GEHC
GE HealthCare Technologies Inc.
Healthcare · Medical Devices · United States · Stock
Score Breakdown
Scored for Dividend Income profile
Sub-scores are 0–20 each; Model Score is weighted by your selected investment goal. How it works →
Why Ranked Here
- Moderate single-digit revenue and earnings growth, combined with above-midpoint profitability margins, anchor the score in the middle range rather than at the extremes.
- Financial health is adequate — a debt-to-equity ratio near 1.0 and interest coverage of 6.3x are reassuring but not exceptional — contributing a slightly above-average component score.
- The absence of a macro theme assignment and a below-midpoint momentum score due to the 2026Q1 deceleration weigh on the composite, resulting in a medium-risk, mid-range total score.
Why Not Higher
- The pronounced quarterly pullback in 2026Q1 across revenue, net income, and operating income penalized the momentum component and introduces uncertainty about near-term growth sustainability.
- With no assigned macro theme, GEHC receives no thematic tailwind from the model, capping the total score relative to peers that benefit from such classification.
Data Confidence
9 / 10
Very High — full data coverage
Why This Score
Grounded in figures from this company's SEC EDGAR filings — not a restatement of the score itself.
Revenue grew from FY2024's $19,672,000,000 to FY2025's $20,625,000,000, a gain of +4.8%. Net income rose +4.6% over the same period, and diluted EPS increased from $4.34 in FY2024 to $4.55 in FY2025 (+4.8%).
The model reflects steady but moderate single-digit growth across revenue, earnings, and per-share metrics, which is consistent with a mid-range growth score rather than a high or low one.
In FY2025, GEHC posted an operating margin of 13.4%, a net margin of 10.1%, and a return on assets of 5.6%.
These figures indicate solid but not exceptional profitability; the double-digit margins support a above-midpoint score, while the relatively modest return on assets tempers it from reaching the top tier.
In FY2025, GEHC carried a debt-to-equity ratio of 0.96 and an interest coverage ratio of 6.3, against a total asset base of $36,906,000,000.
A debt-to-equity ratio near 1.0 signals moderate leverage, while an interest coverage ratio of 6.3 in FY2025 suggests the company comfortably services its debt obligations, supporting a slightly above-average financial health score.
Over the last four reported quarters, revenue moved from $5,007,000,000 in 2025Q2 to $5,143,000,000 in 2025Q3, peaked at $5,698,000,000 in 2025Q4, then pulled back to $5,131,000,000 in 2026Q1. Net income and operating income followed a similar pattern, with operating income rising from $654,000,000 in 2025Q2 to $827,000,000 in 2025Q4 before declining to $515,000,000 in 2026Q1.
The quarterly trend shows a pronounced peak in 2025Q4 followed by a meaningful deceleration in 2026Q1 across revenue, net income, and operating income, which the model appears to have penalized, resulting in a below-midpoint momentum score.
GEHC's dividend payout ratio in FY2025 was 3.1%, and dividends per share have grown incrementally from $0.12 in FY2023 to $0.125 in FY2024 and $0.14 in FY2025.
The model rewards the consistent, albeit modest, upward trend in dividends per share alongside a very low payout ratio, which signals that the dividend is well-covered by earnings and has room to grow, supporting a score above the midpoint.
GEHC is not currently assigned to any of the 24 tracked macro themes.
The absence of a macro theme assignment means the model did not apply any thematic tailwind to this security's score; this reflects the current classification status and is not an indicator of the company's underlying quality.
Research Summary
AI-generated analysis reflects data and conditions as of the report date shown above. Verify any specific figures through primary sources before acting on this analysis.
GE HealthCare Technologies Inc. (GEHC) delivered steady, moderate growth in FY2025, with revenue rising 4.8% to $20,625,000,000 and net income climbing 4.6% to $2,084,000,000, supported by solid double-digit operating and net margins of 13.4% and 10.1% respectively. The company maintains a manageable balance sheet with a debt-to-equity ratio of 0.96 and interest coverage of 6.3x, while its dividend per share has grown incrementally from $0.12 in FY2023 to $0.14 in FY2025 at a very low payout ratio of 3.1%. However, recent quarterly momentum has softened, with revenue and operating income pulling back meaningfully in 2026Q1 after a strong 2025Q4 peak, and the absence of any assigned macro theme leaves the company without a model-recognized thematic tailwind. Overall, GEHC presents as a stable, mid-tier holding that warrants further research before a conviction position.
Plain English
GEHC is a steady medical technology company that grows its sales and profits at a modest pace each year, keeps its debt at a reasonable level, and pays a small but growing dividend — but its most recent quarter showed a noticeable slowdown, so it's worth watching closely before making a big bet.
Bull Case vs. Bear Case
Bull Case
- Consistent top- and bottom-line growth: revenue expanded 4.8% year-over-year to $20,625,000,000 and diluted EPS rose from $4.34 to $4.55, demonstrating reliable compounding of shareholder value.
- Solid profitability profile with a 13.4% operating margin and 10.1% net margin in FY2025, indicating the business converts a meaningful share of revenue into earnings.
- A very low dividend payout ratio of 3.1% alongside incremental per-share dividend growth from $0.12 to $0.14 signals a well-covered, potentially expandable dividend program.
Bear Case
- Quarterly momentum deteriorated sharply in 2026Q1, with revenue falling back to $5,131,000,000 and operating income dropping to $515,000,000 from a 2025Q4 peak of $5,698,000,000 and $827,000,000 respectively, raising questions about near-term trajectory.
- Return on assets of only 5.6% in FY2025 against a $36,906,000,000 asset base suggests the company is not generating exceptional returns on its large asset footprint.
- GEHC is not assigned to any of the 24 tracked macro themes, meaning the model applies no thematic tailwind to its score, leaving it reliant solely on fundamental performance.
What Could Change the Picture
Bullish Triggers
- A sustained reacceleration in quarterly revenue and operating income beyond the 2025Q4 peak levels would signal that the 2026Q1 pullback was temporary rather than a structural deceleration.
- A meaningful increase in return on assets above the current 5.6% would indicate improving capital efficiency across the company's $36,906,000,000 asset base.
Bearish Triggers
- Continued quarterly declines in operating income below the $515,000,000 reported in 2026Q1 would suggest the post-peak slowdown is deepening rather than stabilizing.
- A rise in the debt-to-equity ratio materially above the current 0.96, or a decline in interest coverage below the current 6.3x, would signal deteriorating financial health.
Risk Profile
Medium RiskGEHC carries moderate financial risk, with a debt-to-equity ratio of 0.96 and interest coverage of 6.3x in FY2025 suggesting the company can service its obligations comfortably but is not conservatively leveraged. The sharp sequential decline in operating income from $827,000,000 in 2025Q4 to $515,000,000 in 2026Q1 adds near-term operational uncertainty that investors should monitor.
This report is for educational and research purposes only. It does not constitute financial, investment, legal, or tax advice — always conduct your own due diligence before making investment decisions.