GE Aerospace (NYSE:GE) Stock Price Up 3.9% - Should You Buy?

Key Points

• GE Aerospace shares rose 3.9% to about $335.80, while trading volume was 20% below its average.
• The company beat quarterly estimates, reporting EPS of $2.25 versus $2.01 expected and revenue of $13.29 billion versus $12.88 billion; revenue increased 24.7% year over year.
• Analysts have a “Moderate Buy” consensus and an average price target of $373.45, though some firms recently lowered their targets. Ratings include 16 Buys, three Holds, and one Sell.

GE Aerospace (NYSE:GE - Get Free Report)'s stock price shot up 3.9% during trading on Monday. The stock traded as high as $337.55 and last traded at $335.8020. 4,128,384 shares were traded during trading, a decline of 20% from the average session volume of 5,150,911 shares. The stock had previously closed at $323.24.

Wall Street Analysts Forecast Growth

Several equities analysts recently weighed in on GE shares. Vertical Research reaffirmed a "buy" rating and issued a $400.00 price target on shares of GE Aerospace in a research report on Tuesday, October 20th. JPMorgan Chase & Co. cut their price target on GE Aerospace from $400.00 to $375.00 and set an "overweight" rating for the company in a research note on Wednesday, October 21st. Wells Fargo & Company decreased their price objective on GE Aerospace from $390.00 to $380.00 and set an "overweight" rating for the company in a report on Wednesday, September 30th. Royal Bank Of Canada set a $376.00 price objective on GE Aerospace in a research note on Friday, October 23rd. Finally, Deutsche Bank Aktiengesellschaft reissued a "buy" rating and issued a $378.00 price objective on shares of GE Aerospace in a research note on Wednesday, October 21st. Sixteen equities research analysts have rated the stock with a Buy rating, three have issued a Hold rating and one has assigned a Sell rating to the company's stock. According to data from MarketBeat, the company currently has a consensus rating of "Moderate Buy" and a consensus price target of $373.45.

GE Aerospace Price Performance

The company has a market capitalization of $347.00 billion, a P/E ratio of 38.73, a price-to-earnings-growth ratio of 2.20 and a beta of 1.43. The business's 50-day moving average is $314.70 and its two-hundred day moving average is $323.12. The company has a quick ratio of 0.68, a current ratio of 0.98 and a debt-to-equity ratio of 0.96.

GE Aerospace (NYSE:GE - Get Free Report) last issued its quarterly earnings data on Tuesday, October 20th. The company reported $2.25 earnings per share (EPS) for the quarter, topping analysts' consensus estimates of $2.01 by $0.24. The business had revenue of $13.29 billion during the quarter, compared to the consensus estimate of $12.88 billion. GE Aerospace had a net margin of 17.31% and a return on equity of 44.43%. The firm's quarterly revenue was up 24.7% compared to the same quarter last year. During the same period in the prior year, the firm posted $1.66 EPS. As a group, analysts predict that GE Aerospace will post 8.16 earnings per share for the current year.

GE Aerospace Announces Dividend

The firm also recently declared 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. This represents a $1.88 dividend on an annualized basis and a dividend yield of 0.6%. The ex-dividend date of this dividend was Monday, October 5th. GE Aerospace's dividend payout ratio (DPR) is presently 21.68%.

Insider Buying and Selling

In other GE Aerospace news, VP Robert Giglietti sold 14,796 shares of the business's stock in a transaction on Wednesday, November 4th. The stock was sold at an average price of $332.54, for a total value of $4,920,261.84. Following the transaction, the vice president owned 20,201 shares of the company's stock, valued at approximately $6,717,640.54. The trade was a 42.28% decrease in their ownership of the stock. The transaction was disclosed in a document filed with the Securities & Exchange Commission, which is accessible through this link. Company insiders own 0.19% of the company's stock.

Institutional Trading of GE Aerospace

A number of large investors have recently added to or reduced their stakes in the stock. Amundi increased its position in GE Aerospace by 135.2% in the first quarter. Amundi now owns 6,119,975 shares of the company's stock worth $1,736,665,000 after purchasing an additional 3,518,278 shares during the period. Jupiter Topco LLC bought a new stake in GE Aerospace during the 2nd quarter worth about $1,283,858,000. Wellington Management Group LLP raised its holdings in 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 raised its holdings in GE Aerospace by 37.7% during the 1st quarter. Jennison Associates LLC now owns 11,026,006 shares of the company's stock worth $3,128,850,000 after purchasing an additional 3,017,937 shares during the last quarter. Finally, State Street Corp lifted its position in GE Aerospace by 2.6% during the 2nd 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 period. Hedge funds and other institutional investors own 74.77% of the company's stock.

About GE Aerospace

GE Aerospace NYSE: GE designs, manufactures and services engines and related systems for commercial and military aircraft. Its offerings include aircraft engines, components, avionics and other integrated systems, along with maintenance, repair and overhaul services and digital solutions that support aircraft operations.

The company serves airlines, aircraft manufacturers, governments and defense organizations around the world. Its business combines original equipment production with long-term aftermarket support, including parts and technical services for engines already in operation.

GE Aerospace traces its roots to General Electric's aviation business, which developed over more than a century.

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