolio (over 5,300 active patents) further protect its lead.

Customer satisfaction is high, with strong Net Promoter Scores and surgeon loyalty. While emerging rivals in China and Europe are gaining share in price-sensitive markets, Intuitive’s breadth of clinical evidence, digital ecosystem, and service infrastructure remain difficult to replicate. The main threats are pricing pressure, new entrants in large markets, and disruptive technologies, but Intuitive’s entrenched position and innovation pace provide a substantial moat.