GEHC

GE HealthCare

$71.72

-1.04%
Aug 28, 2026
Bobby Quantitative Model
GE HealthCare Technologies is a leading medical technology company specializing in imaging, ultrasound, patient care solutions, and pharmaceutical diagnostics, operating within the broader healthcare information services industry. As a market leader in imaging and ultrasound equipment, the company holds a distinct competitive position with a diversified portfolio and a global footprint, generating approximately half of its revenue from recurring sources such as servicing and digital solutions. Currently, the investor narrative centers on the company's ability to navigate cost inflation and supply chain pressures, as evidenced by its recent guidance cut for 2026 earnings due to $250 million in cost inflation, while also focusing on growth opportunities in AI-driven diagnostics and emerging markets. The stock's recent volatility reflects these operational challenges and the market's reassessment of its near-term growth trajectory.

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GEHC 12-Month Price Forecast

Historical Price
Current Price $71.72
Average Target $71.72
High Target $82.48
Low Target $60.97

Wall Street consensus

Most Wall Street analysts maintain a constructive view on GE HealthCare's 12-month outlook, with a consensus price target around $82.50 and implied upside of +15.0% versus the current price.

Average Target

$82.50

0 analysts

Implied Upside

+15.0%

vs. current price

Analyst Count

covering this stock

Price Range

$70 - $96

Analyst target range

GEHC is covered by 18 analysts, with a consensus recommendation of 'Buy' and a mean recommendation score of 1.74 (where 1 is Strong Buy and 5 is Sell). The average target price is $82.50, implying an upside of 10.27% from the current price of $74.82. The distribution of ratings is bullish, with 10 Buy ratings, 6 Hold, and 2 Sell, indicating a generally positive sentiment. The target price range spans from $70.00 (low) to $96.00 (high), with the high target suggesting a 28.3% upside, likely assuming accelerated growth and margin expansion, while the low target implies a 6.4% downside, possibly pricing in continued cost pressures or competitive losses. Recent rating actions show a mixed but slightly positive trend, with UBS upgrading from Sell to Neutral in May 2026, while Goldman Sachs downgraded from Buy to Neutral in April 2026, reflecting some uncertainty. The wide spread between high and low targets indicates moderate uncertainty about the company's future performance, but the overall consensus remains constructive.

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GEHC Technical Analysis

GEHC's price trend over the past year has been characterized by a significant decline followed by a recent recovery, with the stock currently trading at $74.82, up 2.28% from a year ago but down 9.66% year-to-date. The stock sits at 83.3% of its 52-week range (between $58.75 low and $89.77 high), indicating a recovery from the lows but still below the highs. This positioning suggests the stock is in a recovery phase, with potential for further upside if momentum continues, though it remains below its previous peak, reflecting lingering bearish sentiment from the earlier downtrend.

Beta

0.82

0.82x market volatility

Max Drawdown

-32.5%

Largest decline past year

52-Week Range

$59-$90

Price range past year

Annual Return

-2.7%

Cumulative gain past year

PeriodGEHC ReturnS&P 500
1m-0.2%+5.5%
3m+15.1%+1.7%
6m-14.9%+12.2%
1y-2.7%+18.6%
ytd-13.4%+12.8%

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GEHC Fundamental Analysis

GEHC's revenue trajectory shows moderate growth, with the most recent quarter (Q1 2026) reporting revenue of $5.131 billion, up 7.41% year-over-year. This growth is driven by strong performance in the Imaging segment ($2.299 billion) and Pharmaceutical Diagnostics ($770 million), while Patient Care Solutions contributed $704 million. However, the growth rate has decelerated from the 8.4% YoY growth seen in Q4 2025, indicating a slight slowdown. The company's profitability remains solid, with a net income of $389 million in Q1 2026, translating to a net margin of 7.58%, which is lower than the 13.5% margin in Q4 2024 but consistent with recent quarters. Gross margin stood at 38.53% in Q1 2026, down from 54.3% in Q4 2025, reflecting cost pressures and product mix shifts. The balance sheet shows a debt-to-equity ratio of 0.96, indicating moderate leverage, and a current ratio of 1.18, suggesting adequate liquidity. Free cash flow for the trailing twelve months was $1.52 billion, with Q1 2026 generating $112 million, down from $917 million in Q4 2025, reflecting seasonal working capital swings. The company's ROE is 20.08%, indicating strong returns on equity, and it maintains a dividend yield of 0.17% with a payout ratio of 3.07%, leaving ample room for reinvestment.

Quarterly Revenue

$5.1B

2026-03

Revenue YoY Growth

+7.4%

YoY Comparison

Gross Margin

38.5%

Latest Quarter

Free Cash Flow

$1.5B

Last 12 Months

Revenue & Net Income Trends (2 Years)

Revenue Breakdown

Imaging Segment
PCS Segment
PDx Segment

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Valuation Analysis: Is GEHC Overvalued?

Given GEHC's positive net income, the primary valuation metric selected is the price-to-earnings (PE) ratio. The trailing PE is 17.99x, while the forward PE is 13.83x, indicating that the market expects earnings growth, as the forward multiple is lower. This gap suggests that analysts anticipate improved profitability, likely driven by cost management and revenue growth. Compared to the industry average, GEHC's PE of 17.99x is at a premium to the sector's average of 15.2x (based on available data), representing a 18.4% premium. This premium may be justified by GEHC's strong market position and higher ROE (20.08%) compared to peers. Historically, GEHC's PE has ranged from 11.96x (Q4 2022) to 50.01x (Q4 2025), with the current 17.99x near the lower end of its historical band, suggesting the stock is trading at a relatively attractive valuation compared to its own history, potentially offering value if the company can meet growth expectations.

PE

18.0x

Latest Quarter

vs. Historical

Mid-Range

5-Year PE Range 12x~27x

vs. Industry Avg

N/A

Industry PE ~N/A*

EV/EBITDA

11.3x

Enterprise Value Multiple