Getinge AB (GNGBY) AI Stock Analysis

• Market Cap: $6.14B
• Dividend Yield: 2.12%
• Average Volume (3M): 219.00
• Price to Earnings (P/E): 43.0
• Beta (1Y): 0.57
• Revenue Growth: 9.03%
• EPS Growth: -40.47%
• Country: US
• Employees: 11,827
• Sector: Healthcare
• Sector Strength: 45
• Industry: Medical - Devices
• EPS (TTM): 0.20
• Shares Outstanding: 254,152,370
• 10 Day Avg. Volume: 178
• 30 Day Avg. Volume: 219
• PEG Ratio: N/A
• Price to Book (P/B): N/A
• Price to Sales (P/S): N/A
• P/FCF Ratio: N/A
• Enterprise Value/Market Cap: 1.04
• Enterprise Value/Revenue: 0.18
• Enterprise Value/Gross Profit: 0.39
• Enterprise Value/Ebitda: 1.01
• 1Y Price Target: $24.00
• Price Target Upside: 6.48% Upside
• Rating Consensus: Moderate Buy
• Number of Analyst Covering: 1

• Rating: 72 Outperform
• Price Target: $24.00 ▲(6.48% Upside)

Getinge AB's overall stock score reflects strong operational efficiency and positive earnings call sentiment, offset by high valuation and challenges in revenue growth and profitability. The technical analysis supports a positive trend, but valuation concerns and market challenges temper the outlook.

Getinge AB Business Overview & Revenue Model

Company Description

Getinge AB (publ) provides products and solutions for operating rooms, intensive-care units, and sterilization departments. The company operates through Acute Care Therapies, Life Science, and Surgical Workflows segments. It offers sterile transfer systems, closure processing systems, washers, isolators, sterilizers, logistic automation solutions, bioreactors, bioprocess control systems, bioprocess software, biobundles, bioprocess analytics, and perfusion systems; practice-oriented monitoring systems and disposables, anesthesia machines, beating heart stabilizers and positioners, axius blower mister and coronary shunts, proximal seal systems, ceiling supply units, connected solutions, cleaning and disinfection products, packaging and sealing solutions, monitors and indicators, and SteriTec products. The company also provides thoracic catheters, dry seal chest drain, mobile dry seal drain, dry and wet suction water seal chest drain, and chest drain valves; transitional accessories; endoscope reprocessing; endoscopic vessel harvesting systems; endovascular products; extracorporeal life support or extracorporeal membrane oxygenation products; inspection and packing products; intra-aortic balloon counter pulsation therapies; mechanical ventilation products; medical furniture; modular room systems; operating lights and tables; OR integration and management; patient flow management; patient transport; sterile supply management; sterilization; surgical assist systems; surgical perfusion; transport & storage; trays & baskets; and vascular and cardiothoracic surgery solutions. It offers its products through a network of proprietary sales companies, as well as through agents and distributors in the Americas, Europe, the Middle East, Africa, and the Asia Pacific. Getinge AB (publ) was founded in 1904 and is headquartered in Gothenburg, Sweden.

How the Company Makes Money

Getinge AB generates revenue through several key streams, primarily by selling medical devices and equipment to hospitals, surgical centers, and pharmaceutical companies. The company earns money from the sale of surgical instruments, critical care equipment, and sterilization products. Additionally, Getinge offers maintenance and support services, which provide ongoing revenue through service contracts and spare parts sales. Strategic partnerships with healthcare providers and research institutions enhance its market presence and drive sales. The company's focus on innovation and developing cutting-edge technology, such as robotic-assisted surgical systems, also contributes to its revenue growth by capturing new market segments.

Getinge AB Financial Statement Overview

Summary

Getinge AB presents a mixed financial picture. The company demonstrates strong operational efficiency with healthy margins, but faces challenges with declining revenue growth and moderate profitability. The balance sheet is stable with conservative leverage, yet the declining ROE highlights potential issues in generating returns. Cash flow generation is improving, but conversion efficiency needs attention. Overall, while the company is financially stable, it must address growth and profitability challenges to enhance its financial health.

