INTUITIVE SURGICAL $415.54 - Nasdaq symbol ISRG

INTUITIVE SURGICAL $415.54 (Nasdaq symbol ISRG; TSINetwork Rating: Average) (515-507-5000; www.intuitivesurgical.com; Shares outstanding: 40.2 million; Market cap: $17.0 billion; No dividends paid) is down over 16% since it released a preliminary revenue forecast for the latest quarter that was below the consensus estimate.

In the second quarter of 2013, the company expects to report revenue of about $575 million, up 7% from $537 million a year earlier. However, that’s well below the consensus estimate of $629.8 million.

Intuitive expects revenue from sales of replacement parts, training and other services to rise 18%, but it predicts a 6% decline in da Vinci system sales. That’s mainly due to tightening hospital budgets in the U.S.

The company already faces investor concerns about complications that may have arisen with da Vinci surgeries. U.S. hospital budgets will likely remain limited for some time, as well.

Intuitive Surgical is a hold.

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