Common Stock Valuation Ratios (Price Multiples)
Valuation ratios measure the quantity of an asset or flaw (e.g., earnings) associated with ownership of a specified claim (e.g., a share of ownership of the enterprise).
Current Valuation Ratios
Intuitive Surgical Inc., current price multiples
| Intuitive Surgical Inc. | Abbott Laboratories | Cigna Group | CVS Health Corp. | Elevance Health Inc. | Humana Inc. | Medtronic PLC | UnitedHealth Group Inc. | Health Care Equipment & Services | Health Care | ||||
|---|---|---|---|---|---|---|---|---|---|---|---|---|---|
| Selected Financial Data | |||||||||||||
| Current share price (P) | $538.82 | ||||||||||||
| No. shares of common stock outstanding | 356,179,445 | ||||||||||||
| Growth rate (g) | 13.50% | ||||||||||||
| Earnings per share (EPS) | $5.05 | ||||||||||||
| Next year expected EPS | $5.73 | ||||||||||||
| Operating profit per share | $4.96 | ||||||||||||
| Sales per share | $20.00 | ||||||||||||
| Book value per share (BVPS) | $37.36 | ||||||||||||
| Valuation Ratios (Price Multiples) | |||||||||||||
| Price to earnings (P/E) | 106.74 | 35.50 | 17.37 | 8.41 | 15.27 | 13.44 | 29.65 | 23.73 | 23.72 | 29.13 | |||
| Price to next year expected earnings | 94.05 | 33.22 | 15.60 | 7.93 | 13.57 | 11.44 | 29.12 | 20.24 | 21.54 | 26.42 | |||
| Price-earnings-growth (PEG) | 7.91 | 5.17 | 1.53 | 1.37 | 1.22 | 0.77 | 16.17 | 1.38 | 2.34 | 2.83 | |||
| Price to operating profit (P/OP) | 108.62 | 31.36 | 10.51 | 5.11 | 12.01 | 8.33 | 21.19 | 16.41 | 16.50 | 24.72 | |||
| Price to sales (P/S) | 26.94 | 5.07 | 0.46 | 0.20 | 0.54 | 0.32 | 3.37 | 1.44 | 1.04 | 2.23 | |||
| Price to book value (P/BV) | 14.42 | 5.26 | 1.94 | 0.92 | 2.33 | 2.06 | 2.17 | 5.98 | 3.56 | 4.96 | |||
Based on: 10-K (reporting date: 2023-12-31).
If the company price multiple is lower then the price multiple of benchmark then company stock is relatively undervalued.
Otherwise, if the company price multiple is higher then the price multiple of benchmark then company stock is relatively overvalued.
Historical Valuation Ratios (Summary)
Intuitive Surgical Inc., historical price multiples
Based on: 10-K (reporting date: 2023-12-31), 10-K (reporting date: 2022-12-31), 10-K (reporting date: 2021-12-31), 10-K (reporting date: 2020-12-31), 10-K (reporting date: 2019-12-31).
| Valuation ratio | Description | The company |
|---|---|---|
| P/E ratio | The P/E ratio tells analyst how much an investor in common stock pays per dollar of current earnings. | Intuitive Surgical Inc. P/E ratio increased from 2021 to 2022 and from 2022 to 2023. |
| P/OP ratio | Because P/E ratio is calculated using net income, the ratio can be sensitive to nonrecurring earnings and capital structure, analysts may use price to operating profit. | Intuitive Surgical Inc. P/OP ratio decreased from 2021 to 2022 but then increased from 2022 to 2023 exceeding 2021 level. |
| P/S ratio | An rationale for the P/S ratio is that sales, as the top line in an income statement, are generally less subject to distortion or manipulation than other fundamentals such as EPS or book value. Sales are also more stable than earnings and never negative. | Intuitive Surgical Inc. P/S ratio decreased from 2021 to 2022 but then increased from 2022 to 2023 exceeding 2021 level. |
| P/BV ratio | The P/BV ratio is interpreted as an indicator of market judgment about the relationship between a company required rate of return and its actual rate of return. | Intuitive Surgical Inc. P/BV ratio decreased from 2021 to 2022 but then increased from 2022 to 2023 exceeding 2021 level. |
Price to Earnings (P/E)
Intuitive Surgical Inc., historical P/E calculation, comparison to benchmarks
