We use cookies to understand how you use our site and to improve your experience. This includes personalizing content and advertising. To learn more, click here. By continuing to use our site, you accept our use of cookies, revised Privacy Policy and Terms of Service.
You are being directed to ZacksTrade, a division of LBMZ Securities and licensed broker-dealer. ZacksTrade and Zacks.com are separate companies. The web link between the two companies is not a solicitation or offer to invest in a particular security or type of security. ZacksTrade does not endorse or adopt any particular investment strategy, any analyst opinion/rating/report or any approach to evaluating individual securities.
If you wish to go to ZacksTrade, click OK. If you do not, click Cancel.
GE HealthCare (GEHC) to Report Q4 Earnings: What's in Store?
Read MoreHide Full Article
GE HealthCare Technologies Inc. (GEHC - Free Report) is scheduled to report fourth-quarter 2023 results on Feb 6, before market open.
In the last reported quarter, the company’s adjusted earnings per share of 99 cents surpassed the Zacks Consensus Estimate by 11.2%.
Let’s take a look at how things might have shaped up prior to the announcement.
Factors at Play
In January 2023, General Electric Company announced the completion of the spinoff of its healthcare business to create a new player in the field of Precision Care. From Jan 4, 2023, GE HealthCare started trading on Nasdaq under the ticker symbol “GEHC.”
GE HealthCare is expected to report strong organic revenue growth, banking on balanced segmental performance, driven by consistent new product introductions (NPIs) and growing customer demand. The quarter might have witnessed greater backlog fulfillment as supply challenges are gradually easing out. Further, improved pricing and successful commercial execution might have added to the top line in the fourth quarter.
In terms of operating segments, the Imaging business is expected to have benefited from health care providers’ continued investment in capacity globally to improve patient care and productivity. Volume is expected to have remained strong for surgical procedures, driving demand for Imaging. In the fourth quarter, the company is expected to have witnessed improvement in supply-chain fulfillment and favorable pricing initiatives positively impacting the top line. Overall, imaging demand is healthy, especially for Molecular Imaging, Computed Tomography and Magnetic Resonance, supporting top-line growth.
Within Ultrasound, fourth-quarter organic revenue growth is expected to have been driven by the strong performance of cardiovascular, general imaging, and women’s health products on growing NPIs and improving supply-chain fulfillment. The company had earlier noted that it expects to see strong customer demand in both hospital and other care settings through the last three months of 2023.
Within the Patient Care Solutions business, the company is expected to have witnessed organic revenue growth, banking on favorable volume and pricing. Similar to the third quarter, GEHC is expected to have benefited from tools-side production for highly constrained products in the fourth quarter.
The company’s Pharmaceutical Diagnostics business is expected to have delivered organic revenue growth, driven by favorable price, recovery of global elective procedures and stabilization of supply.
However, a strong commercial performance in the fourth quarter might have been largely dented by a challenging macroeconomic environment and currency headwinds.
GE HealthCare Technologies Inc. Price and EPS Surprise
The Zacks Consensus Estimate for the company’s fourth-quarter 2023 revenues is pegged at $5.09 billion.
The Zacks Consensus Estimate for the company’s fourth-quarter 2023 earnings per share is pinned at $1.07.
What Our Model Suggests
Per our proven model, a stock with a Zacks Rank #1 (Strong Buy), 2 (Buy) or 3 (Hold), along with a positive Earnings ESP, has higher chances of beating on earnings. However, this is not the case here, as you will see below.
Earnings ESP: The company has an Earnings ESP of 0.00% at present. You can uncover the best stocks to buy or sell before they’re reported with our Earnings ESP Filter.
Zacks Rank: The company currently carries a Zacks Rank #3.
Stocks Worth a Look
Here are a few medical stocks worth considering, as these have the right combination of elements to come up with an earnings beat this reporting cycle.
The stock fell 5.2% in the past year. XRAY’s earnings beat estimates in the last reported quarter. It has a trailing four-quarter average earnings surprise of 20.65%.
Merit Medical Systems (MMSI - Free Report) has an Earnings ESP of +3.68% and a Zacks Rank of 2 at present.
The stock has risen 15% in the past year. MMSI’s earnings beat estimates in the last reported quarter. It has a trailing four-quarter average earnings surprise of 14.41%.
AMN Healthcare Services (AMN - Free Report) has an Earnings ESP of +3.42% and a Zacks Rank of 3 at present.
