Intuitive Surgical, Inc. (ISRG) vs ResMed Inc. (RMD)

Intuitive Surgical, Inc. and ResMed Inc. are both Medical Instruments & Supplies companies. Intuitive Surgical, Inc. is the larger, with a market value of $151.2B against $34.1B — 4.4× the size. ResMed Inc. trades at the lower P/E: 22.8× against 48.3×. Intuitive Surgical, Inc. grew revenue faster over the last twelve months: 20.7% against 9.85%. Intuitive Surgical, Inc. has the higher net margin (28.5% vs 26.9%) and the lower return on invested capital (16.5% vs 21.4%). Across the 22 metrics below, ResMed Inc. leads on 13 and Intuitive Surgical, Inc. on 9.

Valuation

Metric ISRG RMD Medical Instruments & Supplies median
P/E 48.27 22.85 33.75
P/S 13.69 6.15 2.52
P/B 8.26 5.28 2.48
Price to free cash flow 46.23 21.35 25.19
EV/EBITDA 34.29 15.82 14.62
EV/Sales 13.22 5.96 2.88
Earnings yield 2.07% 4.38% (2.67%)
Free cash flow yield 2.16% 4.68% 0.09%

Profitability

Metric ISRG RMD Medical Instruments & Supplies median
Gross margin 66.68% 61.06% 54.29%
Operating margin 31.28% 33.37% 1.07%
Net margin 28.45% 26.94% (1.61%)
Free cash flow margin 29.62% 28.81% 1.08%
Return on equity 17.32% 24.27% (1.32%)
Return on assets 15.30% 17.77% 0.00%
Return on invested capital 16.49% 21.38% 0.00%

Growth

Metric ISRG RMD Medical Instruments & Supplies median
Revenue growth (TTM) 20.66% 9.85% 8.85%
EPS growth (last fiscal year) 22.59% 9.67% 8.65%
Revenue growth, 5-year CAGR 18.22% 12.08% 9.17%
Net income growth, 5-year CAGR 21.91% 26.27% 0.00%

Health

Metric ISRG RMD Medical Instruments & Supplies median
Debt to equity 0.00 0.06 0.10
Current ratio 4.96 3.10 2.48
Net debt to EBITDA (1.64) (0.50) 0.89

Dividend

Metric ISRG RMD Medical Instruments & Supplies median
Dividend yield — 1.03% 1.11%
Payout ratio — 0.24 0.27

Size

Metric ISRG RMD Medical Instruments & Supplies median
Market cap 151.15b 34.07b 619.84m

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