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Intuitive Surgical shares lag health care equipment peers
The stock is down 39.1% from its Jan. 7 52-week high, while the Health Care Equipment ETF has gained over the past three months.
Intuitive Surgical Inc., valued at $133.1 billion by market capitalization, has underperformed other health care equipment stocks, recent market data shows. The company makes and markets minimally invasive surgical products, including the da Vinci robotic-assisted surgery system.
Despite relative strength in its business, ISRG shares slipped 39.1% from their 52-week high of $603.88 reached on Jan. 7. Over the past three months, the stock fell 9.3%, underperforming the State Street SPDR S&P Health Care Equipment ETF, XHE, which rose 19.5% in the same period, Yahoo Finance reports.
On a longer view, ISRG is down 34% on a year-to-date basis and has declined 21% over the past 52 weeks, while XHE has returned 7.7% year to date and 16% over the last year. The stock has also traded below its 50-day moving average since mid-January and has been below its 200-day moving average since late January.
Yahoo Finance attributes the weaker performance to factors including tight hospital capital budgets and growing competition from rival robotic systems. It also flags investor concern that changes to Affordable Care Act exchange coverage could weigh on elective procedure volumes.