WallStSmart

HCA Holdings Inc (HCA)vsIntuitive Surgical Inc (ISRG)

VS

Smart Verdict

WallStSmart Research — data-driven comparison

HCA Holdings Inc generates 622% more annual revenue ($76.39B vs $10.58B). ISRG leads profitability with a 28.1% profit margin vs 8.9%. HCA appears more attractively valued with a PEG of 1.29. ISRG earns a higher WallStSmart Score of 64/100 (C+).

HCA

Buy

63

out of 100

Grade: C+

Growth: 5.3Profit: 8.0Value: 6.0Quality: 6.0
Piotroski: 5/9Altman Z: 1.71

ISRG

Buy

64

out of 100

Grade: C+

Growth: 8.0Profit: 9.0Value: 5.3Quality: 7.8
Piotroski: 4/9Altman Z: 6.18
IV

Intrinsic Value Comparison

Multi-model valuation · Graham Formula

HCAFair Value (-4.8%)

Margin of Safety

-4.8%

Fair Value

$506.98

Current Price

$435.19

$71.79 premium

UndervaluedFair: $506.98Overvalued
ISRGUndervalued (+76.6%)

Margin of Safety

+76.6%

Fair Value

$1938.99

Current Price

$450.06

$1488.93 discount

UndervaluedFair: $1938.99Overvalued

Key Strengths & Concerns

Side-by-side fundamental analysis

Key Strengths

HCA4 strengths · Avg: 9.3/10
Return on EquityProfitability
136.3%10/10

Every $100 of equity generates 136 in profit

Debt/EquityHealth
-8.3310/10

Conservative balance sheet, low leverage

Market CapQuality
$95.17B9/10

Large-cap with strong market position

P/E RatioValuation
14.8x8/10

Attractively priced relative to earnings

ISRG5 strengths · Avg: 9.2/10
Operating MarginProfitability
30.9%10/10

Strong operational efficiency at 30.9%

Altman Z-ScoreHealth
6.1810/10

Safe zone — low bankruptcy risk

Market CapQuality
$160.61B9/10

Large-cap with strong market position

Profit MarginProfitability
28.1%9/10

Keeps 28 of every $100 in revenue as profit

Revenue GrowthGrowth
23.0%8/10

Revenue surging 23.0% year-over-year

Areas to Watch

HCA2 concerns · Avg: 4.0/10
Revenue GrowthGrowth
4.3%4/10

4.3% revenue growth

Altman Z-ScoreHealth
1.714/10

Distress zone — elevated risk

ISRG3 concerns · Avg: 3.3/10
PEG RatioValuation
2.374/10

Expensive relative to growth rate

Price/BookValuation
9.1x4/10

Trading at 9.1x book value

P/E RatioValuation
55.2x2/10

Premium valuation, high expectations priced in

Comparative Analysis Report

WallStSmart Research

Bull Case : HCA

The strongest argument for HCA centers on Return on Equity, Debt/Equity, Market Cap. PEG of 1.29 suggests the stock is reasonably priced for its growth.

Bull Case : ISRG

The strongest argument for ISRG centers on Operating Margin, Altman Z-Score, Market Cap. Profitability is solid with margins at 28.1% and operating margin at 30.9%. Revenue growth of 23.0% demonstrates continued momentum.

Bear Case : HCA

The primary concerns for HCA are Revenue Growth, Altman Z-Score.

Bear Case : ISRG

The primary concerns for ISRG are PEG Ratio, Price/Book, P/E Ratio. A P/E of 55.2x leaves little room for execution misses.

Key Dynamics to Monitor

HCA profiles as a value stock while ISRG is a growth play — different risk/reward profiles.

ISRG carries more volatility with a beta of 1.51 — expect wider price swings.

ISRG is growing revenue faster at 23.0% — sustainability is the question.

HCA generates stronger free cash flow (895M), providing more financial flexibility.

Bottom Line

ISRG scores higher overall (64/100 vs 63/100), backed by strong 28.1% margins and 23.0% revenue growth. Both earn "Buy" and "Buy" ratings respectively — the choice depends on your investment horizon and risk tolerance.

This analysis is generated from publicly available financial data. Not financial advice.

HCA Holdings Inc

HEALTHCARE · MEDICAL CARE FACILITIES · USA

HCA Healthcare is an American for-profit operator of health care facilities that was founded in 1968. It is based in Nashville, Tennessee, and, as of May 2020, owns and operates 186 hospitals and approximately 2,000 sites of care, including surgery centers, freestanding emergency rooms, urgent care centers and physician clinics in 21 states and the United Kingdom.

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Intuitive Surgical Inc

HEALTHCARE · MEDICAL INSTRUMENTS & SUPPLIES · USA

Intuitive Surgical, Inc. is an American corporation that develops, manufactures, and markets robotic products designed to improve clinical outcomes of patients through minimally invasive surgery, most notably with the da Vinci Surgical System.

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