Alcon Inc (ALC) is overvalued and Intuitive Surgical Inc (ISRG) is overvalued.
Both trade above our estimate of their intrinsic value. ISRG is the closer of the two: -130%, against -131% for ALC.
Values as of the 22 Sept 2026 close.
Discounting its cash flows at 8.9% (average of 3 methods) values the shares at $28.43; the price of $65.59 is 131% above that value, and 76% of that value comes from beyond year five.
Leak Score 14/100 on 3 of 12 signals
Discounting its cash flows at 11.7% (average of 3 methods) values the shares at $175.09; the price of $402.09 is 130% above that value, and 69% of that value comes from beyond year five.
Leak Score 47/100 on 8 of 12 signals
| Metric | ALC | ISRG |
|---|---|---|
| Verdict | Overvalued | Overvalued |
| Price | $65.59 | $402.09 |
| Intrinsic value | $28.43 | $175.09 |
| Margin of safety | -131% | -130% |
| Leak Score | 14/100 (3/12) | 47/100 (8/12) |
| Market cap | $31.6B | $142.0B |
| Revenue growth, 5 years | 8.8% | 18.2% |
| Operating margin | 10.9% | 31.3% |
| Net margin | 5.9% | 28.4% |
| Return on equity | 2.9% | 17.4% |
| Debt to equity | 0.25 | 0.00 |
| P/E | 50.3x | 46.1x |
| Forward P/E | 16.6x | 33.3x |
| P/B | 1.5x | 7.8x |
| Dividend yield | 0.6% | — |