| Dec 31, 2023 | Dec 31, 2022 | Dec 31, 2021 | Dec 31, 2020 | Dec 31, 2019 | ||
|---|---|---|---|---|---|---|
| No. shares of common stock outstanding1 | 352,325,863 | 350,389,679 | 357,744,031 | 353,154,894 | 347,952,132 | |
| Selected Financial Data (US$) | ||||||
| Net income attributable to Intuitive Surgical, Inc. (in thousands) | 1,798,000) | 1,322,300) | 1,704,600) | 1,060,600) | 1,379,300) | |
| Earnings per share (EPS)2 | 5.10 | 3.77 | 4.76 | 3.00 | 3.96 | |
| Share price1, 3 | 378.22 | 245.27 | 285.60 | 262.70 | 193.14 | |
| Valuation Ratio | ||||||
| P/E ratio4 | 74.11 | 64.99 | 59.94 | 87.47 | 48.72 | |
| Benchmarks | ||||||
| P/E Ratio, Competitors5 | ||||||
| Abbott Laboratories | 34.57 | 26.76 | 29.13 | 48.49 | 41.83 | |
| Cigna Group | 19.03 | 13.13 | 13.43 | 8.71 | 13.26 | |
| CVS Health Corp. | 11.47 | 27.53 | 17.39 | 12.88 | 14.15 | |
| Elevance Health Inc. | 19.80 | 19.20 | 18.13 | 15.87 | 15.96 | |
| Humana Inc. | 17.64 | 22.52 | 18.34 | 14.48 | 18.10 | |
| Medtronic PLC | 30.94 | 23.38 | 46.56 | 26.30 | 28.78 | |
| UnitedHealth Group Inc. | 20.53 | 22.46 | 26.03 | 20.54 | 20.48 | |
| P/E Ratio, Sector | ||||||
| Health Care Equipment & Services | 22.70 | 23.02 | 25.01 | 21.10 | 21.63 | |
| P/E Ratio, Industry | ||||||
| Health Care | 30.09 | 20.36 | 19.87 | 29.50 | 21.10 | |
Based on: 10-K (reporting date: 2023-12-31), 10-K (reporting date: 2022-12-31), 10-K (reporting date: 2021-12-31), 10-K (reporting date: 2020-12-31), 10-K (reporting date: 2019-12-31).
1 Data adjusted for splits and stock dividends.
2 2023 Calculation
EPS = Net income attributable to Intuitive Surgical, Inc. ÷ No. shares of common stock outstanding
= 1,798,000,000 ÷ 352,325,863 = 5.10
3 Closing price as at the filing date of Intuitive Surgical Inc. Annual Report.
4 2023 Calculation
P/E ratio = Share price ÷ EPS
= 378.22 ÷ 5.10 = 74.11
5 Click competitor name to see calculations.
| Valuation ratio | Description | The company |
|---|---|---|
| P/E ratio | The P/E ratio tells analyst how much an investor in common stock pays per dollar of current earnings. | Intuitive Surgical Inc. P/E ratio increased from 2021 to 2022 and from 2022 to 2023. |
Price to Operating Profit (P/OP)
Intuitive Surgical Inc., historical P/OP calculation, comparison to benchmarks
| Dec 31, 2023 | Dec 31, 2022 | Dec 31, 2021 | Dec 31, 2020 | Dec 31, 2019 | ||
|---|---|---|---|---|---|---|
| No. shares of common stock outstanding1 | 352,325,863 | 350,389,679 | 357,744,031 | 353,154,894 | 347,952,132 | |
| Selected Financial Data (US$) | ||||||
| Income from operations (in thousands) | 1,766,800) | 1,577,100) | 1,821,000) | 1,049,800) | 1,374,500) | |
| Operating profit per share2 | 5.01 | 4.50 | 5.09 | 2.97 | 3.95 | |
| Share price1, 3 | 378.22 | 245.27 | 285.60 | 262.70 | 193.14 | |
| Valuation Ratio | ||||||
| P/OP ratio4 | 75.42 | 54.49 | 56.11 | 88.37 | 48.89 | |
| Benchmarks | ||||||
| P/OP Ratio, Competitors5 | ||||||
| Abbott Laboratories | 30.54 | 22.18 | 24.45 | 40.69 | 34.03 | |
| Cigna Group | 11.51 | 10.40 | 9.08 | 9.03 | 8.38 | |
| CVS Health Corp. | 6.96 | 14.75 | 10.43 | 6.65 | 7.83 | |
| Elevance Health Inc. | 15.57 | 15.05 | 15.70 | 12.10 | 13.55 | |
| Humana Inc. | 10.94 | 16.63 | 17.08 | 9.78 | 15.35 | |
| Medtronic PLC | 21.20 | 20.48 | 37.44 | 26.29 | 21.26 | |
| UnitedHealth Group Inc. | 14.20 | 15.89 | 18.77 | 14.12 | 14.40 | |
| P/OP Ratio, Sector | ||||||
| Health Care Equipment & Services | 15.79 | 17.02 | 18.57 | 15.61 | 15.23 | |
| P/OP Ratio, Industry | ||||||
| Health Care | 25.54 | 15.88 | 16.54 | 21.85 | 17.29 | |
Based on: 10-K (reporting date: 2023-12-31), 10-K (reporting date: 2022-12-31), 10-K (reporting date: 2021-12-31), 10-K (reporting date: 2020-12-31), 10-K (reporting date: 2019-12-31).
