Critical Review: SiBone (NASDAQ:SIBN) and GE HealthCare Technologies (NASDAQ:GEHC)

GE HealthCare Technologies (NASDAQ:GEHC) and SiBone (NASDAQ:SIBN) are both healthcare companies, but which is the superior stock? We will contrast the two businesses based on the strength of their valuation, risk, institutional ownership, dividends, profitability, analyst recommendations and earnings.

Institutional and Insider Ownership

82.1% of GE HealthCare Technologies shares are held by institutional investors. Comparatively, 98.1% of SiBone shares are held by institutional investors. 0.4% of GE HealthCare Technologies shares are held by insiders. Comparatively, 4.0% of SiBone shares are held by insiders. Strong institutional ownership is an indication that hedge funds, large money managers and endowments believe a company is poised for long-term growth.

Earnings and Valuation

This table compares GE HealthCare Technologies and SiBone”s top-line revenue, earnings per share (EPS) and valuation.

	Gross Revenue	Price/Sales Ratio	Net Income	Earnings Per Share	Price/Earnings Ratio
GE HealthCare Technologies	$20.62 billion	1.54	$2.08 billion	$4.36	16.11
SiBone	$213.60 million	4.26	-$18.90 million	($0.34)	-60.41

GE HealthCare Technologies has higher revenue and earnings than SiBone. SiBone is trading at a lower price-to-earnings ratio than GE HealthCare Technologies, indicating that it is currently the more affordable of the two stocks.

Analyst Recommendations

This is a summary of current recommendations and price targets for GE HealthCare Technologies and SiBone, as provided by MarketBeat.com.

	Sell Ratings	Hold Ratings	Buy Ratings	Strong Buy Ratings	Rating Score
GE HealthCare Technologies	0	11	11	1	2.57
SiBone	1	0	6	0	2.71

GE HealthCare Technologies currently has a consensus price target of $78.35, suggesting a potential upside of 11.56%. SiBone has a consensus price target of $24.50, suggesting a potential upside of 19.28%. Given SiBone’s stronger consensus rating and higher probable upside, analysts clearly believe SiBone is more favorable than GE HealthCare Technologies.

Profitability

This table compares GE HealthCare Technologies and SiBone’s net margins, return on equity and return on assets.

	Net Margins	Return on Equity	Return on Assets
GE HealthCare Technologies	9.33%	20.12%	5.74%
SiBone	-6.85%	-8.23%	-6.07%

Risk and Volatility

GE HealthCare Technologies has a beta of 0.73, meaning that its share price is 27% less volatile than the S&P 500. Comparatively, SiBone has a beta of 0.66, meaning that its share price is 34% less volatile than the S&P 500.

Summary

GE HealthCare Technologies beats SiBone on 10 of the 15 factors compared between the two stocks.

About GE HealthCare Technologies

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. The Imaging segment offers molecular imaging, computed tomography (CT) scanning, magnetic resonance (MR) imaging, image-guided therapy, X-ray systems, and women’s health products. The Ultrasound segment provides medical devices and solutions for screening, diagnosis, treatment, and monitoring of certain diseases in clinical areas, such as radiology and primary care, women’s health, cardiovascular, and point of care and handheld ultrasound solutions, as well as surgical visualization and guidance products. The Patient Care Solutions segment provides medical devices, consumables, services, and digital solutions. Its portfolio includes patient monitoring solutions, anesthesia delivery and respiratory care products, electrocardiogram solutions, maternal infant care products, and consumables and services. The Pharmaceutical Diagnostics supplies diagnostic agents, including CT, angiography and X-ray, MR, single-photon emission computed tomography, positron emission tomography, and ultrasound to the radiology and nuclear medicine industry. The segment also provides contrast media pharmaceuticals that are administered to a patient prior to certain diagnostic scans to increase the visibility of tissues or structures during imaging exams; and molecular imaging agents or radiopharmaceuticals, which are molecular tracers labeled with radioisotopes. It has an AI collaboration with Mass General Brigham. The company was formerly known as GE Healthcare Holding LLC and changed its name to GE HealthCare Technologies Inc. in December 2022. The company was incorporated in 2022 and is headquartered in Chicago, Illinois.

About SiBone

SI-BONE, Inc., a medical device company, that operate to solve musculoskeletal disorders of the sacropelvic anatomy in the United States and internationally. It offers proprietary minimally invasive surgical implant system to address sacroiliac joint dysfunction and fusion, adult deformity and degeneration, and pelvic trauma; and implantable bone products. The company also provides iFuse-3D, a titanium implant that combines the triangular cross-section of the iFuse implant with the proprietary 3D-printed porous surface and fenestrated design; iFuse-TORQ, a set of 3D-printed threaded implants designed to treat pelvic trauma; and iFuse Bedrock Granite implant provides sacroiliac fusion and sacropelvic fixation as a foundational element for segmental spinal fusion. It markets its products primarily with a direct sales force, as well as through agents and resellers. SI-BONE, Inc. was incorporated in 2008 and is headquartered in Santa Clara, California.