GE HealthCare Technologies (GEHC) is back in focus after securing FDA 510(k) clearance for three MRI systems, including the helium-light SIGNA Sprint with Freelium, the SIGNA Bolt 3T scanner, and the AI-driven SIGNA One workflow platform.
See our latest analysis for GE HealthCare Technologies.
The recent FDA clearances arrive alongside a steady upswing in the share price, with a 7.66% 90 day share price return and a 12.84% three year total shareholder return. This comes even though the one year total shareholder return is a 7.36% decline, suggesting momentum has been improving lately from a softer recent patch.
If this MRI news has you looking across medical technology more broadly, it could be a good time to scan through 27 healthcare AI stocks and see which names also blend AI with healthcare hardware and workflows.
With the shares up over the last quarter but still showing a 1 year total return decline and trading below some fair value estimates, is GE HealthCare quietly undervalued here, or is the market already pricing in future growth?
GE HealthCare Technologies' most followed valuation narrative pegs fair value at $93.25, compared with the last close at $84.23. This sets up a modest undervaluation story built on detailed cash flow and growth assumptions.
The analysts have a consensus price target of $88.0 for GE HealthCare Technologies based on their expectations of its future earnings growth, profit margins and other risk factors. However, there is a degree of disagreement amongst analysts, with the most bullish reporting a price target of $106.0, and the most bearish reporting a price target of just $73.0.
Want to see what is behind that valuation gap and the updated $93.25 fair value mark, including the growth path and margin profile that anchor the model, plus how the discount rate and future P/E tie the story together?
Result: Fair Value of $93.25 (UNDERVALUED)
Have a read of the narrative in full and understand what's behind the forecasts.
However, you still need to weigh tariff pressures and China policy uncertainty, as these factors could squeeze margins and temper the earnings path that underpins this valuation story.
Find out about the key risks to this GE HealthCare Technologies narrative.
With both risks and rewards in play, do you feel the current narrative fully lines up with your own view, or is there more to test yourself against? If you want to weigh the concerns against the potential upside in a structured way, take a look at the 4 key rewards and 1 important warning sign and decide how the balance stacks up for you.
If this story has sharpened your thinking, do not stop here. Broaden your watchlist with other clear, data backed ideas before the crowd catches on.
This article by Simply Wall St is general in nature. We provide commentary based on historical data and analyst forecasts only using an unbiased methodology and our articles are not intended to be financial advice. It does not constitute a recommendation to buy or sell any stock, and does not take account of your objectives, or your financial situation. We aim to bring you long-term focused analysis driven by fundamental data. Note that our analysis may not factor in the latest price-sensitive company announcements or qualitative material. Simply Wall St has no position in any stocks mentioned.
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