GE Aerospace (NYSE:GE) Shares Up 1.3% - Time to Buy?

Key Points

• GE Aerospace shares rose 1.3% to about $301.66, though the stock remains below its 50-day and 200-day moving averages after a recent 9.4% four-week decline.
• The company’s fundamentals remain strong: quarterly EPS of $2.25 exceeded estimates, revenue increased 24.7% year over year to $13.29 billion, and its record backlog reached $212 billion.
• Analysts maintain a generally positive outlook, with a consensus “Moderate Buy” rating and a $373.45 target price, but valuation concerns and several recent target cuts—including JPMorgan’s reduction to $375—could limit upside.

GE Aerospace (NYSE:GE - Get Free Report)'s share price was up 1.3% on Wednesday. The company traded as high as $304.47 and last traded at $301.6550. 5,699,990 shares were traded during trading, an increase of 11% from the average daily volume of 5,132,019 shares. The stock had previously closed at $297.66.

GE Aerospace News Summary

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

• Positive Sentiment: GE Aerospace’s record $212 billion backlog underscores strong long-term demand for commercial and defense engines and services. However, investors remain concerned that the stock’s elevated valuation may already reflect much of this growth. GE Aerospace Q3: Record $212B Backlog Overshadowed By Extreme Valuation
• Positive Sentiment: Analysts have been revising earnings estimates higher, and technical indicators suggest the stock became oversold after losing 9.4% over four weeks. That combination is supporting expectations for a potential recovery. Why GE Is Poised for a Turnaround
• Positive Sentiment: GE attracted approximately $17.2 million in net ETF purchases on October 26, indicating some institutional or passive-fund demand. GE Sees $17.2 Million in Net ETF Buying
• Neutral Sentiment: New rare-earth rules could affect GE Aerospace through engine-material sourcing, costs, or supply-chain requirements. The ultimate effect depends on the details and implementation of the rules. What New Rare Earth Rules Mean for GE Aerospace
• Negative Sentiment: JPMorgan lowered its price target to $375, signaling more limited upside from current levels even though the target remains above the recent trading range. JPMorgan Cuts GE Aerospace Price Target
• Negative Sentiment: Comparisons with RTX and Lockheed Martin highlight GE’s strong aerospace exposure but also its relatively demanding valuation, a factor that could limit gains or amplify volatility. GE vs. RTX Investment Comparison

Wall Street Analyst Weigh In

GE has been the topic of several recent analyst reports. Morgan Stanley reiterated an "overweight" rating and issued a $375.00 price target (down from $400.00) on shares of GE Aerospace in a research note on Wednesday, October 21st. Melius Research set a $350.00 target price on shares of GE Aerospace and gave the stock a "hold" rating in a report on Monday, September 14th. Weiss Ratings reissued a "buy (b)" rating on shares of GE Aerospace in a research note on Thursday, October 15th. Deutsche Bank Aktiengesellschaft reissued a "buy" rating and set a $378.00 price target on shares of GE Aerospace in a report on Wednesday, October 21st. Finally, Wells Fargo & Company decreased their price target on GE Aerospace from $390.00 to $380.00 and set an "overweight" rating for the company in a research note on Wednesday, September 30th. Sixteen analysts have rated the stock with a Buy rating, three have assigned a Hold rating and one has assigned a Sell rating to the stock. Based on data from MarketBeat.com, GE Aerospace presently has a consensus rating of "Moderate Buy" and a consensus target price of $373.45.

GE Aerospace Price Performance

The company has a quick ratio of 0.68, a current ratio of 0.98 and a debt-to-equity ratio of 0.96. The firm has a market capitalization of $311.72 billion, a price-to-earnings ratio of 34.79, a P/E/G ratio of 1.95 and a beta of 1.38. The stock's 50 day moving average price is $320.57 and its two-hundred day moving average price is $323.34.

GE Aerospace (NYSE:GE - Get Free Report) last posted its earnings results on Tuesday, October 20th. The company reported $2.25 earnings per share (EPS) for the quarter, beating analysts' consensus estimates of $2.01 by $0.24. GE Aerospace had a net margin of 17.31% and a return on equity of 44.43%. The firm had revenue of $13.29 billion during the quarter, compared to analysts' expectations of $12.88 billion. During the same period in the previous year, the company earned $1.66 earnings per share. The company's revenue was up 24.7% compared to the same quarter last year. Analysts anticipate that GE Aerospace will post 8.14 EPS for the current fiscal year.

GE Aerospace Announces Dividend

The business also recently announced a quarterly dividend, which was paid on Monday, October 26th. Investors of record on Monday, October 5th were given a dividend of $0.47 per share. The ex-dividend date of this dividend was Monday, October 5th. This represents a $1.88 dividend on an annualized basis and a yield of 0.6%. GE Aerospace's payout ratio is 21.68%.

Institutional Trading of GE Aerospace

A number of hedge funds have recently bought and sold shares of the stock. Burkett Financial Services LLC increased its stake in GE Aerospace by 28.9% during the second quarter. Burkett Financial Services LLC now owns 125 shares of the company's stock valued at $47,000 after acquiring an additional 28 shares during the period. BOK Financial Private Wealth Inc. lifted its holdings in shares of GE Aerospace by 3.2% during the 2nd quarter. BOK Financial Private Wealth Inc. now owns 960 shares of the company's stock worth $359,000 after acquiring an additional 30 shares during the period. Gradient Investments LLC boosted its position in shares of GE Aerospace by 4.4% during the 2nd quarter. Gradient Investments LLC now owns 765 shares of the company's stock valued at $286,000 after acquiring an additional 32 shares in the last quarter. Kinloch Capital LLC boosted its position in shares of GE Aerospace by 3.1% during the 2nd quarter. Kinloch Capital LLC now owns 1,079 shares of the company's stock valued at $403,000 after acquiring an additional 32 shares in the last quarter. Finally, United Community Bank boosted its position in shares of GE Aerospace by 10.1% during the 2nd quarter. United Community Bank now owns 361 shares of the company's stock valued at $135,000 after acquiring an additional 33 shares in the last quarter. 74.77% of the stock is owned by institutional investors.

GE Aerospace Company 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.

This instant news alert was generated by narrative science technology and financial data from MarketBeat in order to provide readers with the fastest reporting and unbiased coverage. Please send any questions or comments about this story to contact@marketbeat.com.