GE Healthcare Technologies Inc (GEHC) AI Stock Analysis

• Market Cap: $32.58B
• Dividend Yield: 0.18%
• Average Volume (3M): 4.76M
• Price to Earnings (P/E): 15.0
• Beta (1Y): 1.25
• Revenue Growth: 1.55%
• EPS Growth: 38.51%
• Country: US
• Employees: 53,000
• Sector: Healthcare
• Sector Strength: 41
• Industry: Medical - Healthcare Information Services
• EPS (TTM): 1.01
• Shares Outstanding: 457,885,000
• 10 Day Avg. Volume: 2,892,573
• 30 Day Avg. Volume: 4,756,299
• PEG Ratio: 1.56
• Price to Book (P/B): 3.47
• Price to Sales (P/S): 0.00
• P/FCF Ratio: 23.28
• Enterprise Value/Market Cap: 1.19
• Enterprise Value/Revenue: 0.49
• Enterprise Value/Gross Profit: 4.66
• Enterprise Value/Ebitda: 2.70
• 1Y Price Target: $84.46
• Price Target Upside: 18.74% Upside
• Rating Consensus: Moderate Buy
• Number of Analyst Covering: 13

• Rating: 75 Outperform
• Price Target: $80.00 ▲(12.47%Upside)

GE Healthcare Technologies Inc shows strong financial fundamentals and positive corporate actions, but faces challenges from tariff impacts and market conditions in China. Solid valuation metrics and successful product launches provide support, while technical analysis indicates a balanced outlook.

Positive Factors

Demand environment

Demand from the US is robust, with acceleration in the EU, suggesting a constructive demand environment.

Financial performance

GEHC delivered 1Q25 revenue of $4.78B, besting consensus’s $4.66B, with organic orders increasing 10% y/y organic.

Orders and sales performance

GEHC's orders, sales, and margins exceeded expectations, indicating strong company performance.

Negative Factors

EPS guidance

GEHC lowered its EPS guide by $0.68 or 15% to $3.90-4.10, with $0.85 because of tariffs, partially offset by the strong Q1, lower tax and interest expense.

Guidance reduction

GE Healthcare Technologies Inc. cut its 2025 guidance due to the impact of tariffs.

Tariff impact

GE Healthcare Technologies Inc was one of the companies most negatively impacted by tariffs, affecting its financial outlook.

GE Healthcare Technologies Inc Business Overview & Revenue Model

Company Description

GE HealthCare Technologies Inc. engages in the development, manufacture, and marketing of products, services, and complementary digital solutions used in the diagnosis, treatment, and monitoring of patients in the United States, Canada, Europe, the Middle East, Africa, China, Taiwan, Mongolia, Hong Kong, and internationally. The company operates through four segments: Imaging, Ultrasound, Patient Care Solutions, and Pharmaceutical Diagnostics. The Imaging segment offers molecular imaging, computed tomography (CT) scanning, magnetic resonance (MR) imaging, image-guided therapy, and X-ray systems, as well as women's health products. The Ultrasound segment provides screening, diagnosis, treatment, and monitoring of certain diseases through radiology and primary care, women's health, cardiovascular, and point of care and handheld ultrasound solutions, as well as surgical visualization and guidance products. The Patient Care Solutions segment involved in the provision of medical devices, consumable products, services, and digital solutions through patient monitoring, anesthesia delivery and respiratory care, diagnostic cardiology, and maternal infant care products. The Pharmaceutical Diagnostics supplies diagnostic agents, including CT, angiography and X-ray, MR, single-photon emission computed tomography, positron emission tomography, and ultrasound to the radiology and nuclear medicine industry. The segment also provides contrast media pharmaceuticals, administered to a patient prior to certain diagnostic scans to increase the visibility of tissues or structures during imaging exams; and molecular imaging agents, or radiopharmaceuticals, which are molecular tracers labeled with radioisotopes that are injected into a patient prior to a diagnostic imaging scan. The company was incorporated in 2022 and is headquartered in Chicago, Illinois.

How the Company Makes Money

GE Healthcare Technologies Inc generates revenue through the sale of medical devices and diagnostic imaging equipment, such as MRI machines, CT scanners, ultrasound systems, and X-ray machines. The company also provides software and digital solutions for healthcare providers to improve operational efficiency and patient care. Additionally, GEHC earns income from service contracts, maintenance agreements, and training services for the installed base of its equipment. Pharmaceutical diagnostics, including contrast media and molecular imaging agents, also contribute to its revenue streams. GEHC's earnings are further supported by strategic partnerships and collaborations with hospitals, research institutions, and technology companies to drive innovation and expand its market reach.

GE Healthcare Technologies Inc Financial Statement Overview

Summary

GE Healthcare Technologies Inc. demonstrates strong financial performance with steady revenue growth and high operational efficiency, as evidenced by a robust gross profit margin and a solid net profit margin. The balance sheet shows reduced leverage and strong return on equity, while cash flow management supports operational initiatives, despite some pressure from increased capital expenditures.

Income Statement

GE Healthcare Technologies Inc shows a strong financial performance with a consistent revenue growth trajectory. The TTM (Trailing-Twelve-Months) revenue grew by 0.64% compared to the previous year. The company maintains a solid gross profit margin of 41.97% and a net profit margin of 11.03% TTM, reflecting strong operational efficiency. However, the EBITDA margin decreased slightly from 18.71% last year to 17.72% TTM, indicating some pressure on earnings before interest, taxes, depreciation, and amortization.

