GE Aerospace (GE) is a leading global provider of jet engines, turboprop engines, and integrated systems for commercial, military, business, and general aviation aircraft. It powers popular planes like the Boeing (BA) 737 and Airbus A320 through partnerships such as CFM International with Safran, while dominating aftermarket services with a massive installed base of over 49,000 commercial engines.
Founded in 1892 as part of General Electric, it became independent in April 2024 after GE's breakup and is headquartered in Evendale, Ohio, USA. GE Aerospace operates worldwide, with manufacturing and facilities across North America, Europe, Asia, and beyond.
GE Aerospace Stock
GE stock is riding high with strong gains. It's up 3% over the past five days and 16% in the last month. Six-month returns hit 27%, while the 52-week surge exceeds 70%, briefly touching a record high of $348.44 this morning, driven by booming aftermarket services and massive backlogs.
GE has crushed the S&P 500 Industrials sector ($SRIN), which gained just 6.5% monthly, 16% over six months, and 30% yearly. Long-term, GE leads the pack in aerospace strength.
GE Aerospace Outperforms Estimates
GE Aerospace posted strong Q4 2025 results on Jan. 22, 2026, with adjusted revenue of $11.9 billion, up 20% year-over-year (YoY) and beating analyst estimates of $11.26 billion. Adjusted EPS hit $1.57, a 19% increase and above the $1.43 consensus forecast. GAAP revenue reached $12.7 billion (up 18%), with GAAP continuing EPS at $2.31.
Margins showed Q4 operating profit margin at 19.2% (down 90 basis points sequentially but solid), while the full year was 21.4% (up 70 bps). Cash from operations surged 59% to $2.1 billion quarterly and $8.5 billion annually; free cash flow rose 15% to $1.8 billion in Q4 and 24% to $7.7 billion yearly. Orders jumped 74% to $27 billion, with a backlog near $190 billion.
For 2026, GE guides low double-digit revenue growth, adjusted EPS $7.10-$7.40 (above $7.11 consensus), operating profit $9.85-$10.25 billion, and free cash flow $8.0-$8.4 billion with over 100% conversion.
GE Aerospace Partners With Palantir
GE Aerospace has teamed up with Palantir Technologies (PLTR) for a U.S. defense contract to boost Air Force readiness using AI on J85 engines that power T-38 training jets. This marks GE's first digitally enabled TrueChoice Defense agreement.
The seven-month deal (with a potential four-year extension) from the Defense Logistics Agency aims to improve engine sustainment. It uses AI and data analytics to predict parts needs, spot supply chain issues early, and speed up decisions across the Air Force, Defense Logistics Agency, and GE.
A prior test on over 6,000 J85 parts showed better visibility and fewer delays. GE's Asha Belarski said it keeps more planes flying for pilot training. The partnership blends GE's engine know-how with Palantir's AI to fix bottlenecks and ensure parts availability.
Should You Snap Up GE Stock?
GE Aerospace looks compelling for investors, fueled by stellar stock gains, strong Q4 results, and the Palantir partnership. The stock has a consensus “Strong Buy” rating from analysts with a mean price target of $357.05, reflecting an upside potential of 5% from the market rate.
GE stock has been rated by 20 analysts, who have provided 16 “Strong Buy” ratings, two “Moderate Buy” ratings, and one “Hold” rating each, as well as one “Strong Sell” rating.
On the date of publication, Ruchi Gupta did not have (either directly or indirectly) positions in any of the securities mentioned in this article. All information and data in this article is solely for informational purposes. For more information please view the Barchart Disclosure Policy here.
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