GE Aerospace $GE Shares Sold by Brookstone Capital Management

Key Points

• Brookstone Capital Management reduced its GE Aerospace stake by 21.4% in the third quarter, selling 7,658 shares and retaining 28,186 shares valued at approximately $8.8 million.
• GE Aerospace posted a strong quarter, with adjusted EPS of $2.25 beating the $2.01 consensus and revenue rising 24.7% year over year to $13.29 billion; management also raised its full-year guidance.
• Despite a “Moderate Buy” consensus and 74.77% institutional ownership, the stock faces pressure from elevated valuation, analyst price-target cuts, high jet-fuel costs and anticipated GE9X transition expenses.

Brookstone Capital Management cut its stake in shares of GE Aerospace (NYSE:GE - Free Report) by 21.4% in the third quarter, according to its most recent disclosure with the SEC. The firm owned 28,186 shares of the company's stock after selling 7,658 shares during the period. Brookstone Capital Management's holdings in GE Aerospace were worth $8,802,000 at the end of the most recent quarter.

Several other hedge funds and other institutional investors have also added to or reduced their stakes in the stock. Amundi boosted its position in GE Aerospace by 135.2% during the first quarter. Amundi now owns 6,119,975 shares of the company's stock worth $1,736,665,000 after acquiring an additional 3,518,278 shares during the last quarter. Jupiter Topco LLC purchased a new position in GE Aerospace in the 2nd quarter worth approximately $1,283,858,000. Wellington Management Group LLP boosted its holdings in shares of GE Aerospace by 97.3% during the 2nd quarter. Wellington Management Group LLP now owns 6,797,935 shares of the company's stock worth $2,540,592,000 after purchasing an additional 3,352,432 shares during the last quarter. Jennison Associates LLC grew its position in shares of GE Aerospace by 37.7% in the first quarter. Jennison Associates LLC now owns 11,026,006 shares of the company's stock valued at $3,128,850,000 after purchasing an additional 3,017,937 shares in the last quarter. Finally, State Street Corp increased its holdings in shares of GE Aerospace by 2.6% in the second quarter. State Street Corp now owns 46,497,628 shares of the company's stock valued at $17,377,559,000 after purchasing an additional 1,160,584 shares during the last quarter. 74.77% of the stock is owned by hedge funds and other institutional investors.

Key GE Aerospace News

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

• Positive Sentiment: GE Aerospace beat third-quarter expectations for the eighth consecutive quarter, reporting adjusted EPS of $2.25 versus the $2.01 consensus and revenue of $13.29 billion, up 24.7% year over year. The company also raised its full-year guidance. GE Aerospace Reports Strong Earnings Again
• Positive Sentiment: Defense and Propulsion Technologies remains a bright spot, with revenue growth of 7% and orders up 18%, supported by military-engine demand and defense contracts. GE's Defense & Propulsion Strength Seems Firm
• Positive Sentiment: Management expects to deliver more than 3,200 engines in South Asia over the next decade, highlighting a substantial long-term commercial opportunity. GE is also increasing engine deliveries as Boeing targets higher 787 production. GE Aerospace South Asia Engine Delivery Plans
• Neutral Sentiment: Several research reports remain bullish, citing strong aftermarket demand, execution improvements and GE’s leading position in aero engines. However, the stock’s elevated valuation means further gains may require continued earnings upgrades. Strong Aftermarket Demand and Improving Execution
• Negative Sentiment: Bernstein lowered its price target to $376 from $421, while Susquehanna, JPMorgan, BNP Paribas Exane and RBC also issued cautious views or reduced expectations. The cluster of target cuts is weighing on sentiment. Bernstein Lowers GE Aerospace Price Target
• Negative Sentiment: Analysts are concerned that high jet-fuel prices could pressure airline profitability and delay engine purchases. Investors are also factoring in projected 2027 transition costs associated with the GE9X production ramp, despite GE’s large services backlog. Why GE Aerospace Stock Keeps Going Down

Wall Street Analyst Weigh In

Several brokerages have issued reports on GE. Melius Research set a $350.00 target price on GE Aerospace and gave the company a "hold" rating in a report on Monday, September 14th. Weiss Ratings reissued a "buy (b)" rating on shares of GE Aerospace in a report on Thursday, October 15th. The Goldman Sachs Group reissued a "buy" rating and issued a $410.00 price objective on shares of GE Aerospace in a report on Monday, July 20th. Guggenheim set a $380.00 price objective on shares of GE Aerospace in a research report on Wednesday. Finally, Royal Bank Of Canada set a $376.00 price target on shares of GE Aerospace in a research note on Friday. Seventeen equities research analysts have rated the stock with a Buy rating, three have given a Hold rating and one has issued a Sell rating to the company's stock. Based on data from MarketBeat, the stock currently has an average rating of "Moderate Buy" and a consensus target price of $373.52.

GE Aerospace Stock Down 2.7%

GE Aerospace stock opened at $285.76 on Friday. GE Aerospace has a fifty-two week low of $268.91 and a fifty-two week high of $388.84. The company has a debt-to-equity ratio of 0.96, a quick ratio of 0.67 and a current ratio of 0.98. The firm has a 50 day moving average price of $322.95 and a 200 day moving average price of $328.74. The company has a market capitalization of $295.29 billion, a PE ratio of 38.12, a price-to-earnings-growth ratio of 2.05 and a beta of 1.38.

GE Aerospace (NYSE:GE - Get Free Report) last posted its quarterly earnings data on Tuesday, October 20th. The company reported $2.25 earnings per share (EPS) for the quarter, beating the consensus estimate of $2.01 by $0.24. The firm had revenue of $13.29 billion for the quarter, compared to the consensus estimate of $12.88 billion. GE Aerospace had a return on equity of 44.43% and a net margin of 17.31%. The company's quarterly revenue was up 24.7% compared to the same quarter last year. During the same quarter in the previous year, the business earned $1.66 EPS. Research analysts expect that GE Aerospace will post 8.15 earnings per share for the current year.

GE Aerospace Dividend Announcement

The firm also recently announced a quarterly dividend, which will be paid on Monday, October 26th. Shareholders of record on Monday, October 5th will be issued a dividend of $0.47 per share. The ex-dividend date is Monday, October 5th. This represents a $1.88 dividend on an annualized basis and a yield of 0.7%. GE Aerospace's dividend payout ratio is 22.14%.

GE Aerospace Profile

GE Aerospace NYSE: GE is a global aerospace company that designs, develops, manufactures and services aircraft engines and related systems. Its products support commercial air transport, business and general aviation, military aircraft, and other defense applications. The company also provides engine components, avionics, mechanical systems, digital solutions and maintenance, repair and overhaul services.

GE Aerospace serves airlines, aircraft operators, leasing companies, airframers and government customers worldwide.

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