GE Aerospace (NYSE:GE) Stock Price Up 2.9% – Time to Buy?

GE Aerospace (NYSE:GE) shares rose 2.9% during mid-day trading on Wednesday. The company traded as high as $333.75 and last traded at $329.9120. 6,353,545 shares traded hands during trading, an increase of 23% from the average session volume of 5,147,806 shares. The stock had previously closed at $320.67.

More GE Aerospace News

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

• Positive Sentiment: GE Aerospace will supply LM2500 marine gas turbines for two U.S. Navy Flight III destroyers. The contract adds defense business and potential follow-on maintenance revenue. Read More.
• Positive Sentiment: Delayed aircraft deliveries are prompting airlines to extend the lives of existing fleets, supporting demand for engine parts, shop visits and services. GE’s large services backlog and recurring aftermarket business could benefit from this trend.
• Positive Sentiment: Commercial engine momentum remains strong: orders and service demand for LEAP, GEnx and GE9X engines are supported by air-traffic growth and fleet renewal. CFM International, GE’s joint venture with Safran, recently announced major LEAP engine agreements. Read More.
• Positive Sentiment: Dayton’s role in GE Aerospace’s hybrid-electric aircraft effort highlights longer-term technology development and potential innovation opportunities. Read More.
• Neutral Sentiment: GE call-option volume was unusually high, up 161% versus its average. This may reflect bullish positioning, but options activity is speculative and does not establish the direction of future share performance.
• Negative Sentiment: GE Aerospace updated inspection guidance for certain GEnx-1B engines after a study reported premature turbine-blade cracks. More frequent checks could create maintenance and scheduling burdens for operators and uncertainty around affected engines. Read More.
• Negative Sentiment: GE trades at a relatively high earnings multiple, leaving the shares sensitive to concerns about how much future growth is already reflected in the valuation.

Wall Street Analyst Weigh In

A number of brokerages have recently issued reports on GE. Susquehanna dropped their target price on GE Aerospace from $430.00 to $400.00 and set a “positive” rating on the stock in a research report on Wednesday, October 21st. BNP Paribas Exane reduced their price target on GE Aerospace from $305.00 to $280.00 and set an “underperform” rating for the company in a research report on Wednesday, October 21st. The Goldman Sachs Group reaffirmed a “buy” rating and set a $410.00 target price on shares of GE Aerospace in a research note on Monday, July 20th. JPMorgan Chase & Co. decreased their target price on shares of GE Aerospace from $400.00 to $375.00 and set an “overweight” rating for the company in a report on Wednesday, October 21st. Finally, TD Cowen reaffirmed a “buy” rating and issued a $380.00 target price (up from $330.00) on shares of GE Aerospace in a research report on Monday, July 13th. Sixteen analysts have rated the stock with a Buy rating, three have assigned a Hold rating and one has issued a Sell rating to the stock. According to MarketBeat, the company presently has a consensus rating of “Moderate Buy” and a consensus price target of $373.45.

GE Aerospace Trading Up 2.9%

The company has a market cap of $340.91 billion, a P/E ratio of 38.05, a P/E/G ratio of 2.15 and a beta of 1.43. 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 business has a 50-day moving average price of $316.27 and a two-hundred day moving average price of $323.07.

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

GE Aerospace Announces Dividend

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

Institutional Inflows and Outflows

A number of institutional investors have recently made changes to their positions in the business. GK Wealth Management LLC acquired a new position in GE Aerospace during the third quarter valued at approximately $25,000. Paladin Partners LLC bought a new position in shares of GE Aerospace in the 2nd quarter worth about $38,000. Parvin Asset Management LLC acquired a new position in GE Aerospace during the 2nd quarter valued at approximately $41,000. Clark Wealth Partners increased its holdings in shares of GE Aerospace by 70.1% during the third quarter. Clark Wealth Partners now owns 114 shares of the company’s stock valued at $36,000 after purchasing an additional 47 shares during the period. Finally, Markowski Investments acquired a new stake in GE Aerospace in the second quarter worth approximately $46,000. 74.77% of the stock is owned by institutional investors and hedge funds.

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.