GE HealthCare Technologies Stock: Is Wall Street Bullish or Bearish?

GE HealthCare Technologies (GEHC) has a market cap of $33.3 billion and develops healthcare products, services, and digital solutions. Its stock has declined 12.5% over the past 52 weeks and 6.6% YTD, underperforming the S&P 500 Index. Despite Q2 revenue growth of 3.5% YoY to $5 billion and raised fiscal 2025 guidance, the stock plunged 7.8% after the earnings release. Analysts expect EPS growth of 0.6% YoY for the current fiscal year and have a consensus rating of "Strong Buy" based on 13 "Strong Buy," one "Moderate Buy," and five "Hold" ratings.

GE HealthCare Technologies (GEHC), a subsidiary of General Electric, specializes in developing, manufacturing, and marketing healthcare products, services, and digital solutions. With a market capitalization of $33.3 billion, the company has experienced a challenging period in the stock market. Over the past 52 weeks, GEHC's stock has declined by 12.5%, significantly underperforming the broader S&P 500 Index, which has surged by 19.3% over the same period. Additionally, the stock has fallen by 6.6% year-to-date (YTD), trailing the iShares U.S. Medical Devices ETF (IHI) by 2.7% and 3.3% YTD, respectively [1].

Despite these market headwinds, GEHC reported strong second-quarter (Q2) 2025 results. Revenue grew by 3.5% year-over-year (YoY) to $5 billion, surpassing analyst expectations. The company's adjusted earnings per share (EPS) improved by 6% YoY to $1.06, exceeding analyst estimates by 16.5%. Moreover, GEHC raised its full-year 2025 adjusted EPS guidance to $4.43 to $4.63, reflecting healthy capital investment trends and operational execution [1].

However, the stock experienced a sharp decline of 7.8% after the earnings release. A 1.8% YoY decline in adjusted EBIT to $729 million, coupled with a 70-basis-point drop in the adjusted EBIT margin, may have weighed on investor sentiment. Analysts expect a marginal EPS growth of 0.6% YoY for the current fiscal year, ending in December 2025 [1].

Among the 19 analysts covering the stock, the consensus rating is a "Strong Buy," with 13 "Strong Buy," one "Moderate Buy," and five "Hold" ratings. Stifel Nicolaus analyst Rick Wise maintains a "Buy" rating on GEHC with a price target of $90, implying a 23.3% potential upside from current levels. The mean price target of $87.79 represents a 20.3% premium from the current price levels, while the Street-high price target of $106 suggests an ambitious upside potential of 45.2% [1].

Looking ahead, investors should monitor the pace and commercial impact of new product launches in imaging and monitoring, evidence of tariff mitigation actions flowing through to margins, and any signs of improved tender activity or backlog conversion in China. Progress on strategic M&A and successful integration of key acquisitions will also be crucial markers for sustained growth [3].

References:
[1] https://www.barchart.com/story/news/34078066/ge-healthcare-technologies-stock-is-wall-street-bullish-or-bearish
[2] https://www.bloomberg.com/quote/GEHC:US
[3] https://finance.yahoo.com/news/ge-healthcare-q2-earnings-call-044905596.html