GEHC Stock May Gain Following the Launch of Sonic DL for 3D Imaging

Zacks
03 Dec 2024

GE HealthCare Technologies Inc. GEHC recently unveiled Sonic DL for 3D to further boost the company’s imaging portfolio. Sonic DL for 3D builds on GE HealthCare’s deep learning innovation legacy and the success of AIR Recon DL.

By extending Sonic DL to 3D volumetric imaging, GE HealthCare is likely to expand its use beyond cardiac assessments to include brain, spine, orthopedic, and body exams. The goal of this expansion is to significantly cut scan times while maintaining the same remarkable 12 times scan acceleration.

Likely Trend of GEHC Stock Following the News

Following the announcement, shares of the company closed flat at $83.22 on Friday. In the year-to-date period, GEHC shares have gained 7.6% compared with the industry’s 15.6% growth. The S&P 500 increased 26.7% in the same time frame.

The latest launch of GEHC is likely to further boost the company’s imaging capabilities and generate additional revenues, which will likely increase the stock’s price. Meanwhile, GEHC currently has a market capitalization of $38.02 billion. In the last reported quarter, GEHC delivered an earnings surprise of 7.6%.


Image Source: Zacks Investment Research

More on GEHC’s Sonic DL for 3D

Per a 2023 American Medical Association survey, burnout has reached critical proportions in the healthcare industry, with a significant percentage of doctors and nurses suffering symptoms of burnout. Patient care is directly affected by the high levels of stress and exhaustion experienced by healthcare workers as a result of growing workloads, time restrictions, and staffing shortages.

Sonic DL for 3D is intended to provide faster, high-quality imaging for the majority of Magnetic Resonance (MR) scans to address the above-mentioned issues. This deep learning integration aims to empower doctors to drastically reduce scan durations, significantly improve picture resolution, and facilitate faster, more accurate diagnoses by fusing the speed of Sonic DL with the noise reduction capabilities of AIR Recon DL.

In neurology, Sonic DL for 3D is designed to enable high-resolution imaging of complex brain structures, allowing for quicker, clearer insights into neurological conditions. In orthopedics, it will aid in expediting the imaging of bones, ligaments, and joints, cutting down on scan times to reduce patient discomfort, particularly for individuals with limited mobility. By advancing speed and clarity in these critical areas, Sonic DL for 3D helps to enhance clinical workflows, improve patient comfort, and support timely diagnoses.

In line with its goal of sustainable and balanced MR access, GE HealthCare continues to develop deep learning technologies, which are used for new installations and in-field MR upgrades. GE HealthCare intends to assist healthcare professionals in decreasing patient backlogs, increasing exam capacity, and providing more economical care by providing facilities with faster, high-quality imaging solutions. With Sonic DL's expanded 3D imaging capabilities, GE HealthCare maintains its position as a leading supplier of AI-integrated MR technology, assisting physicians in providing accurate, quick diagnoses while improving patient satisfaction.

GEHC’s Recent Developments in Imaging Space

In November, GEHC unveiled the new Pristina Via mammography system, which will likely provide mammography technologists with a suite of advanced tools that balance the demands of diagnostic accuracy and workflows to facilitate more patient-centered breast care.

In the same month, GEHC announced additional clinical applications of the OEC 3D mobile CBCT C-arm portfolio, which enable precise and efficient imaging during endoscopic bronchoscopy procedures in interventional pulmonology.

Also, GEHC and DeepHealth, a subsidiary of RadNet, joined forces to develop SmartTechnology to revolutionize imaging through artificial intelligence (AI). This partnership combines companies' expertise and technological resources to address critical challenges in the imaging industry, especially those concerning workflow efficiency, clinical accuracy and patient-centered care.

In October, GEHC completed the acquisition of Intelligent Ultrasound Group PLC’s clinical AI software business. This transaction improves GEHC’s AI-driven image analysis tools, which are designed to make ultrasound diagnosis smarter and more efficient by enhancing image recognition and streamlining workflows.

GEHC’s Zacks Rank & Stocks to Consider

GEHC carries a Zacks Rank #3 (Hold) at present.

Some better-ranked stocks from the medical industry are Masimo MASI, AngioDynamics ANGO and Globus Medical GMED.

Masimo, sporting a Zacks Rank #1 (Strong Buy) at present, has an estimated growth rate of 10.4% for 2025. You can see the complete list of today’s Zacks #1 Rank stocks here.

MASI’s earnings surpassed estimates in each of the trailing four quarters, delivering an average surprise of 17.10%. Masimo’s shares have risen 37.2% year to date compared with the industry’s 6.7% growth.

AngioDynamics, carrying a Zacks Rank #2 ( Buy) at present, has an estimated growth rate of 38.2% for 2025. ANGO’s earnings surpassed estimates in three of the trailing four quarters and missed once, delivering an average surprise of 31.71%.

AngioDynamics’ shares have lost 8.9% year to date against the industry’s 6.7% growth.

Globus Medical, carrying a Zacks Rank of 2 at present, has an estimated long-term growth rate of 12.7%. GMED’s earnings surpassed estimates in each of the trailing four quarters, delivering an average surprise of 12.1%. Its shares have risen 56.5% year to date compared with the industry’s 6.7% growth.

Want the latest recommendations from Zacks Investment Research? Today, you can download 7 Best Stocks for the Next 30 Days. Click to get this free report

AngioDynamics, Inc. (ANGO) : Free Stock Analysis Report

Masimo Corporation (MASI) : Free Stock Analysis Report

Globus Medical, Inc. (GMED) : Free Stock Analysis Report

GE HealthCare Technologies Inc. (GEHC) : Free Stock Analysis Report

To read this article on Zacks.com click here.

Zacks Investment Research

Disclaimer: Investing carries risk. This is not financial advice. The above content should not be regarded as an offer, recommendation, or solicitation on acquiring or disposing of any financial products, any associated discussions, comments, or posts by author or other users should not be considered as such either. It is solely for general information purpose only, which does not consider your own investment objectives, financial situations or needs. TTM assumes no responsibility or warranty for the accuracy and completeness of the information, investors should do their own research and may seek professional advice before investing.

Most Discussed

  1. 1
     
     
     
     
  2. 2
     
     
     
     
  3. 3
     
     
     
     
  4. 4
     
     
     
     
  5. 5
     
     
     
     
  6. 6
     
     
     
     
  7. 7
     
     
     
     
  8. 8
     
     
     
     
  9. 9
     
     
     
     
  10. 10