GE Aerospace Soars on Raised Price Target and Strong Services Outlook
GE Aerospace shares climbed 1.1% to $346.17, nearing their 52-week high, after Bernstein lifted its price target to $405. The bullish call follows a 72% rally over the past year, fueled by better-than-expected Q4 earnings and robust services revenue.
The company posted $1.57 EPS versus $1.43 estimates, with revenue jumping 17.6% to $11.90B. Bernstein highlights widening margins in widebody engine services and improving LEAP supply chains as key catalysts. CFM56 shop visits are projected to remain above 2,300 annually through 2030, anchoring recurring revenue streams.
Meanwhile, GE raised its quarterly dividend to $0.47 per share, signaling confidence in sustained cash flow. The $1.88 annualized yield comes despite insider sales of 37,000 shares worth $11.4M in recent months. Institutional investors maintain a 74.77% stake.