Income Statement

Getinge AB's income statement shows a mixed performance. The TTM (Trailing-Twelve-Months) data indicates a decline in revenue growth rate by 18.8%, which is concerning. However, the company maintains a healthy gross profit margin of 46.9% and an EBIT margin of 10.8%, reflecting operational efficiency. The net profit margin is relatively low at 4.2%, indicating room for improvement in profitability. Overall, while the company has strong operational margins, the declining revenue growth is a significant concern.

Balance Sheet

The balance sheet of Getinge AB is relatively strong with a debt-to-equity ratio of 0.39, indicating a conservative leverage position. The return on equity (ROE) is modest at 4.9%, suggesting moderate profitability relative to shareholder equity. The equity ratio stands at 51.1%, reflecting a solid equity base. While the company maintains a stable financial structure, the declining ROE over recent periods suggests potential challenges in generating returns.

Cash Flow

Getinge AB's cash flow statement reveals a mixed outlook. The free cash flow growth rate is positive at 8.9% in the TTM period, indicating improved cash generation. However, the operating cash flow to net income ratio is low at 0.31, suggesting potential issues in converting income into cash. The free cash flow to net income ratio is 0.67, which is reasonable but indicates some inefficiencies. Overall, while cash flow generation is improving, the conversion efficiency remains a concern.

Breakdown	TTM	Dec 2024	Dec 2023	Dec 2022	Dec 2021	Dec 2020
Income Statement
Total Revenue	35.50B	34.76B	31.83B	28.29B	27.05B	29.82B
Gross Profit	16.64B	16.15B	14.49B	13.41B	13.58B	14.72B
EBITDA	6.37B	5.31B	5.91B	5.70B	6.15B	7.20B
Net Income	1.49B	1.64B	2.41B	2.49B	2.97B	3.24B
Balance Sheet
Total Assets	56.37B	63.92B	53.59B	52.03B	44.55B	45.01B
Cash, Cash Equivalents and Short-Term Investments	1.95B	2.96B	2.73B	5.68B	4.08B	6.06B
Total Debt	11.17B	10.73B	8.08B	5.82B	4.31B	10.21B
Total Liabilities	27.35B	30.71B	23.18B	21.58B	19.38B	23.53B
Stockholders Equity	28.82B	33.01B	30.17B	30.04B	24.75B	21.02B
Cash Flow
Free Cash Flow	2.70B	3.27B	1.60B	2.23B	5.63B	6.15B
Operating Cash Flow	4.03B	4.58B	2.96B	3.37B	6.56B	7.20B
Investing Cash Flow	-5.85B	-4.55B	-6.54B	-1.47B	-1.33B	-1.99B
Financing Cash Flow	1.50B	504.00M	511.00M	-500.00M	-7.24B	-297.00M

Getinge AB Technical Analysis

• Technical Analysis Sentiment: Positive
• Last Price: 22.54
• 50DMA: Positive
• 100DMA: Positive
• 200DMA: Positive
• MACD: Positive
• RSI: Neutral
• STOCH: Neutral

Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For GNGBY, the sentiment is Positive. The current price of 22.54 is above the 20-day moving average (MA) of 22.22, above the 50-day MA of 21.11, and above the 200-day MA of 19.49, indicating a bullish trend. The MACD of 0.49 indicates Positive momentum. The RSI at 61.14 is Neutral, neither overbought nor oversold. The STOCH value of 59.08 is Neutral, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Positive sentiment for GNGBY.

Getinge AB Peers Comparison

Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
STE	79 Outperform	24.50B	37.72	9.29%	0.93%	2.47%	63.68%
ZBH	74 Outperform	19.79B	24.33	6.57%	0.96%	4.11%	-14.43%
DXCM	73 Outperform	29.98B	53.05	22.21%	―	9.30%	-14.95%
GNGBY	72 Outperform	$6.14B	43.04	4.80%	2.12%	9.03%	-40.47%
EW	69 Neutral	44.15B	50.89	39.30%	―	-5.23%	-39.83%
PHG	56 Neutral	26.55B	-34.63	-5.85%	3.13%	-0.76%	-55.03%
Sector *	51 Neutral	$7.86B	-0.30	-43.30%	2.27%	22.53%	-2.21%