Intuitive Surgical Shares Drop on Slowing Robot Procedure Growth

Shares of Intuitive Surgical, Inc. fell between 11% and 12.66% on July 17, 2026, following a second-quarter earnings report. Despite beating Wall Street expectations with revenue of $2.89 billion—a 19% year-over-year increase—and adjusted earnings of $2.80 per share, investors reacted negatively to a slowdown in U.S. procedure growth, which dropped from 14% in the first quarter to 12%.

Management attributed the domestic slowdown to deferred treatments and changes in patient insurance coverage following the expiration of enhanced Affordable Care Act premium subsidies. The company maintained a cautious worldwide da Vinci procedure growth forecast for 2026, targeting the midpoint of a 13.5% to 15.5% range. This outlook fell short of analyst expectations of roughly 15.3%, leading to multiple price target cuts and a broader sell-off throughout the week of July 18.

The stock has declined approximately 35% from its all-time high reached in early 2025. This volatility is attributed to previously high valuations, including a price-to-earnings ratio of 95x, and increased competition from firms such as Medtronic. Despite the stock pressure, the company reported 11,395 systems in place at the end of the first quarter of 2026, marking a 12% year-over-year increase.