5 Best Medical Technology Stocks to Buy

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

Number of Hedge Fund Holders: 69

Intuitive Surgical, Inc. (NASDAQ:ISRG) is a California-based company that develops, manufactures, and markets products that enable physicians and healthcare providers to enhance the quality of and access to minimally invasive care in the United States and internationally. On October 25, Intuitive Surgical, Inc. (NASDAQ:ISRG) inked a $1 billion share repurchase agreement with Citibank. The company will make an initial payment of $1 billion to Citi and receive an initial delivery of nearly 3.6 million shares. Final settlement of the agreement is expected to occur around the last week of December. 

On December 12, investment advisory Citi raised the firm’s price target on Intuitive Surgical, Inc. (NASDAQ:ISRG) to $318 from $245 and maintained a Buy rating on the shares. Analyst Joanne Wuensch issued the ratings update. 

According to Insider Monkey’s third quarter database, 69 hedge funds were bullish on Intuitive Surgical, Inc. (NASDAQ:ISRG), compared to 56 funds in the prior quarter. Israel Englander’s Millennium Management is a significant position holder in the company, with 4.2 million shares worth $796 million. 

Polen Capital made the following comment about Intuitive Surgical, Inc. (NASDAQ:ISRG) in its Q3 2022 investor letter:

“Our sale of Intuitive Surgical, Inc. (NASDAQ:ISRG) reflected our concern that the company’s earnings growth over the next few years was likely to be somewhat lower than we would hope. Hospital and government capital budgets are coming under pressure from wage and supply chain inflation that they cannot readily pass on to patients and insurers. At the same time, the installed base of Da Vinci robots left to upgrade to new systems is low. If that slower growth view plays out, it would be difficult to get the double-digit annualized return we require, given the company’s higher valuation relative to most other companies in the Portfolio as of now.”