GE Aerospace (NYSE:GE) Stock Price Up 4% – Should You Buy?

Shares of GE Aerospace (NYSE:GE) rose 4% on Thursday. The stock traded as high as $314.00 and last traded at $313.2790. Approximately 5,789,897 shares changed hands during trading, an increase of 13% from the average session volume of 5,141,856 shares. The stock had previously closed at $301.13.

GE Aerospace News Roundup

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

• Positive Sentiment: GE approved a French turbine oil for Boeing 787 aircraft powered by its GEnx-1B engines after successful Air France trials. The approval could support engine reliability and GE’s aftermarket-services business. GE approves French turbine oil for Boeing 787 after Air France trials
• Positive Sentiment: Net ETF purchases of approximately $17.2 million on October 26 indicate continued institutional demand for GE shares, although ETF flows are not a fundamental catalyst. General Electric sees $17.2 million in net ETF buying
• Neutral Sentiment: GE is investing to expand manufacturing and maintenance, repair and overhaul capacity. These investments may strengthen long-term production and services growth, but they are increasing near-term expenses. GE Aerospace’s costs rise in Q3
• Neutral Sentiment: New rare-earth rules could affect GE’s aerospace supply chain and sourcing costs. The ultimate impact depends on implementation and the company’s exposure to restricted materials. What new rare earth rules mean for GE Aerospace
• Negative Sentiment: Analysts trimmed GE’s estimated fair value from $391.19 to $378.43, reflecting greater caution about the durability of aftermarket strength. GE stock fair value edges lower
• Negative Sentiment: Inflation, unfavorable product mix and capacity-expansion spending are pressuring margins. Supply shortages reported by Honeywell Aerospace also highlight an industrywide risk that could limit GE’s sales growth and delay margin recovery. Honeywell Aerospace supply constraints persist

Wall Street Analyst Weigh In

A number of research analysts have issued reports on GE shares. Sanford C. Bernstein set a $376.00 target price on GE Aerospace in a research report on Friday, October 23rd. The Goldman Sachs Group reissued a “buy” rating and issued a $410.00 target price on shares of GE Aerospace in a report on Monday, July 20th. Vertical Research restated a “buy” rating and issued a $400.00 price target on shares of GE Aerospace in a research note on Tuesday, October 20th. Citigroup restated a “buy” rating and issued a $431.00 price target (up from $353.00) on shares of GE Aerospace in a research note on Wednesday, July 1st. Finally, Jefferies Financial Group reaffirmed a “buy” rating and set a $425.00 price target on shares of GE Aerospace in a report on Sunday. Sixteen equities research analysts have rated the stock with a Buy rating, three have issued a Hold rating and one has assigned a Sell rating to the stock. According to data from MarketBeat, the stock currently has an average rating of “Moderate Buy” and a consensus target price of $373.45.

GE Aerospace Trading Up 4.0%

The business has a fifty day simple moving average of $319.11 and a 200-day simple moving average of $323.28. The company has a debt-to-equity ratio of 0.96, a quick ratio of 0.68 and a current ratio of 0.98. The firm has a market cap of $323.73 billion, a price-to-earnings ratio of 36.13, a PEG ratio of 1.95 and a beta of 1.38.

GE Aerospace (NYSE:GE) last announced its quarterly earnings results on Tuesday, October 20th. The company reported $2.25 EPS for the quarter, beating analysts’ consensus estimates of $2.01 by $0.24. The firm had revenue of $13.29 billion for the quarter, compared to analyst estimates of $12.88 billion. GE Aerospace had a return on equity of 44.43% and a net margin of 17.31%. The business’s revenue for the quarter was up 24.7% on a year-over-year basis. During the same period last year, the firm posted $1.66 earnings per share. As a group, equities analysts forecast that GE Aerospace will post 8.14 earnings per share for the current fiscal year.

GE Aerospace Dividend Announcement

The firm also recently disclosed a quarterly dividend, which was paid on Monday, October 26th. Investors of record on Monday, October 5th were issued a $0.47 dividend. This represents a $1.88 dividend on an annualized basis and a yield of 0.6%. The ex-dividend date was Monday, October 5th. GE Aerospace’s dividend payout ratio (DPR) is 21.68%.

Institutional Investors Weigh In On GE Aerospace

A number of institutional investors have recently added to or reduced their stakes in GE. Susquehanna Fundamental Investments LLC raised its position in GE Aerospace by 261.0% during the 2nd quarter. Susquehanna Fundamental Investments LLC now owns 213,603 shares of the company’s stock worth $79,830,000 after purchasing an additional 154,429 shares during the last quarter. Christensen King & Associates Investment Services Inc. acquired a new position in GE Aerospace during the 3rd quarter worth about $4,934,000. Clough Capital Partners L P grew its position in shares of GE Aerospace by 37.1% in the 1st quarter. Clough Capital Partners L P now owns 70,535 shares of the company’s stock valued at $20,016,000 after buying an additional 19,105 shares during the last quarter. HWG Holdings LP grew its position in shares of GE Aerospace by 54.7% in the 3rd quarter. HWG Holdings LP now owns 15,640 shares of the company’s stock valued at $4,884,000 after buying an additional 5,531 shares during the last quarter. Finally, Ascentis Independent Advisors increased its stake in shares of GE Aerospace by 207.3% in the first quarter. Ascentis Independent Advisors now owns 4,317 shares of the company’s stock valued at $1,225,000 after buying an additional 2,912 shares during the period. 74.77% of the stock is owned by institutional investors.

About GE Aerospace

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.