Here's Why GE HealthCare Stock Blasted Higher Today
A thawing in the U.S./China trading relationship is excellent news for a company like GE HealthCare Technologies (NASDAQ: GEHC). It's a large exporter to China (a market management sees as having excellent long-term potential) and uses Chinese-sourced components in its products. As such, the stock jumped as high as 11.3% in early trading on the news that the U.S. and China have agreed to ease tariffs on each other's goods for an initial 90-day period.
The impact of tariffs on GE HealthCare is seen in its earnings guidance. Back in February, management said tariffs would hit its earnings per share (EPS) in 2025 by $0.05. Fast forward to the end of April (almost a month after the "Liberation Day" tariffs were announced), and management discussed an additional $0.80 net hit from the tariffs. For reference, GE HealthCare's current full-year EPS guidance for 2025 calls for $3.90 to $4.10.
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Source Fool.com
