A Fresh Look at GE HealthCare Technologies's Valuation After Expanding AI Partnership With DeepHealth

GE HealthCare Technologies (GEHC) is drawing attention after announcing an expanded partnership with DeepHealth, Inc., focused on advancing AI-powered imaging solutions. The collaboration aims to improve accuracy, efficiency, and access to tools in breast cancer and thyroid care.

See our latest analysis for GE HealthCare Technologies.

This expansion with DeepHealth comes as GE HealthCare Technologies navigates a bumpy year, with its latest share price at $73.15 and a 1-year total shareholder return of -10.4%. Despite muted recent price moves, interest is picking up as the company leans into advanced AI partnerships, hinting at fresh momentum in healthcare innovation.

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But with shares still trading around a 21% discount to analyst price targets and a 41% discount to intrinsic value, investors are left to wonder if GE HealthCare is undervalued or if the market already anticipates its next wave of growth.

Most Popular Narrative: 15.9% Undervalued

With GE HealthCare Technologies closing at $73.15 and the widely-followed narrative assigning a fair value of $86.96, expectations are set significantly above the market's current pricing.

The pipeline of new high-impact products, like Radiopharmaceuticals, Total Body PET, and Photon Counting CT, is anticipated to drive future revenue growth and potentially improve margins. The focus on expanding recurring revenue, particularly in areas like digital solutions and advanced visualization, is expected to contribute positively to revenue stability and net margins.

Read the complete narrative.

Curious about what underpins this premium valuation? The key driver is a bold projection for future earnings, revenue growth, and profit margins that challenge conventional industry expectations. If you want to uncover which aggressive financial moves support this target price, the full narrative reveals every surprising assumption.

Result: Fair Value of $86.96 (UNDERVALUED)

Have a read of the narrative in full and understand what's behind the forecasts.

However, significant headwinds remain. Tariff impacts and ongoing uncertainty in China represent potential disruptors to revenue growth and margin assumptions.

Find out about the key risks to this GE HealthCare Technologies narrative.

Build Your Own GE HealthCare Technologies Narrative

If you want to dig deeper or see how your own perspective stacks up, you can quickly build your own narrative using our platform in just a few minutes. Do it your way

A great starting point for your GE HealthCare Technologies research is our analysis highlighting 5 key rewards and 1 important warning sign that could impact your investment decision.

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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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