Applied Finance Capital Management LLC Buys New Shares in GE HealthCare Technologies Inc. (NASDAQ:GEHC)

Key Points

• Applied Finance Capital Management LLC has acquired 9,316 shares of GE HealthCare Technologies, valued at approximately $752,000, marking a new position for the firm in the first quarter of the year.
• Analysts have mixed opinions on GE HealthCare Technologies, with Goldman Sachs lowering their price target from $94.00 to $82.00 while Wall Street Zen upgraded the stock from a "hold" to a "buy" rating.
• GE HealthCare Technologies is set to pay a quarterly dividend of $0.035 per share on August 15, 2023, and has authorized a stock buyback program allowing up to $1 billion in repurchases of outstanding shares.

Applied Finance Capital Management LLC bought a new stake in shares of GE HealthCare Technologies Inc. (NASDAQ:GEHC - Free Report) in the first quarter, according to its most recent Form 13F filing with the SEC. The fund bought 9,316 shares of the company's stock, valued at approximately $752,000.

Other hedge funds and other institutional investors have also recently bought and sold shares of the company. Norges Bank bought a new stake in shares of GE HealthCare Technologies during the 4th quarter worth about $488,531,000. Capital Research Global Investors raised its position in shares of GE HealthCare Technologies by 4.5% during the 4th quarter. Capital Research Global Investors now owns 60,832,004 shares of the company's stock worth $4,755,851,000 after buying an additional 2,608,066 shares in the last quarter. Eminence Capital LP bought a new stake in shares of GE HealthCare Technologies during the 4th quarter worth about $102,574,000. Invesco Ltd. raised its holdings in shares of GE HealthCare Technologies by 18.4% in the 4th quarter. Invesco Ltd. now owns 8,067,927 shares of the company's stock worth $630,751,000 after purchasing an additional 1,252,613 shares in the last quarter. Finally, JPMorgan Chase & Co. raised its holdings in shares of GE HealthCare Technologies by 53.5% in the 4th quarter. JPMorgan Chase & Co. now owns 3,428,586 shares of the company's stock worth $268,047,000 after purchasing an additional 1,194,983 shares in the last quarter. 82.06% of the stock is owned by institutional investors and hedge funds.

Analysts Set New Price Targets

A number of analysts recently commented on the stock. Evercore ISI dropped their target price on shares of GE HealthCare Technologies from $96.00 to $85.00 and set an "outperform" rating on the stock in a report on Thursday, May 1st. UBS Group upgraded shares of GE HealthCare Technologies from a "sell" rating to a "neutral" rating and dropped their target price for the stock from $74.00 to $73.00 in a report on Monday, May 5th. BTIG Research reiterated a "buy" rating on shares of GE HealthCare Technologies in a report on Monday, July 14th. Wall Street Zen upgraded shares of GE HealthCare Technologies from a "hold" rating to a "buy" rating in a report on Saturday, May 31st. Finally, Wells Fargo & Company dropped their target price on shares of GE HealthCare Technologies from $103.00 to $89.00 and set an "overweight" rating on the stock in a report on Thursday, May 1st. Three equities research analysts have rated the stock with a hold rating, nine have assigned a buy rating and one has assigned a strong buy rating to the company's stock. According to data from MarketBeat, GE HealthCare Technologies currently has a consensus rating of "Moderate Buy" and an average target price of $88.55.

GE HealthCare Technologies Stock Down 5.4%

GEHC traded down $4.17 on Wednesday, reaching $73.55. 6,925,324 shares of the company traded hands, compared to its average volume of 4,040,523. The stock's 50 day moving average price is $73.50 and its 200-day moving average price is $76.92. GE HealthCare Technologies Inc. has a 52-week low of $57.65 and a 52-week high of $94.80. The company has a market cap of $33.68 billion, a price-to-earnings ratio of 15.48, a PEG ratio of 2.62 and a beta of 1.14. The company has a debt-to-equity ratio of 0.73, a current ratio of 0.98 and a quick ratio of 0.76.

GE HealthCare Technologies (NASDAQ:GEHC - Get Free Report) last posted its earnings results on Wednesday, July 30th. The company reported $1.06 EPS for the quarter, topping the consensus estimate of $0.91 by $0.15. The company had revenue of $5 billion during the quarter, compared to the consensus estimate of $4.96 billion. GE HealthCare Technologies had a net margin of 11.02% and a return on equity of 24.95%. The company's revenue for the quarter was up 3.5% compared to the same quarter last year. During the same period in the previous year, the firm posted $1.00 earnings per share. On average, sell-side analysts expect that GE HealthCare Technologies Inc. will post 4.68 EPS for the current fiscal year.

GE HealthCare Technologies Announces Dividend

The company also recently disclosed a quarterly dividend, which will be paid on Friday, August 15th. Stockholders of record on Friday, July 25th will be paid a $0.035 dividend. This represents a $0.14 dividend on an annualized basis and a dividend yield of 0.19%. The ex-dividend date of this dividend is Friday, July 25th. GE HealthCare Technologies's payout ratio is 2.95%.

GE HealthCare Technologies announced that its Board of Directors has authorized a share buyback program on Wednesday, April 30th that permits the company to repurchase $1.00 billion in shares. This repurchase authorization permits the company to repurchase up to 3.1% of its stock through open market purchases. Stock repurchase programs are usually a sign that the company's management believes its shares are undervalued.

GE HealthCare Technologies Profile

GE HealthCare Technologies Inc engages in the development, manufacture, and marketing of products, services, and complementary digital solutions used in the diagnosis, treatment, and monitoring of patients in the United States, Canada, and internationally. The company operates through four segments: Imaging, Ultrasound, Patient Care Solutions, and Pharmaceutical Diagnostics.