Balance Sheet

The balance sheet of GE Healthcare exhibits a robust equity position with an equity ratio of 27.35% in the TTM period. The debt-to-equity ratio decreased significantly to 0.22 TTM, indicating reduced leverage and enhanced financial stability. Return on equity is strong at 23.76% TTM, showcasing effective utilization of equity to generate profits. The improvements in the leverage metrics are notable, although the overall equity ratio remains modest, suggesting room for strengthening capital structure further.

Cash Flow

The cash flow analysis reveals a solid ability to generate free cash flow, with a TTM free cash flow of $1.124 billion, despite a decline from last year. The operating cash flow to net income ratio is 0.70, indicating a strong cash conversion capability. However, the free cash flow to net income ratio has decreased, reflecting higher capital expenditures relative to net income. Overall, the company's cash flow management remains strong, supporting its operational and strategic initiatives.

Breakdown
TTM	Dec 2024	Dec 2023	Dec 2022	Dec 2021	Dec 2020
Income Statement		Total Revenue
19.80B	19.67B	19.55B	18.34B	17.59B	17.16B
	Gross Profit
8.31B	8.21B	7.92B	7.18B	7.17B	6.77B
	EBIT
2.77B	2.63B	2.44B	2.52B	2.79B	2.72B
	EBITDA
3.51B	3.68B	3.51B	3.17B	3.54B	3.41B
	Net Income Common Stockholders
2.18B	1.99B	1.57B	1.92B	2.25B	2.06B
Balance Sheet		Cash, Cash Equivalents and Short-Term Investments
2.47B	2.89B	2.49B	1.45B	554.00M	994.00M
	Total Assets
33.59B	33.09B	32.45B	27.54B	26.31B	24.23B
	Total Debt
9.18B	9.38B	9.86B	8.25B	437.00M	468.00M
	Net Debt
6.73B	6.50B	7.37B	6.80B	-117.00M	-526.00M
	Total Liabilities
24.17B	24.44B	25.14B	18.18B	9.63B	9.48B
	Stockholders Equity
9.19B	8.45B	7.13B	9.36B	16.66B	14.73B
Cash Flow		Free Cash Flow
1.37B	1.55B	1.71B	1.80B	1.36B	1.43B
	Operating Cash Flow
1.53B	1.95B	2.10B	2.11B	1.61B	1.69B
	Investing Cash Flow
-1.13B	-914.00M	-558.00M	-398.00M	-1.76B	19.99B
	Financing Cash Flow
-706.00M	-573.00M	-478.00M	-822.00M	-263.00M	-21.54B

GE Healthcare Technologies Inc Technical Analysis

• Technical Analysis Sentiment: Neutral
• Last Price: 71.13
• 50DMA: Positive
• 100DMA: Negative
• 200DMA: Negative
• MACD: Negative
• RSI: Neutral
• STOCH: Negative

Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For GEHC, the sentiment is Neutral. The current price of 71.13 is below the 20-day moving average (MA) of 71.43, above the 50-day MA of 69.53, and below the 200-day MA of 81.79, indicating a neutral trend. The MACD of 0.21 indicates Negative momentum. The RSI at 53.01 is Neutral, neither overbought nor oversold. The STOCH value of 80.70 is Negative, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Neutral sentiment for GEHC.

GE Healthcare Technologies Inc Peers Comparison

Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
VEEV	81 Outperform	$46.53B	60.09	14.07%	―	14.78%	39.33%
DOCS	80 Outperform	$10.05B	49.27	22.50%	―	19.98%	53.10%
GEHC	75 Outperform	$32.58B	14.96	26.32%	0.18%	1.55%	38.51%
HQY	73 Outperform	$8.99B	82.29	5.77%	―	19.21%	50.06%
PRVA	69 Neutral	$2.80B	186.17	2.53%	―	6.79%	-18.52%
BTSG	69 Neutral	$4.12B	83.80	2.30%	―	23.40%	―
Sector *	53 Neutral	$5.25B	3.24	-45.38%	2.81%	16.79%	-0.06%

GE Healthcare Technologies Inc Corporate Events

GE Healthcare Announces $1.5 Billion Notes Offering

On June 3, 2025, GE Healthcare Technologies Inc. announced the commencement and pricing of an underwritten offering of $1.5 billion in aggregate principal amount of notes. This offering, which includes $650 million of 4.800% Notes due in 2031 and $850 million of 5.500% Notes due in 2035, is expected to be issued around June 9, 2025, and aims to strengthen the company’s financial position. The offering is managed by major financial institutions including Citigroup, J.P. Morgan, and Morgan Stanley, indicating a strong market interest and confidence in GE Healthcare’s financial strategies.

The most recent analyst rating on (GEHC) stock is a Buy with a $100.00 price target. To see the full list of analyst forecasts on GE Healthcare Technologies Inc stock, see the GEHC Stock Forecast page.

GE Healthcare Holds Annual Stockholders Meeting

On May 28, 2025, GE Healthcare Technologies Inc. held its annual stockholders meeting where 10 directors were elected for a one-year term. Stockholders also approved executive compensation and ratified Deloitte & Touche LLP as the independent auditor for 2025, while a proposal on termination pay arrangements was not approved.

The most recent analyst rating on (GEHC) stock is a Buy with a $100.00 price target. To see the full list of analyst forecasts on GE Healthcare Technologies Inc stock, see the GEHC Stock Forecast page.

GE Healthcare’s New $3.5 Billion Credit Agreements

On March 27, 2025, GE Healthcare Technologies Inc. entered into two new credit agreements with JPMorgan Chase Bank, N.A., providing a total of $3.5 billion in senior unsecured revolving credit facilities. These agreements replace previous credit facilities and include various covenants and events of default, reflecting the company’s strategic financial restructuring. The termination of the previous credit agreements, which provided a combined $3.5 billion in credit, was completed without penalty, marking a significant shift in the company’s financial management approach.