GE Aerospace (NYSE:GE) Stock Falls 2.7% – Time to Sell?

GE Aerospace (NYSE:GE)’s share price dropped 2.7% on Friday. The stock traded as low as $278.37 and last traded at $285.7610. 6,512,189 shares were traded during trading, an increase of 27% from the average session volume of 5,113,110 shares. The stock had previously closed at $293.54.

GE Aerospace News Roundup

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

• Positive Sentiment: GE Aerospace beat third-quarter expectations for the eighth consecutive quarter, reporting adjusted EPS of $2.25 versus the $2.01 consensus and revenue of $13.29 billion, up 24.7% year over year. The company also raised its full-year guidance. GE Aerospace Reports Strong Earnings Again
• Positive Sentiment: Defense and Propulsion Technologies remains a bright spot, with revenue growth of 7% and orders up 18%, supported by military-engine demand and defense contracts. GE’s Defense & Propulsion Strength Seems Firm
• Positive Sentiment: Management expects to deliver more than 3,200 engines in South Asia over the next decade, highlighting a substantial long-term commercial opportunity. GE is also increasing engine deliveries as Boeing targets higher 787 production. GE Aerospace South Asia Engine Delivery Plans
• Neutral Sentiment: Several research reports remain bullish, citing strong aftermarket demand, execution improvements and GE’s leading position in aero engines. However, the stock’s elevated valuation means further gains may require continued earnings upgrades. Strong Aftermarket Demand and Improving Execution
• Negative Sentiment: Bernstein lowered its price target to $376 from $421, while Susquehanna, JPMorgan, BNP Paribas Exane and RBC also issued cautious views or reduced expectations. The cluster of target cuts is weighing on sentiment. Bernstein Lowers GE Aerospace Price Target
• Negative Sentiment: Analysts are concerned that high jet-fuel prices could pressure airline profitability and delay engine purchases. Investors are also factoring in projected 2027 transition costs associated with the GE9X production ramp, despite GE’s large services backlog. Why GE Aerospace Stock Keeps Going Down

Analyst Ratings Changes

Several equities research analysts have weighed in on GE shares. Sanford C. Bernstein set a $376.00 price objective on shares of GE Aerospace in a research report on Friday. Susquehanna cut their price target on GE Aerospace from $430.00 to $400.00 and set a “positive” rating on the stock in a research note on Wednesday. Royal Bank Of Canada set a $376.00 price target on GE Aerospace in a report on Friday. The Goldman Sachs Group reiterated a “buy” rating and issued a $410.00 price objective on shares of GE Aerospace in a research report on Monday, July 20th. Finally, JPMorgan Chase & Co. dropped their price objective on GE Aerospace from $400.00 to $375.00 and set an “overweight” rating for the company in a report on Wednesday. Seventeen 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. Based on data from MarketBeat.com, the stock currently has a consensus rating of “Moderate Buy” and a consensus target price of $373.52.

GE Aerospace Price Performance

The company’s fifty day moving average is $322.95 and its two-hundred day moving average is $328.74. The firm has a market capitalization of $295.29 billion, a price-to-earnings ratio of 32.96, a price-to-earnings-growth ratio of 1.99 and a beta of 1.38. The company has a quick ratio of 0.67, a current ratio of 0.98 and a debt-to-equity ratio of 0.96.

GE Aerospace (NYSE:GE) last issued its earnings results on Tuesday, October 20th. The company reported $2.25 EPS for the quarter, beating the consensus estimate of $2.01 by $0.24. The company had revenue of $13.29 billion during the quarter, compared to analysts’ expectations of $12.88 billion. GE Aerospace had a net margin of 17.31% and a return on equity of 44.43%. The business’s revenue for the quarter was up 24.7% compared to the same quarter last year. During the same quarter in the previous year, the company posted $1.66 EPS. Equities research analysts anticipate that GE Aerospace will post 8.15 earnings per share for the current fiscal year.

GE Aerospace Announces Dividend

The business also recently disclosed a quarterly dividend, which will be paid on Monday, October 26th. Investors of record on Monday, October 5th will be paid a dividend of $0.47 per share. The ex-dividend date of this dividend is Monday, October 5th. This represents a $1.88 dividend on an annualized basis and a dividend yield of 0.7%. GE Aerospace’s payout ratio is 21.68%.

Institutional Investors Weigh In On GE Aerospace

Institutional investors and hedge funds have recently added to or reduced their stakes in the stock. Burkett Financial Services LLC boosted its holdings in GE Aerospace by 28.9% during the second quarter. Burkett Financial Services LLC now owns 125 shares of the company’s stock worth $47,000 after buying an additional 28 shares during the last quarter. BOK Financial Private Wealth Inc. grew its position 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 buying an additional 30 shares during the period. Gradient Investments LLC grew 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 worth $286,000 after buying an additional 32 shares during the period. Kinloch Capital LLC grew 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 worth $403,000 after buying an additional 32 shares during the period. Finally, United Community Bank increased its stake in shares of GE Aerospace by 10.1% in 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 during the last quarter. Institutional investors own 74.77% of the company’s stock.

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.