November 14, 2012
Intuitive Surgical (Nasdaq: ISRG ) operates under a variation of the razor-and-blades business model: Its first focus is getting customers to buy the razor, then it generates recurring revenue by selling them the required blades. In this case, the "razor" is Intuitive's da Vinci surgical system, and the "blades" are the instruments and accessories that are designed to perform various surgical procedures. Now, Intuitive has just announced a new blade: It recently received clearance from the Food and Drug Administration for a new instrument for surgical stapling. In this video, Motley Fool health care analyst Brenton Flynn tells us why this is a great complement to the company's portfolio of products, how this will impact the company, and who some of its competitors are from here forward.
Intuitive Surgical is known as a disruptive innovator, and this new release for the company is no exception. A true renegade in the health care industry, the company rebelled against the status quo to lead a revolution in medical robotics. Early investors experienced unimaginable gains, some making as much as 30 times their initial investment. Even with those enormous gains in the rearview mirror, the stock could have plenty of room to run into the future. In a brand new premium report on Intuitive Surgical, we've commissioned Karl Thiel to outline the company's key opportunities and risks with surgical precision. As one of the minds behind our Rule Breakers recommendation of the stock in 2005 (before it went on to gain more than 1,000%) Thiel knows the Intuitive Surgical story inside and out. It's a must-read for any current or prospective investor, and comes loaded with a full year of analyst updates. Make sure to claim your copy today by clicking here now.