Erste Group Bank Decreases Earnings Estimates for GE Vernova

Key Points

• Erste Group Bank lowered its FY2027 EPS forecast for GE Vernova to $24.64 from $24.73, while the company’s latest quarterly EPS of $2.47 missed the $3.17 consensus estimate despite revenue rising 21.9% year over year to $11.10 billion.
• Analyst sentiment remains broadly positive, with GE Vernova carrying a “Moderate Buy” consensus rating and an average price target of $1,133.15, although Morgan Stanley downgraded the stock to “underweight.”
• GE Vernova shares opened at $897.30, below their 50-day and 200-day moving averages, amid broader sector weakness and valuation concerns; potential opportunities include Venezuela energy agreements and growth in the steam-turbine aftermarket.

GE Vernova Inc. (NYSE:GEV - Free Report) - Equities researchers at Erste Group Bank dropped their FY2027 earnings estimates for GE Vernova in a research report issued to clients and investors on Thursday, August 27th. Erste Group Bank analyst H. Engel now forecasts that the company will post earnings of $24.64 per share for the year, down from their previous estimate of $24.73. The consensus estimate for GE Vernova's current full-year earnings is $15.46 per share.

GE Vernova (NYSE:GEV - Get Free Report) last issued its quarterly earnings results on Wednesday, July 22nd. The company reported $2.47 earnings per share for the quarter, missing analysts' consensus estimates of $3.17 by ($0.70). GE Vernova had a net margin of 23.03% and a return on equity of 42.42%. The business had revenue of $11.10 billion during the quarter, compared to analyst estimates of $10.79 billion. During the same period in the previous year, the company posted $1.86 earnings per share. GE Vernova's revenue was up 21.9% compared to the same quarter last year.

Several other analysts have also commented on GEV. Morgan Stanley lowered shares of GE Vernova from an "overweight" rating to an "underweight" rating in a research note on Monday, August 3rd. TD Cowen increased their price objective on GE Vernova from $1,220.00 to $1,235.00 and gave the company a "buy" rating in a research report on Thursday, July 23rd. Oppenheimer raised their price objective on GE Vernova from $1,303.00 to $1,338.00 and gave the stock an "outperform" rating in a research note on Thursday, July 23rd. Mizuho lifted their target price on GE Vernova from $913.00 to $949.00 and gave the stock a "neutral" rating in a report on Friday, July 24th. Finally, BMO Capital Markets reaffirmed an "outperform" rating on shares of GE Vernova in a research report on Friday, August 7th. Two equities research analysts have rated the stock with a Strong Buy rating, twenty-two have assigned a Buy rating, five have given a Hold rating and one has assigned a Sell rating to the stock. Based on data from MarketBeat.com, the stock currently has a consensus rating of "Moderate Buy" and a consensus price target of $1,133.15.

GE Vernova Stock Performance

Shares of GEV opened at $897.30 on Tuesday. The firm's 50 day moving average is $1,027.25 and its 200-day moving average is $976.33. The stock has a market capitalization of $238.98 billion, a P/E ratio of 25.68, a P/E/G ratio of 3.28 and a beta of 1.21. The company has a debt-to-equity ratio of 0.21, a current ratio of 0.85 and a quick ratio of 0.62. GE Vernova has a 12-month low of $530.16 and a 12-month high of $1,195.94.

Institutional Investors Weigh In On GE Vernova

A number of large investors have recently made changes to their positions in the company. California State Teachers Retirement System boosted its stake in GE Vernova by 116,092.4% in the 2nd quarter. California State Teachers Retirement System now owns 483,330,355 shares of the company's stock worth $567,845,501,000 after purchasing an additional 482,914,381 shares during the period. Auto Owners Insurance Co raised its stake in GE Vernova by 110,973.4% during the 4th quarter. Auto Owners Insurance Co now owns 34,858,156 shares of the company's stock valued at $2,278,224,000 after purchasing an additional 34,826,773 shares during the period. BlackRock Inc. acquired a new stake in GE Vernova during the 2nd quarter valued at $25,569,630,000. State Street Corp lifted its holdings in shares of GE Vernova by 2.1% in the fourth quarter. State Street Corp now owns 11,469,670 shares of the company's stock valued at $7,496,232,000 after purchasing an additional 231,392 shares in the last quarter. Finally, Geode Capital Management LLC lifted its holdings in shares of GE Vernova by 1.1% in the fourth quarter. Geode Capital Management LLC now owns 6,249,193 shares of the company's stock valued at $4,074,039,000 after purchasing an additional 68,894 shares in the last quarter.

Trending Headlines about GE Vernova

Here are the key news stories impacting GE Vernova this week:

• Positive Sentiment: Potential Venezuela agreements could create new project opportunities. GE Vernova is reportedly among the companies preparing to finalize energy agreements in Venezuela. The country’s amended hydrocarbons law could give foreign participants greater flexibility to operate and expand projects, although execution and political risks remain. Firms including Chevron, ONGC, GE Vernova on track to sign final pacts in Venezuela
• Positive Sentiment: Steam-turbine aftermarket growth supports GE Vernova’s services business. The global market is projected to expand from $12.5 billion in 2025 to $16.02 billion by 2031, driven by aging power fleets, life-extension programs and maintenance demand. GE Vernova could benefit from its installed base and recurring parts and service revenue. Global Steam Turbine Aftermarket Market to Reach USD 16.02 Billion by 2031
• Neutral Sentiment: New CFO appointment introduces a leadership transition. GE Vernova reportedly selected Rivian executive Claire McDonough as its next chief financial officer. Investors will likely watch for details on her priorities, financial controls and capital-allocation strategy. GE Vernova Taps Rivian’s Claire McDonough as New CFO
• Negative Sentiment: Speculation about SpaceX competition is weighing on sentiment. Reports suggest SpaceX may pose a new threat to GE Vernova, though neither company has commented and the nature of the potential competition remains unclear. The uncertainty is contributing to selling pressure. GE Vernova Stock Drops. Is SpaceX Coming for Them Too?
• Negative Sentiment: Recent weakness reflects broader sector selling and valuation concerns. GEV’s decline has extended a pullback affecting some power-infrastructure peers. With the stock trading below its short- and long-term moving averages and its latest quarterly EPS below expectations, investors may be taking profits despite strong revenue growth. GE Vernova Slides, Vertiv Holdings and Eaton Sit Out the Selloff

GE Vernova Company Profile

GE Vernova is the energy-focused company formed from the energy businesses of General Electric and operates as a publicly listed entity on the NYSE under the ticker GEV. It is organized to design, manufacture and service equipment and systems used across the power generation and energy transition value chain, bringing together legacy capabilities in conventional power, renewables and grid technologies under a single corporate platform.

The company’s offerings span large-scale power-generation equipment such as gas and steam turbines and associated generators and controls, as well as renewable energy technologies including onshore and offshore wind platforms and hydro solutions.

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