1 Data adjusted for splits and stock dividends.
2 2023 Calculation
Operating profit per share = Income from operations ÷ No. shares of common stock outstanding
= 1,766,800,000 ÷ 352,325,863 = 5.01
3 Closing price as at the filing date of Intuitive Surgical Inc. Annual Report.
4 2023 Calculation
P/OP ratio = Share price ÷ Operating profit per share
= 378.22 ÷ 5.01 = 75.42
5 Click competitor name to see calculations.
| Valuation ratio | Description | The company |
|---|---|---|
| P/OP ratio | Because P/E ratio is calculated using net income, the ratio can be sensitive to nonrecurring earnings and capital structure, analysts may use price to operating profit. | Intuitive Surgical Inc. P/OP ratio decreased from 2021 to 2022 but then increased from 2022 to 2023 exceeding 2021 level. |
Price to Sales (P/S)
Intuitive Surgical Inc., historical P/S calculation, comparison to benchmarks
| Dec 31, 2023 | Dec 31, 2022 | Dec 31, 2021 | Dec 31, 2020 | Dec 31, 2019 | ||
|---|---|---|---|---|---|---|
| No. shares of common stock outstanding1 | 352,325,863 | 350,389,679 | 357,744,031 | 353,154,894 | 347,952,132 | |
| Selected Financial Data (US$) | ||||||
| Revenue (in thousands) | 7,124,100) | 6,222,200) | 5,710,100) | 4,358,400) | 4,478,500) | |
| Sales per share2 | 20.22 | 17.76 | 15.96 | 12.34 | 12.87 | |
| Share price1, 3 | 378.22 | 245.27 | 285.60 | 262.70 | 193.14 | |
| Valuation Ratio | ||||||
| P/S ratio4 | 18.71 | 13.81 | 17.89 | 21.29 | 15.01 | |
| Benchmarks | ||||||
| P/S Ratio, Competitors5 | ||||||
| Abbott Laboratories | 4.93 | 4.25 | 4.78 | 6.30 | 4.83 | |
| Cigna Group | 0.51 | 0.49 | 0.42 | 0.46 | 0.44 | |
| CVS Health Corp. | 0.27 | 0.36 | 0.47 | 0.35 | 0.37 | |
| Elevance Health Inc. | 0.70 | 0.74 | 0.81 | 0.60 | 0.74 | |
| Humana Inc. | 0.42 | 0.68 | 0.65 | 0.64 | 0.76 | |
| Medtronic PLC | 3.72 | 3.72 | 5.57 | 4.36 | 4.36 | |
| UnitedHealth Group Inc. | 1.25 | 1.40 | 1.58 | 1.24 | 1.18 | |
| P/S Ratio, Sector | ||||||
| Health Care Equipment & Services | 0.99 | 1.06 | 1.24 | 1.10 | 1.05 | |
| P/S Ratio, Industry | ||||||
| Health Care | 2.30 | 2.15 | 2.28 | 2.25 | 2.13 | |
Based on: 10-K (reporting date: 2023-12-31), 10-K (reporting date: 2022-12-31), 10-K (reporting date: 2021-12-31), 10-K (reporting date: 2020-12-31), 10-K (reporting date: 2019-12-31).
