Valued at a market cap of $35.3 billion, Chicago-based GE HealthCare Technologies Inc. (GEHC) stands at the forefront of medical innovation, specializing in cutting-edge medical imaging, patient-monitoring products, and comprehensive healthcare solutions. The healthcare equipment giant is expected to lift the curtains on its fiscal Q2 earnings results on Tuesday, July 23. 

Ahead of this event, analysts are expecting GEHC to report a profit of $0.97 per share, up 5.4% from $0.92 per share in the year-ago quarter. The company holds an impressive track record of meeting or surpassing Wall Street's bottom-line estimates each of the last four quarters. The company's adjusted EPS for the last reported quarter climbed almost 6% year over year to $0.90, aligning precisely with the consensus EPS estimate.

For fiscal 2024, analysts expect GEHC to report EPS of $4.27, up 8.7% from $3.93 in fiscal 2023. Looking forward to fiscal 2025, EPS is expected to grow by 11.5% annually to $4.76.

GE Healthcare shares have dropped 4.3% over the past 52 weeks, lagging behind the broader S&P 500 Index’s ($SPX) 24.3% gains over the same period. However, the stock has outperformed the S&P Healthcare Equipment SPDR’s (XHE) more pronounced loss of 14.6% during the same time frame. 

The company’s shares tumbled nearly 14.3% after it revealed its Q1 earnings results on April 30. Despite matching EPS estimates, the company’s revenue of $4.7 billion declined marginally from a year earlier and was also below analyst expectations of $4.8 billion. During the quarter, sales in its Imaging segment dipped 1% annually, while Ultrasound and Patient Care Solutions saw a 4% decline. Moreover, the positive growth in the Pharmaceutical Diagnostics segment wasn't enough to offset concerns, fueling negative investor sentiment.

Analysts' consensus rating on GEHC stock is cautiously optimistic, with a "Moderate Buy" rating overall. Among 14 analysts covering the stock, seven recommend a "Strong Buy," and the remaining seven give a "Hold" rating. This configuration is slightly more bullish than three months ago, with six “Strong Buy” ratings. 

The average analyst price target for GEHC is $94.23, suggesting a modest potential upside of 22% from the current levels.

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On the date of publication, Anushka Mukherjee did not have (either directly or indirectly) positions in any of the securities mentioned in this article. All information and data in this article is solely for informational purposes. For more information please view the Barchart Disclosure Policy here.