Valued at a market cap of roughly $72.8 billion, Massachusetts-based GE Vernova Inc. (GEV), a purpose-built global energy powerhouse, is driving the future of electrification and decarbonization. With over 130 years of experience, the company is at the forefront of the energy transition, delivering vital electricity that powers economies and enhances quality of life. Through its Power, Wind, and Electrification segments, supported by accelerator businesses, GE Vernova is uniquely positioned to tackle the world’s energy challenges.
The company is scheduled to release its fiscal 2024 Q3 earnings results on Wednesday, Oct. 23. Ahead of this event, analysts project the utility giant to report a profit of $0.27 per share, reflecting a notable 99.9% drop from the year-ago quarter. Yet, in the most recent quarter, GEV posted an EPS of $0.71, surpassing the consensus estimate by nearly a 3% margin.
Over the longer term, analysts tracking GEV project the company to report a profit of $3.21 per share in fiscal 2024, representing a 99.7% year-over-year decline. However, looking forward to fiscal 2025, profit is expected to rebound by almost 92.8% annually to $6.19 per share.
Over the past six months, shares of GE Vernova have rallied almost 110.7%, smashing the broader S&P 500 Index’s ($SPX) 34.9% gain and the SPDR Kensho Clean Power ETF's (CNRG) 2.7% return during the same time frame, respectively.
Despite the stock’s impressive price action so far, GEV stock took a nosedive, plunging almost 4.5% after the company posted its Q2 earnings results on Jul. 24. Even though the company topped bottom-line estimates for the quarter, its total revenue of $8.2 billion fell short of Street estimates triggering a negative response from investors.
Nevertheless, analysts’ consensus view on GE Vernova stock remains bullish, with a "Strong Buy" rating overall. Out of 21 analysts covering the stock, 15 suggest a "Strong Buy," one advises "Moderate Buy," and the remaining five recommend a "Hold."
Plus, the present picture on Wall Street is much more bullish than three months ago, when only seven analysts suggested a "Strong Buy." As of writing, GEV stock is trading premium to its average analyst price target of $239.65, yet the Street-high target of $300 suggests that the stock still has some potential upside left.
On the date of publication, Anushka Mukherjee did not have (either directly or indirectly) positions in any of the securities mentioned in this article. All information and data in this article is solely for informational purposes. For more information please view the Barchart Disclosure Policy here.
