GE stock today falls over 6% despite GE Aerospace beating Q4 earnings and revenue estimates – here’s what investors are watching

GE stock price today: GE Aerospace stock fell more than 6% on Thursday, even after the company delivered fourth-quarter earnings and full-year guidance that came in ahead of Wall Street expectations. The stock drop appeared to reflect investor concerns that the company’s rapid growth pace may be starting to slow down, as per a report.

GE Stock Drops Today Even After General Electric Posts Higher Profit and Revenue in Q4

The engine maker reported fourth-quarter net profit of $2.85 billion, or $2.40 per share, up from $2.29 billion, or $1.75 per share, a year earlier, as per a Seeking Alpha report. Adjusted earnings per share came in at $1.57, beating consensus estimates by $0.14. Adjusted revenue rose 20% year over year to $11.87 billion.

Orders surged during the quarter, with total orders jumping 74% to $27 billion. The company’s backlog climbed to roughly $190 billion. Commercial division orders increased 76%, while defense orders rose 61%, highlighting strong demand across both segments.


Commercial engines and services revenue climbed 24% to $9.46 billion, exceeding analyst expectations of $8.95 billion. Defense and propulsion technology revenue increased 13% to $2.84 billion, also topping consensus estimates of $2.63 billion.

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GE Aerospace Revenue Guidance Above Wall Street Estimates

GE Aerospace forecasts fiscal 2026 adjusted revenue growth in the low double digits, following 20.5% growth in 2025, when revenue reached $42.3 billion. The company expects full-year adjusted earnings of $7.10 to $7.40 per share, largely above analysts’ consensus estimate of $7.14 per share. GE also projected adjusted free cash flow of $8 billion to $8.4 billion for 2026, as per the Seeking Alpha report.

GE Aerospace Forecasts Lower Growth Rate for 2026

Growth, however, is expected to moderate. Commercial engines and services revenue is forecast to rise at a mid-teens percentage rate in 2026, down from nearly 24% growth in 2025. Defense and propulsion technology revenue is expected to grow at a mid- to high-single-digit pace, compared with 11.4% growth last year.

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GE Stock Price Target: JP Morgan Maintains Overweight Rating on GE Stock

JP Morgan analyst Seth Seifman pointed out that GE may find it more difficult to expand margins in 2026 than it did in 2025, citing headwinds tied to the 9X engine, faster equipment growth relative to services, and the potential for further spare engine normalization, as per the Seeking Alpha report. Seifman maintains an Overweight rating on the stock.

GE Aerospace CEO Larry Culp Sees Continued EPS and Cash Flow Growth Ahead

Despite the market reaction, CEO Larry Culp said the company is positioned for "another year of substantial EPS and cash growth," which would be supported by strong demand for spare parts and services tied to rising global air travel, as per the Seeking Alpha report.

FAQs

How much profit did GE Aerospace report in Q4?
The company posted net profit of $2.85 billion, or $2.40 per share.

Did GE beat earnings expectations?
Yes. Adjusted EPS of $1.57 beat consensus estimates by $0.14.