GE Vernova Reports Strong Backlog and Revenue Growth but Misses Earnings Estimates
Despite a $176 billion backlog and strong revenue growth, GE Vernova (NYSE: GEV) saw its stock fall nearly 9% after missing earnings estimates. The company reported second-quarter revenue of $11.1 billion—up 22% year over year—and raised full-year guidance to between $44.5 billion and $45.5 billion. However, adjusted per-share profits came in at $2.47 versus expectations of $3.18, while EBITDA fell short by $30 million. GE Vernova's wind-power division posted a loss of $275 million amid declining revenue and orders. Management also warned that tariffs would add between $100 million to $200 million in costs this year. Analysts noted the stock was already overvalued at 35 times projected earnings, making it vulnerable to volatility. Despite the post-earnings dip, analysts remain optimistic with a consensus price target of $1,238.78—over 20% above current levels—and most rating GEV as a strong buy.
Topics: backlog growth earnings stock performance