China stimulus positive for GE HealthCare, tool companies, says Evercore ISI

Evercore ISI analyst Vijay Kumar says China stimulus for hospital and teaching equipment is a positive for several in the group, including GE HealthCare (GEHC), noting that the Chinese Government’s anticorruption campaign last year was an overhang for the imaging players. With this new policy, China’s Government seems to be signaling an end to this anticorruption campaign, which should be a positive for GE HealthCare, the analyst tells investors. The notice also called out surgical robotics, which bodes well for Intuitive Surgical (ISRG), added the analyst. In addition, language around high end teaching equipment also bodes well for life science tool instrument players such as Thermo Fisher (TMO), Waters (WAT), Illumina (ILMN), Bruker (BRKR), Danaher (DHR) and Agilent (A), Evercore stated.