The stock fell 22.3% in the past year. AMN’s earnings beat estimates in the last reported quarter. It has a trailing four-quarter average earnings surprise of 12.66%.
Image: Bigstock
GE HealthCare (GEHC) to Report Q4 Earnings: What's in Store?
GE HealthCare Technologies Inc. (GEHC - Free Report) is scheduled to report fourth-quarter 2023 results on Feb 6, before market open.
In the last reported quarter, the company’s adjusted earnings per share of 99 cents surpassed the Zacks Consensus Estimate by 11.2%.
Let’s take a look at how things might have shaped up prior to the announcement.
Factors at Play
In January 2023, General Electric Company announced the completion of the spinoff of its healthcare business to create a new player in the field of Precision Care. From Jan 4, 2023, GE HealthCare started trading on Nasdaq under the ticker symbol “GEHC.”
GE HealthCare is expected to report strong organic revenue growth, banking on balanced segmental performance, driven by consistent new product introductions (NPIs) and growing customer demand. The quarter might have witnessed greater backlog fulfillment as supply challenges are gradually easing out. Further, improved pricing and successful commercial execution might have added to the top line in the fourth quarter.
In terms of operating segments, the Imaging business is expected to have benefited from health care providers’ continued investment in capacity globally to improve patient care and productivity. Volume is expected to have remained strong for surgical procedures, driving demand for Imaging. In the fourth quarter, the company is expected to have witnessed improvement in supply-chain fulfillment and favorable pricing initiatives positively impacting the top line. Overall, imaging demand is healthy, especially for Molecular Imaging, Computed Tomography and Magnetic Resonance, supporting top-line growth.
Within Ultrasound, fourth-quarter organic revenue growth is expected to have been driven by the strong performance of cardiovascular, general imaging, and women’s health products on growing NPIs and improving supply-chain fulfillment. The company had earlier noted that it expects to see strong customer demand in both hospital and other care settings through the last three months of 2023.
Within the Patient Care Solutions business, the company is expected to have witnessed organic revenue growth, banking on favorable volume and pricing. Similar to the third quarter, GEHC is expected to have benefited from tools-side production for highly constrained products in the fourth quarter.
The company’s Pharmaceutical Diagnostics business is expected to have delivered organic revenue growth, driven by favorable price, recovery of global elective procedures and stabilization of supply.
However, a strong commercial performance in the fourth quarter might have been largely dented by a challenging macroeconomic environment and currency headwinds.
GE HealthCare Technologies Inc. Price and EPS Surprise
GE HealthCare Technologies Inc. price-eps-surprise | GE HealthCare Technologies Inc. Quote
Q4 Estimates
The Zacks Consensus Estimate for the company’s fourth-quarter 2023 revenues is pegged at $5.09 billion.
The Zacks Consensus Estimate for the company’s fourth-quarter 2023 earnings per share is pinned at $1.07.
What Our Model Suggests
Per our proven model, a stock with a Zacks Rank #1 (Strong Buy), 2 (Buy) or 3 (Hold), along with a positive Earnings ESP, has higher chances of beating on earnings. However, this is not the case here, as you will see below.
Earnings ESP: The company has an Earnings ESP of 0.00% at present. You can uncover the best stocks to buy or sell before they’re reported with our Earnings ESP Filter.
Zacks Rank: The company currently carries a Zacks Rank #3.
Stocks Worth a Look
Here are a few medical stocks worth considering, as these have the right combination of elements to come up with an earnings beat this reporting cycle.
Dentsply Sirona (XRAY - Free Report) has an Earnings ESP of +6.43% and a Zacks Rank of 3 at present. You can see the complete list of today’s Zacks #1 Rank stocks here.
The stock fell 5.2% in the past year. XRAY’s earnings beat estimates in the last reported quarter. It has a trailing four-quarter average earnings surprise of 20.65%.
Merit Medical Systems (MMSI - Free Report) has an Earnings ESP of +3.68% and a Zacks Rank of 2 at present.
The stock has risen 15% in the past year. MMSI’s earnings beat estimates in the last reported quarter. It has a trailing four-quarter average earnings surprise of 14.41%.
AMN Healthcare Services (AMN - Free Report) has an Earnings ESP of +3.42% and a Zacks Rank of 3 at present.
The stock fell 22.3% in the past year. AMN’s earnings beat estimates in the last reported quarter. It has a trailing four-quarter average earnings surprise of 12.66%.
Stay on top of upcoming earnings announcements with the Zacks Earnings Calendar.