BofA Lowers PT on Intuitive Surgical (ISRG), Cites Inflation to Cause Margin Headwinds

Intuitive Surgical, Inc. (NASDAQ:ISRG) is among our Top Stocks to Buy and Hold for the Long Term. Recently, on June 12, Bank of America Securities analyst Travis Steed lowered the firm’s price target on Intuitive Surgical, Inc. (NASDAQ:ISRG) from $520 to $515, while maintaining a Buy rating on the shares.

​The analyst noted that the adjustment in the price target is based on a more cautious stance for the broader sector heading into 2027. The firm’s services team has flagged a lower utilization environment, which suggests that medical procedures using robotic systems may come in below expectations. Steed has also factored in inflation as a headwind for 2027 and expects it to limit margin expansion across the broader medtech sector.

​Notably, the analyst highlighted that the valuations of the medtech sector already reflect some of this utilization risk; this is why he has lowered price targets now rather than later.

​Overall, the Street’s 12-month average price target suggests roughly 40% upside from the current levels.

Intuitive Surgical, Inc. (NASDAQ:ISRG) engages in the development, manufacturing, and marketing of da Vinci surgical systems and Ion endoluminal system.

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