Philips cuts annual profit estimates as trade war clouds outlook
Written by Emily J. Thompson, Senior Investment Analyst
Updated: May 06 2025
0mins
Source: Reuters
Philips Adjusts Profit Margin Forecast: Philips has lowered its profit margin forecast for 2025 due to anticipated tariff impacts of €250-300 million, leading to a 4% drop in its share price. The company plans to mitigate these effects through pricing and supply chain adjustments while maintaining a sales growth forecast of 1-3% for this year.
U.S. Tariffs and Market Impact: The U.S. is Philips' largest market, contributing significantly to its sales and tax revenue. The company is actively engaging with governments regarding tariffs on medical technology and exploring relief measures, while also facing potential cost absorption from new tariffs in the healthcare sector.
Analyst Views on GEHC
Wall Street analysts forecast GEHC stock price to rise over the next 12 months. According to Wall Street analysts, the average 1-year price target for GEHC is 92.25 USD with a low forecast of 80.00 USD and a high forecast of 105.00 USD. However, analyst price targets are subjective and often lag stock prices, so investors should focus on the objective reasons behind analyst rating changes, which better reflect the company's fundamentals.
13 Analyst Rating
8 Buy
5 Hold
0 Sell
Moderate Buy
Current: 81.890
Low
80.00
Averages
92.25
High
105.00
Current: 81.890
Low
80.00
Averages
92.25
High
105.00
About GEHC
GE HealthCare Technologies Inc. is a healthcare solutions provider, innovating medical technology, pharmaceutical diagnostics, and integrated, cloud-first artificial intelligence (AI)-enabled solutions, services and data analytics. Its business segments include Imaging, Advanced Visualization Solutions (AVS), Patient Care Solutions (PCS), and Pharmaceutical Diagnostics (PDx). Its Imaging segment offers a portfolio of scanning devices, clinical applications, service capabilities, and digital solutions. Its AVS segment offers ultrasound, image guided therapies, and interventional solutions with a portfolio that spans the continuum of care, including screening, diagnosis, treatment, and monitoring of certain diseases. Its PCS segment consists of patient monitoring, anesthesia delivery and respiratory care, diagnostic cardiology, maternal infant care, and consumables and services. Its PDx segment develops and produces two types of imaging agents: contrast media and radiopharmaceuticals.
About the author
Emily J. Thompson
Emily J. Thompson, a Chartered Financial Analyst (CFA) with 12 years in investment research, graduated with honors from the Wharton School. Specializing in industrial and technology stocks, she provides in-depth analysis for Intellectia’s earnings and market brief reports.
