Intuitive Surgical, Inc. (ISRG) vs Solventum Corporation (SOLV)

Intuitive Surgical, Inc. and Solventum Corporation are both Medical Instruments & Supplies companies. Intuitive Surgical, Inc. is the larger, with a market value of $151.2B against $15.0B — 10.1× the size. Solventum Corporation trades at the lower P/E: 10.4× against 48.3×. Intuitive Surgical, Inc. grew revenue faster over the last twelve months: 20.7% against −0.93%. Intuitive Surgical, Inc. has the higher net margin (28.5% vs 17.3%) and the higher return on invested capital (16.5% vs 13.4%). Across the 19 metrics below, Intuitive Surgical, Inc. leads on 11 and Solventum Corporation on 8.

Valuation

Metric ISRG SOLV Medical Instruments & Supplies median
P/E 48.27 10.44 33.75
P/S 13.69 1.78 2.52
P/B 8.26 3.09 2.48
Price to free cash flow 46.23 n/m 25.19
EV/EBITDA 34.29 7.63 14.62
EV/Sales 13.22 2.37 2.88
Earnings yield 2.07% 9.58% (2.67%)
Free cash flow yield 2.16% (0.80%) 0.09%

Profitability

Metric ISRG SOLV Medical Instruments & Supplies median
Gross margin 66.68% 54.68% 54.29%
Operating margin 31.28% 24.98% 1.07%
Net margin 28.45% 17.26% (1.61%)
Free cash flow margin 29.62% (1.42%) 1.08%
Return on equity 17.32% 33.96% (1.32%)
Return on assets 15.30% 9.78% 0.00%
Return on invested capital 16.49% 13.40% 0.00%

Growth

Metric ISRG SOLV Medical Instruments & Supplies median
Revenue growth (TTM) 20.66% (0.93%) 8.85%
EPS growth (last fiscal year) 22.59% 221.74% 8.65%
Revenue growth, 5-year CAGR 18.22% — 9.17%
Net income growth, 5-year CAGR 21.91% — 0.00%

Health

Metric ISRG SOLV Medical Instruments & Supplies median
Debt to equity 0.00 1.10 0.10
Current ratio 4.96 1.02 2.48
Net debt to EBITDA (1.64) 1.56 0.89

Dividend

Metric ISRG SOLV Medical Instruments & Supplies median
Dividend yield — — 1.11%
Payout ratio — — 0.27

Size

Metric ISRG SOLV Medical Instruments & Supplies median
Market cap 151.15b 14.96b 619.84m

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