Isomorphic rendering, also known as universal rendering, refers to the capability of rendering the same code on both the server and the client. In Marko.js, this means that a component can be rendered on the server to produce HTML for the initial page load, and then the same component can be used on the client for subsequent updates. This provides the benefits of both server-side rendering (fast initial load, SEO) and client-side rendering (interactivity, fast updates).