Selected stock price target news of the day - July 22nd, 2024

By: Matthew Otto

Intuitive Surgical Reports Q2 2024 Results: EPS and Revenue Surpass Estimates

Intuitive Surgical reported second quarter 2024 results, with earnings per share of $1.78, surpassing the analyst estimate of $1.54 by $0.24. Revenue for the quarter reached $2.01 billion, exceeding the consensus estimate of $1.97 billion.

This growth was driven by a 17% increase in procedures compared to Q2 2023, with contributions from general surgery, particularly cholecystectomy, colon resection, lung resection, and foregut procedures. Regional performance saw strength in Europe, notably in Germany, the U.K., and Italy, while Asia presented mixed market conditions.

Intuitive placed 341 da Vinci systems in the quarter, including 70 da Vinci 5 systems, with capital placements in the U.S., Japan, and India, though Europe and China faced pressure. System utilization globally increased by 2% year-over-year for multiport platforms, with SP and Ion platforms showing double-digit growth.

Financially, Intuitive reported a 14% increase in revenue, reaching $2.01 billion, with constant currency revenue growth at 15%. Gross margins improved to 70%, up from 68.5% in Q2 2023, due to cost reductions, fixed overhead leverage, and one-time benefits. Additionally, operating expenses increased by 11% year-over-year.

Intuitive’s pro forma net income was $641 million, or $1.78 per share, compared to $507 million, or $1.42 per share, in Q2 2023. On a GAAP basis, net income was $527 million, or $1.46 per share, up from $421 million, or $1.18 per share, in the previous year. Intuitive ended the quarter with $7.7 billion in cash and investments, an increase from $7.3 billion at the end of Q1 2024.

Analysts Adjust Ratings and Price Targets Following Strong Results

JP Morgan analyst Sterling Auty maintained an Overweight rating and raised the price target from $475 to $495.
Morgan Stanley analyst Cecilia Furlong maintained an Equal-Weight rating and raised the price target from $460 to $475.
Truist Securities analyst Richard Newitter reiterated a Buy rating and increased the price target from $515 to $520.
BTIG analyst Ryan Zimmerman kept a Buy rating and raised the price target from $459 to $469.
Evercore ISI Group analyst Vijay Kumar reiterated an In-Line rating and lowered the price target from $425 to $410.

Which Analyst has the best track record to show on ISRG?

Analyst Anthony Petrone (MIZUHO) currently has the highest performing score on ISRG with 6/6 (100%) price target fulfillment ratio. His price targets carry an average of $15.03 (4.01%) potential upside. Intuitive Surgical stock price reaches these price targets on average within 45 days.

Domino’s Pizza Reports Q2 2024 Earnings and Updates Store Growth Guidance

Domino’s Pizza reported second quarter for 2024 with earnings per share coming in at $4.03, surpassing analyst estimates of $3.65 by $0.38. Revenue for the quarter was $1.1 billion, matching consensus estimates. Domino’s remains on track to achieve its annual global retail sales growth target of 7% or more and operating profit growth of 8% or more.

Domino’s has adjusted its guidance on net store growth. While the company expects to achieve 175 or more net new stores annually in the US from 2024 to 2028, it anticipates falling short of its 2024 international net store growth target by approximately 175 to 275 stores. Consequently, Domino’s has temporarily suspended its guidance metric of 1,100+ global net stores until the full impact of these challenges is clear.

Financially, global retail sales, excluding foreign currency impacts, grew by 7.2%, with US retail sales increasing by 6.8% and international sales by 7.7%. Same-store sales for the US rose by 4.8%, driven by transaction growth and a 1.5% increase in pricing. Domino’s US system added 32 net new stores, bringing the total to 6,906, and expects to open its 7,000th store by the end of the year.

Internationally, net store growth was 143, bringing the total to over 14,000 stores. Income from operations rose by 1.7%, excluding a $2.7 million negative impact from foreign currency. Domino’s continues to project 7% or more annual global retail sales growth and 8% or more annual income from operations growth through 2028.

Analysts Adjust Price Targets Following Q2 2024 Results

Deutsche Bank analyst Lauren Silberman maintained a Buy rating and lowered the price target from $580 to $500.
Barclays analyst Jeffrey Bernstein maintained an Underweight rating and lowered the price target from $470 to $380.
JP Morgan analyst John Ivankoe reiterated a Neutral rating and lowered the price target from $470 to $450.
BMO Capital analyst Andrew Strelzik reiterated an Outperform rating and downgraded the price target from $575 to $525.
Loop Capital analyst Alton Stump kept a Hold rating and downgraded the price target from $507 to $419.

Which Analyst has the best track record to show on DPZ?

Analyst Brian Mullan (PIPER SANDLER) currently has the highest performing score on DPZ with 17/18 (94.44%) price target fulfillment ratio. His price targets carry an average of $-8.51 (-1.92%) potential downside. Domino’s Pizza stock price reaches these price targets on average within 132 days.

Synovus Financial Exceeds Q2 EPS Estimates Despite Slight Revenue Miss

Synovus Financial reported a second-quarter 2024 net loss of $0.16 per share, largely due to a $256 million loss from securities repositioning linked to its risk-weighted asset optimization. Despite this, the company achieved an adjusted earnings per share of $1.16, surpassing analyst estimates of $0.95 by $0.21.

Revenue for the quarter totaled $537.73 million, missing the consensus estimate of $542.58 million. Adjusted pre-provision net revenue rose by 20% to $262 million, with net interest income increasing by 4% and net interest margin expanding by 16 basis points to 3.2%. Adjusted non-interest revenue also grew by 9% to $127 million, driven by a 128% surge in capital markets fees and performance in treasury and payment solutions. Additionally, adjusted non-interest expense decreased by 5% from the previous quarter, totaling $302 million.

On the credit front, Synovus reported net charge-offs of $34 million, or 32 basis points, a decline from 41 basis points in the first quarter. Non-performing loans fell to 0.59% of total loans, down from 0.81%. Common Equity Tier 1 ratio reaching 10.62%, its highest in over eight years.

For the remainder of 2024, Synovus forecasts period-end loan growth of 0% to 2% and core deposit growth of 2% to 4%. Adjusted revenue growth is projected to range from negative 3% to 0%, assuming a 25 basis point rate cut in December and continued strength in capital markets. Adjusted non-interest expense is expected to increase by 1% to 3%.

Analysts Boost Price Targets Following Q2 Performance

RBC Capital analyst Jon Arfstrom maintained an Outperform rating and increased the price target from $45 to $49.
Barclays analyst Jared Shaw retained an Overweight rating with a price target raised from $46 to $47.
DA Davidson analyst Kevin Fitzsimmons upheld a Buy rating and raised the price target from $47 to $55.
Truist Securities analyst Brandon King maintained a Buy rating and lifted the price target from $44 to $50.

Which Analyst has the best track record to show on SNV?

Analyst Brady Gailey (STIFEL) currently has the highest performing score on SNV with 3/7 (42.86%) price target fulfillment ratio. His price targets carry an average of $2.12 (5.32%) potential upside. Synovus Financial stock price reaches these price targets on average within 98 days.