Intuitive Surgical, Inc. (ISRG) vs West Pharmaceutical Services, Inc. (WST)

Intuitive Surgical, Inc. and West Pharmaceutical Services, Inc. are both Medical Instruments & Supplies companies. Intuitive Surgical, Inc. is the larger, with a market value of $140.7B against $26.3B — 5.4× the size. Intuitive Surgical, Inc. trades at the lower P/E: 45.8× against 47.1×. Intuitive Surgical, Inc. grew revenue faster over the last twelve months: 20.7% against 12.4%. Intuitive Surgical, Inc. has the higher net margin (28.5% vs 17.0%) and the higher return on invested capital (16.5% vs 15.4%). Across the 22 metrics below, Intuitive Surgical, Inc. leads on 18 and West Pharmaceutical Services, Inc. on 4.

Valuation

Metric ISRG WST Medical Instruments & Supplies median
P/E 45.83 47.07 34.17
P/S 13.00 7.88 2.83
P/B 7.84 8.77 2.82
Price to free cash flow 43.89 60.56 25.69
EV/EBITDA 32.50 30.16 16.08
EV/Sales 12.53 7.81 3.06
Earnings yield 2.18% 2.12% (1.84%)
Free cash flow yield 2.28% 1.65% 0.17%

Profitability

Metric ISRG WST Medical Instruments & Supplies median
Gross margin 66.68% 36.79% 54.62%
Operating margin 31.28% 20.45% 1.64%
Net margin 28.45% 16.98% 0.00%
Free cash flow margin 29.62% 13.13% 1.61%
Return on equity 17.32% 19.09% 0.00%
Return on assets 15.30% 14.07% 0.00%
Return on invested capital 16.49% 15.42% 0.00%

Growth

Metric ISRG WST Medical Instruments & Supplies median
Revenue growth (TTM) 20.66% 12.38% 9.20%
EPS growth (last fiscal year) 22.59% 1.49% —
Revenue growth, 5-year CAGR 18.22% 7.44% 9.48%
Net income growth, 5-year CAGR 21.91% 7.36% 0.00%

Health

Metric ISRG WST Medical Instruments & Supplies median
Debt to equity 0.00 0.07 0.08
Current ratio 4.96 2.82 2.49
Net debt to EBITDA (1.64) (0.78) 0.83

Dividend

Metric ISRG WST Medical Instruments & Supplies median
Dividend yield — 0.14% 0.99%
Payout ratio 0.00 0.11 0.00

Size

Metric ISRG WST Medical Instruments & Supplies median
Market cap 140.68b 26.29b 938.39m

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