ISRG vs MSFT: Which Is the Better Buy?
Side-by-side comparison of Intuitive Surgical, Inc. and Microsoft Corporation — fair value, conviction, valuation metrics, and QuantHub research signals.
Updated 2026-09-25.
Intuitive Surgical, Inc. · Healthcare
$399.52
+22.4% upside to fair value
Med Conviction
Grade B
High Quality
VS
Microsoft Corporation · Technology
$497.12
+41.3% upside to fair value
High Conviction
Grade A
High Quality
QuantHub Verdict
MSFT has more upside to fair value
(+41.3%).
These are model outputs — not personalized investment advice.
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Valuation & Fundamentals
| Metric |
ISRG |
MSFT |
| Current Price |
$399.52 |
$497.12 |
| Fair Value Estimate |
$488.97 |
$702.35 |
| Upside to Fair Value |
+22.4%
|
+41.3%
|
| Market Cap |
$141.1B |
$3,691.4B |
| Forward P/E |
—
|
—
|
| EV / EBITDA |
30.7x
|
18.3x
|
| Price / Sales |
12.8x
|
11.1x
|
| Price / FCF |
44.0x
|
55.1x
|
| Revenue Growth YoY |
+18.5%
|
+17.7%
|
| Gross Margin |
66.7%
|
67.9%
|
| Operating Margin |
31.3%
|
46.8%
|
| Return on Equity |
17.8%
|
33.2%
|
| Dividend Yield |
0% |
0.73% |
| FCF Yield |
2.28%
|
1.81%
|
| Analyst Consensus |
Strong Buy
|
Strong Buy
|
Investment Thesis
Intuitive Surgical develops, produces, and commercializes the da Vinci surgical system and the Ion endoluminal system, along with instruments, accessories, training, and digital solutions that drive a large installed-base and recurring-revenue model. Business quality is high: TTM gross margin of 66.7%, operating margin of 31.3%, net margin of 28.4%, ROE of 17.8%, and revenue growth of 18.5% with …
Microsoft is a global infrastructure-software platform spanning Azure, Microsoft 365, security, Dynamics, Windows, GitHub and AI copilots, with high business quality supported by enterprise distribution, explicitly cited switching costs, a $678 billion commercial RPO balance, 67.9% TTM gross margin, 46.8% TTM operating margin, 40.3% TTM net margin and 33.2% ROE. Revenue grew 17.7% and earnings gr…
Accumulation Zones
| Metric |
ISRG |
MSFT |
| Zone Low |
$366.73 |
$526.76 |
| Zone High |
$415.62 |
$597.00 |
| In Buy Zone? |
Yes
|
Yes
|