Marketdash
Back to News

GE Vernova Surges on Raised Outlook and Shareholder-Friendly Moves

MarketDash Editorial Team
1 hour ago
GE Vernova shares jumped over 12% Wednesday after the energy technology company significantly raised its multi-year financial targets, doubled its dividend, and boosted its stock buyback program to $10 billion.

GE Vernova Inc. (GEV) delivered what Wall Street calls a "kitchen sink" of good news Wednesday, and investors responded enthusiastically. Shares of the Massachusetts-based energy technology company surged more than 12% after management raised its multi-year outlook, doubled its dividend, and significantly expanded its stock buyback program.

A Much Bigger Future

The real story here is how dramatically GE Vernova improved its long-term guidance. The company now expects to generate $52 billion in revenue by 2028 with a 20% adjusted EBITDA margin. That's a substantial upgrade from the previous forecast of $45 billion in revenue and a 14% margin. Cumulative free cash flow through 2028 is now projected at $22 billion, up from $14 billion.

For the current fiscal year, GE Vernova reaffirmed its revenue guidance during its 2025 Investor Update Day, telling investors results should land at the high end of the $36 billion to $37 billion range. The company also raised its free cash flow forecast for this year to between $3.5 billion and $4.0 billion, up from the previous $3.0 billion to $3.5 billion range.

"At GE Vernova, we are in the early chapters of an incredible value creation opportunity with a stronger financial trajectory ahead," said GE Vernova CEO Scott Strazik. "Electric power will be critical to unlocking economic growth in the decades ahead and we are well-positioned with our large installed base and platform of advanced solutions to serve this growing, long-cycle market."

Returning Cash to Shareholders

Beyond the improved outlook, the company's board authorized some significant shareholder-friendly actions. The quarterly dividend doubled from 25 cents to 50 cents, and the stock repurchase authorization jumped to $10 billion from $6 billion. GE Vernova noted it has already repurchased $3.3 billion under the program.

Analyst Response

Several analysts adjusted their price targets following the investor update. Susquehanna analyst Charles Minervino maintained a positive rating and raised the price target from $750 to $775. BofA Securities analyst Andrew Obin maintained a buy rating and raised the price target from $725 to $804. BMO Capital analyst Ameet Thakkar maintained an outperform rating and raised the price target from $710 to $780.

GEV Price Action: GE Vernova shares were up 12.59%, trading at $703.97 at last check.

Back to News

GE Vernova Surges on Raised Outlook and Shareholder-Friendly Moves

MarketDash Editorial Team
1 hour ago
GE Vernova shares jumped over 12% Wednesday after the energy technology company significantly raised its multi-year financial targets, doubled its dividend, and boosted its stock buyback program to $10 billion.

GE Vernova Inc. (GEV) delivered what Wall Street calls a "kitchen sink" of good news Wednesday, and investors responded enthusiastically. Shares of the Massachusetts-based energy technology company surged more than 12% after management raised its multi-year outlook, doubled its dividend, and significantly expanded its stock buyback program.

A Much Bigger Future

The real story here is how dramatically GE Vernova improved its long-term guidance. The company now expects to generate $52 billion in revenue by 2028 with a 20% adjusted EBITDA margin. That's a substantial upgrade from the previous forecast of $45 billion in revenue and a 14% margin. Cumulative free cash flow through 2028 is now projected at $22 billion, up from $14 billion.

For the current fiscal year, GE Vernova reaffirmed its revenue guidance during its 2025 Investor Update Day, telling investors results should land at the high end of the $36 billion to $37 billion range. The company also raised its free cash flow forecast for this year to between $3.5 billion and $4.0 billion, up from the previous $3.0 billion to $3.5 billion range.

"At GE Vernova, we are in the early chapters of an incredible value creation opportunity with a stronger financial trajectory ahead," said GE Vernova CEO Scott Strazik. "Electric power will be critical to unlocking economic growth in the decades ahead and we are well-positioned with our large installed base and platform of advanced solutions to serve this growing, long-cycle market."

Returning Cash to Shareholders

Beyond the improved outlook, the company's board authorized some significant shareholder-friendly actions. The quarterly dividend doubled from 25 cents to 50 cents, and the stock repurchase authorization jumped to $10 billion from $6 billion. GE Vernova noted it has already repurchased $3.3 billion under the program.

Analyst Response

Several analysts adjusted their price targets following the investor update. Susquehanna analyst Charles Minervino maintained a positive rating and raised the price target from $750 to $775. BofA Securities analyst Andrew Obin maintained a buy rating and raised the price target from $725 to $804. BMO Capital analyst Ameet Thakkar maintained an outperform rating and raised the price target from $710 to $780.

GEV Price Action: GE Vernova shares were up 12.59%, trading at $703.97 at last check.

    GE Vernova Surges on Raised Outlook and Shareholder-Friendly Moves - MarketDash News