Using the PEG framework with analyst consensus forward EPS growth of 16.0%, Intuitive Surgical, Inc. has a fair value of $160.98 based on NTM EPS (FY2026) of $10.05. The current PEG ratio is 2.93.
PEG < 1 = bargain, 1–1.5 = fair, > 2 = expensive.
PEG is most informative for high-growth companies — the PEG sweet spot.
| EPS Growth RateForward | 16.0% |
| Adjusted Growth (clamped 8–25%) | 16.0% |
| Fair P/E | 16.0x |
| NTM EPS (FY2026) | $10.05 |
| Fair Value | $160.98 |
| Period | EPS Est. | Growth | Analysts |
|---|---|---|---|
| FY2025 (actual) | $7.87 | — | — |
| FY2026E | $10.05 | +27.7% | 26 |
| FY2027E | $11.48 | +14.3% | 26 |
| FY2028E | $13.22 | +15.2% | 23 |
| FY2029E | $15.13 | +14.4% | 11 |
| FY2030E | $16.55 | +9.4% | 11 |
5Y Forward EPS CAGR: 16.0%
| Year | Net Income | EPS | YoY |
|---|---|---|---|
| FY2021 | $1.7B | $4.66 | — |
| FY2022 | $1.3B | $3.65 | -21.7% |
| FY2023 | $1.8B | $5.03 | +37.8% |
| FY2024 | $2.3B | $6.42 | +27.6% |
| FY2025 | $2.9B | $7.87 | +22.6% |
4Y Historical EPS CAGR: 14.0%
The PEG Fair Value uses the Price/Earnings-to-Growth framework. A stock is fairly valued when its P/E ratio equals its earnings growth rate (PEG = 1.0). This model adds dividend yield to the growth rate per the original PEGY formula.
Growth rate priority: analyst consensus forward EPS CAGR (when ≥ 3 analysts cover the stock), falling back to historical EPS CAGR. Using EPS rather than net income avoids distortion from share buybacks. The growth rate is clamped between 8% and 25% — below 8% would undervalue stable earners, while above 25% would overvalue unsustainable spikes.