General Electric Company’s (GE - Free Report) business unit, GE Healthcare, announced the acquisition of a Swedish firm, Prismatic Sensors AB. Also, GE Healthcare unveiled an artificial intelligence (“AI”) algorithm that will help in the treatment of COVID-19 patients.
In addition, General Electric recently secured two contracts for its Power segment.
Notably, shares of the company have gained 3.2% since last Friday, ending the trading session at $10.07 yesterday.
Buyout of Prismatic Sensors
Prismatic Sensors is engaged in developing photon counting detectors that are used in computed tomography. Its expertise in algorithms, physics, designing of integrated circuits, software, mechanical solutions and others are its advantages. The firm was founded in 2012, and has offices in Linkoping and Stockholm.
The Prismatic Sensors buyout is in sync with GE Healthcare’s pursuit of expanding its offering in the photon counting CT (“PCCT”) technology. It will now be equipped to provide silicone-based photon counting detectors, which are considered better options than the ones based on cadmium.
Notably, PCCT is primarily used in neurology, oncology, cardiology and other applications. Accuracy in the measurement of material density, minute vision of structures of organs, reduced dose of radiation and improvement in the characterization of tissues are a few things made easy through PCCT.
The financial terms of the buyout have not been disclosed. GE Healthcare anticipates completing the buyout by next January. Presently, it owns a minority stake in Prismatic Sensors.
In relation to the AI algorithm, GE Healthcare noted that it tells about the placements of Endotracheal Tube (“ETT”) and thus helps in the treatment of intubated patients. Notably, this solution is part of Critical Care Suite 2.0 offered by GE Healthcare.
General Electric’s Healthcare unit is engaged in providing technologies in medical imaging, patient monitoring, drug discovery, patient monitoring and others. It also provides biopharmaceutical manufacturing technologies.
In third-quarter 2020, GE Healthcare’s revenues totaled $4,565 million, reflecting a decline of 7.3% from the year-ago quarter (or 5% on an organic basis). Orders in the quarter decreased 20% year over year.
General Electric predicts GE Healthcare to face headwinds from a mid-single-digit decline in orders for healthcare systems in the fourth quarter of 2020. This business is predicted to be weak in India, the United States and LATAM.
Contracts
The Power Conversion business of General Electric secured a contract worth $40 million from DSEC. Per the deal, the company will provide propulsion and power system to two National Security Multi-Mission Vessels (NSMVs).
Further, General Electric secured a contract from Naepo Green Energy Co., Ltd. to provide power generation equipment to the latter’s South Korea-based district heating plant. Equipment-to-supplied includes 60 Hertz gas turbine and H65 generator, STF-D650 Steam Turbine, Heat Recovery Steam Generator, H35 generator and GE condenser.
Zacks Rank, Estimate Trend and Price Performance
With a market capitalization of $85.5 billion, General Electric currently carries a Zacks Rank #3 (Hold). Solid liquidity position and the company’s efforts to deleverage balance sheet as well as portfolio-restructuring initiatives are expected to be beneficial in the quarters ahead. However, the pandemic-related woes are impacting businesses, which are concerning.
In the past 30 days, the company’s bottom-line estimates decreased from 8 cents to 7 cents for the fourth quarter of 2020 while the same have been stable at earnings of 5 cents for the first quarter of 2021.
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It’s a little-known chemical company that’s up 65% over last year, yet still dirt cheap. With unrelenting demand, soaring 2022 earnings estimates, and $1.5 billion for repurchasing shares, retail investors could jump in at any time.
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General Electric Company’s (GE - Free Report) business unit, GE Healthcare, announced the acquisition of a Swedish firm, Prismatic Sensors AB. Also, GE Healthcare unveiled an artificial intelligence (“AI”) algorithm that will help in the treatment of COVID-19 patients.
In addition, General Electric recently secured two contracts for its Power segment.
Notably, shares of the company have gained 3.2% since last Friday, ending the trading session at $10.07 yesterday.
Buyout of Prismatic Sensors
Prismatic Sensors is engaged in developing photon counting detectors that are used in computed tomography. Its expertise in algorithms, physics, designing of integrated circuits, software, mechanical solutions and others are its advantages. The firm was founded in 2012, and has offices in Linkoping and Stockholm.
The Prismatic Sensors buyout is in sync with GE Healthcare’s pursuit of expanding its offering in the photon counting CT (“PCCT”) technology. It will now be equipped to provide silicone-based photon counting detectors, which are considered better options than the ones based on cadmium.
Notably, PCCT is primarily used in neurology, oncology, cardiology and other applications. Accuracy in the measurement of material density, minute vision of structures of organs, reduced dose of radiation and improvement in the characterization of tissues are a few things made easy through PCCT.
The financial terms of the buyout have not been disclosed. GE Healthcare anticipates completing the buyout by next January. Presently, it owns a minority stake in Prismatic Sensors.
In relation to the AI algorithm, GE Healthcare noted that it tells about the placements of Endotracheal Tube (“ETT”) and thus helps in the treatment of intubated patients. Notably, this solution is part of Critical Care Suite 2.0 offered by GE Healthcare.
General Electric’s Healthcare unit is engaged in providing technologies in medical imaging, patient monitoring, drug discovery, patient monitoring and others. It also provides biopharmaceutical manufacturing technologies.
In third-quarter 2020, GE Healthcare’s revenues totaled $4,565 million, reflecting a decline of 7.3% from the year-ago quarter (or 5% on an organic basis). Orders in the quarter decreased 20% year over year.
General Electric predicts GE Healthcare to face headwinds from a mid-single-digit decline in orders for healthcare systems in the fourth quarter of 2020. This business is predicted to be weak in India, the United States and LATAM.
Contracts
The Power Conversion business of General Electric secured a contract worth $40 million from DSEC. Per the deal, the company will provide propulsion and power system to two National Security Multi-Mission Vessels (NSMVs).
Further, General Electric secured a contract from Naepo Green Energy Co., Ltd. to provide power generation equipment to the latter’s South Korea-based district heating plant. Equipment-to-supplied includes 60 Hertz gas turbine and H65 generator, STF-D650 Steam Turbine, Heat Recovery Steam Generator, H35 generator and GE condenser.
Zacks Rank, Estimate Trend and Price Performance
With a market capitalization of $85.5 billion, General Electric currently carries a Zacks Rank #3 (Hold). Solid liquidity position and the company’s efforts to deleverage balance sheet as well as portfolio-restructuring initiatives are expected to be beneficial in the quarters ahead. However, the pandemic-related woes are impacting businesses, which are concerning.
In the past 30 days, the company’s bottom-line estimates decreased from 8 cents to 7 cents for the fourth quarter of 2020 while the same have been stable at earnings of 5 cents for the first quarter of 2021.
Zacks Names "Single Best Pick to Double"
From thousands of stocks, 5 Zacks experts each have chosen their favorite to skyrocket +100% or more in months to come. From those 5, Director of Research Sheraz Mian hand-picks one to have the most explosive upside of all.
It’s a little-known chemical company that’s up 65% over last year, yet still dirt cheap. With unrelenting demand, soaring 2022 earnings estimates, and $1.5 billion for repurchasing shares, retail investors could jump in at any time.
This company could rival or surpass other recent Zacks’ Stocks Set to Double like Boston Beer Company which shot up +143.0% in little more than 9 months and NVIDIA which boomed +175.9% in one year.
Free: See Our Top Stock and 4 Runners Up >>
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