Shares of Intuitive Surgical Soar as Company Introduces its Da Vinci Xi Surgical System

Intuitive Surgical (NASDAQ: ISRG) introduced its Da Vinci Xi Surgical system on Tuesday. The company is stating that its new machine, which has already been approved by the FDA, has broader capabilities than prior generations.

The new surgical system allows the surgeon to have a greater range of motion, and longer instrument shafts are designed to give the surgeon greater operative reach. Other improvements include a new overhead instrument arm architecture, a new endoscope digital architecture and an ability to attach the endoscope to any arm.

“Our goal is to develop technology that enhances surgical performance," said Gary Guthart, Intuitive Surgical President and Chief Executive Officer. “The da Vinci Xi System's new overhead architecture means that multi-quadrant surgery can be performed without repositioning the system, an innovation long sought by surgeons who perform complex procedures. We strive to provide the most advanced, least invasive option for surgery, and we are working hard to make minimally invasive surgery the standard of care.

Intuitive Surgical will now seek regulatory clearances to market its new machine in international markets.

Shares of Intuitive Surgical were surging more than 10 percent going into Tuesday's afternoon trading session.

According to ISI analyst Vijay Kumar, the announcement of the new system has been widely expected, but is still a positive for the company.

The analyst sees more than 575 systems being sold in the U.S. alone with a significantly larger opportunity in the international market. In fact, according to Kumar, Intuitive Surgical could sell more than 1,000 systems worldwide over the longer term.