Intuitive Surgical Pours Cold Water on Near-Term Next-Gen System Talks; 2023 Outlook Mixed

The single remark by Intuitive Surgical's CEO regarding the next-generation system appears to be the market's sole focus, with shares down following the fourth-quarter results. To us, the unequivocal, "no new multi-port system launch in 2023," at least provides some visibility into Intuitive's development plans, and as we weren't explicitly baking in any major systems revenue uplift due to the new platform launch in 2023-24, we largely maintain our key forecast drivers and our fair value estimate. Shares of this wide-moat firm are slightly overvalued at current levels.