Intuitive Surgical (ISRG): Does Leasing Make Growth More Durable or More Capital Intensive?

Intuitive Surgical, Inc. (NASDAQ:ISRG) is making robotic surgery easier for hospitals to finance. Operating leases accounted for 54% of second-quarter da Vinci placements, up from 49% a year earlier. Lower upfront commitments can expand adoption, but shareholders fund equipment before collecting its lifetime returns. Intuitive Surgical, Inc. (NASDAQ:ISRG) trades at 33x forward P/E and 46x trailing P/E, versus 16x forward P/E for Stryker Corporation (NYSE:SYK). Trailing P/E uses past earnings; forward P/E uses forecasts. Growing procedure volumes and instrument sales support higher expected profits, while a fuller assessment also considers the costs excluded from adjusted earnings.