1 Data adjusted for splits and stock dividends.
2 2023 Calculation
Sales per share = Revenue ÷ No. shares of common stock outstanding
= 7,124,100,000 ÷ 352,325,863 = 20.22
3 Closing price as at the filing date of Intuitive Surgical Inc. Annual Report.
4 2023 Calculation
P/S ratio = Share price ÷ Sales per share
= 378.22 ÷ 20.22 = 18.71
5 Click competitor name to see calculations.
| Valuation ratio | Description | The company |
|---|---|---|
| P/S ratio | An rationale for the P/S ratio is that sales, as the top line in an income statement, are generally less subject to distortion or manipulation than other fundamentals such as EPS or book value. Sales are also more stable than earnings and never negative. | Intuitive Surgical Inc. P/S ratio decreased from 2021 to 2022 but then increased from 2022 to 2023 exceeding 2021 level. |
Price to Book Value (P/BV)
Intuitive Surgical Inc., historical P/BV calculation, comparison to benchmarks
| Dec 31, 2023 | Dec 31, 2022 | Dec 31, 2021 | Dec 31, 2020 | Dec 31, 2019 | ||
|---|---|---|---|---|---|---|
| No. shares of common stock outstanding1 | 352,325,863 | 350,389,679 | 357,744,031 | 353,154,894 | 347,952,132 | |
| Selected Financial Data (US$) | ||||||
| Total Intuitive Surgical, Inc. stockholders’ equity (in thousands) | 13,307,600) | 11,041,900) | 11,901,100) | 9,731,500) | 8,263,800) | |
| Book value per share (BVPS)2 | 37.77 | 31.51 | 33.27 | 27.56 | 23.75 | |
| Share price1, 3 | 378.22 | 245.27 | 285.60 | 262.70 | 193.14 | |
| Valuation Ratio | ||||||
| P/BV ratio4 | 10.01 | 7.78 | 8.59 | 9.53 | 8.13 | |
| Benchmarks | ||||||
| P/BV Ratio, Competitors5 | ||||||
| Abbott Laboratories | 5.12 | 5.06 | 5.75 | 6.65 | 4.96 | |
| Cigna Group | 2.13 | 1.95 | 1.53 | 1.46 | 1.49 | |
| CVS Health Corp. | 1.25 | 1.61 | 1.83 | 1.33 | 1.47 | |
| Elevance Health Inc. | 3.02 | 3.19 | 3.07 | 2.19 | 2.42 | |
| Humana Inc. | 2.70 | 4.13 | 3.34 | 3.55 | 4.07 | |
| Medtronic PLC | 2.26 | 2.24 | 3.26 | 2.48 | 2.66 | |
| UnitedHealth Group Inc. | 5.18 | 5.81 | 6.27 | 4.83 | 4.92 | |
| P/BV Ratio, Sector | ||||||
| Health Care Equipment & Services | 3.41 | 3.54 | 3.77 | 3.20 | 3.08 | |
| P/BV Ratio, Industry | ||||||
| Health Care | 5.13 | 4.66 | 4.78 | 4.66 | 4.41 | |
Based on: 10-K (reporting date: 2023-12-31), 10-K (reporting date: 2022-12-31), 10-K (reporting date: 2021-12-31), 10-K (reporting date: 2020-12-31), 10-K (reporting date: 2019-12-31).
1 Data adjusted for splits and stock dividends.
2 2023 Calculation
BVPS = Total Intuitive Surgical, Inc. stockholders’ equity ÷ No. shares of common stock outstanding
= 13,307,600,000 ÷ 352,325,863 = 37.77
3 Closing price as at the filing date of Intuitive Surgical Inc. Annual Report.
4 2023 Calculation
P/BV ratio = Share price ÷ BVPS
= 378.22 ÷ 37.77 = 10.01
5 Click competitor name to see calculations.
| Valuation ratio | Description | The company |
|---|---|---|
| P/BV ratio | The P/BV ratio is interpreted as an indicator of market judgment about the relationship between a company required rate of return and its actual rate of return. | Intuitive Surgical Inc. P/BV ratio decreased from 2021 to 2022 but then increased from 2022 to 2023 exceeding 2021 level. |