GEHC
GE HealthCare Technologies Inc.
$64.22
Stable Earnings Power
80%
P/Adj-EPS × Normalized Multiple
Mild
·
Conviction
Fair Value
Trading 5.9% below fair value
You pay
$64.22
Bear
$54.60
Fair
$68.25
Bull
$81.90
Bear
$54.60
-15.0%
$4.55 × 12x P/E
Fair
$68.25
+6.3%
$4.55 × 15x P/E
Bull
$81.90
+27.5%
$4.55 × 18x P/E
Adjust Assumptions
15.0x
4.55$
Key Value Driver
Normalized P/E multiple (15x base case)
Implied Market Multiple
14.1x
Analyst Consensus (External Reference)
Never blended into the bear/base/bull estimates above.
Average Target (19 analysts)
$80.50
Divergence from AlphaVal
15%
Summary
Applying a 15x P/E to adjusted EPS of $4.55, the base-case value is $68.25 per share.
Key Risks
- Growth DCF inappropriate — terminal value assumptions dominate
- EV/EBITDA misleading for regulated businesses where capex is mandated
- Regulatory risk is a fat tail not visible in normal multiples