GEHC
GE HealthCare Technologies Inc.$77.11
Unclear
Target $80.38
Report: Mar 11, 2026Healthcare • Medical - Healthcare Information Services • Mature CompounderSnapshot
Decision-first overview with recommendation, valuation anchor, and current setup.
Company Overview
Research Snapshot
Price History
Pelican View
Current$77.11+4.2%
Rec: UnclearConviction: High
Entry Target
$61.83
(20% below current)
Fair Value
$80.38
(4% above current)
Stop Loss
$57.65
(25% below current)
Position Size
Half
Time Horizon
Long-Term
Key Metrics
Live Snapshot
Market Data
52 Week High$89.77
52 Week Low$57.65
Avg. 3 Month Volume3.60M
Efficiency
LTM Gross Margin40.0%
LTM EBITDA Margin18.0%
LTM EBIT Margin15.2%
LTM Operating Margin13.4%
LTM ROA5.9%
LTM ROE21.2%
LTM ROIC18.1%
LTM ROCE12.4%
Capital Structure
Market Cap (MM)$32.4B
Enterprise Value (MM)$37.9B
Shares Outstanding453.00M
Total Debt (MM)$10.00B
Cash & Equivalents (MM)$4.51B
LTM Net Debt (MM)$5.49B
LTM Net Debt/EBITDA1.5x
Growth
TTM Rev. Growth4.8%
Last 3-Yr Rev. CAGR13.5%
Last 3-Yr EBITDA CAGR14.5%
Last 3-Yr EPS CAGRN/A
Valuation
Street Target Price$91.70
LTM EV/Revenue1.8x
LTM EV/Gross Profit4.6x
LTM EV/EBIT12.1x
LTM EV/EBITDA10.2x
LTM P/E15.6x
LTM EV/FCF25.2x
LTM P/FCF21.6x
LTM P/TB1.5x
LTM P/B3.1x
Dividend Yield0.2%
Payout Ratio3.1%
Executive SummarySituation: Current price is $77.11 versus fair value $80.38 (4.2% expected return), and valuation confidence is stable. Debate: Bull case depends on IntelliRed acquisition closes H1 2026, adding $270M revenue at 30%+ EBITDA to cloud AI imaging, addressing market skepticism on digital moat durability. Bear case centers on Tariff escalation permanently impairs pricing power, compressing gross margins beyond 170bps via $100M+ annual costs outpacing productivity. Conclusion: Recommendation is Unclear; maintain no position until reliability and catalyst evidence improve.
Bull Case
AI moat widening with 100+ FDA clearances drives PDx EBIT margins to 31.2% (+450bps) and $21.8B backlog; ROIC 18.1% > peer 11.6%; institutional net buying 27.6M shares Q4 2025.
Bear Case
Tariffs cost $100M Q4 compressing gross margins 170bps; China low-single-digit declines offset US/EMEA; growth 4.8% lags peer median 6.2%.
Key Catalysts
Mid-Term (6-18 months)Impact: High
IntelliRed acquisition closes H1 2026, adding $270M revenue at 30%+ EBITDA to cloud AI imaging, addressing market skepticism on digital moat...
Near-Term (0-6 months)Impact: Moderate
Photon Counting CT RSNA launch accelerates imaging orders, reinforcing backlog conversion amid 1.06x book-to-bill.
Long-Term (18+ months)Impact: Moderate
Tariff mitigation progress and Q4 2025 guidance raise (organic ~3%, EBIT 15.2-15.4%) coincide with institutional buying, making now pivotal...
Primary Risks
Concern: Medium
Tariff escalation permanently impairs pricing power, compressing gross margins beyond 170bps via $100M+ annual costs outpacing productivity.
Concern: Low
Technological disruption erodes AI moat, with competitors capturing share in imaging/PDx via low-cost alternatives.
Concern: Medium
Stewardship is strong: proven capital allocators (Culp/Arduini), 80% independent board with healthcare/finance expertise, rigorous ownership...
Recent Activity
2025-07-30SEC Filing (8-K)
-7.82%GE HealthCare reports Q2 2025 financial results and raises full-year guidance
2025-02-13SEC Filing (8-K)
+8.82%GE HealthCare reports Q4 and full year 2024 financial results with strong margin expansion and earnings growth.
2024-04-30SEC Filing (8-K)
-14.28%GE HealthCare reports Q1 2024 financial results with reaffirmed full-year guidance
2024-02-06SEC Filing (8-K)
+11.65%Chief People Officer Betty D. Larson resigns from GE HealthCare Technologies Inc.
2023-10-31SEC Filing (8-K)
+5.38%GE HealthCare reports Q3 2023 financial results with 5% revenue growth and raised full-year guidance.
Valuation Table
9.8/10Decision Grade
Scenario Range
$62
Bear
$80
Base
$96
Bull
$77