Street View: GE Aerospace keeps its course through the macro fog

General Electric

Yesterday 11:43

GE Aerospace GE.N raised its 2026 profit forecast for the second time this year as demand for aircraft engine repairs and spare parts remained strong, though its updated outlook implied weaker-than-expected Q4 earnings
** Stock down 2.7% YTD vs a 4% decline in the S&P 500 aerospace and defense sector .SPLRCAERO
     
NAVIGATING A TOUGH MARKET
** Morgan Stanley ("overweight," PT: $375) says despite oil price pressures and potential multiple compression, durable aftermarket demand and strong earnings visibility support upside
** RBC ("outperform," PT: $375) says "while we believe services growth will outperform in 2027, lingering air travel and macro, as well as margin uncertainty, continue to weigh on sentiment"
** J.P.Morgan ("overweight," PT: $375) says GE is coming off several quarters of exceptionally strong aftermarket growth, with the deceleration underway driving some indigestion for the stock
** Citigroup ("buy," PT: $431) says "the fact that guidance was issued amid an unusual degree of global macro concern, we believe it's likely GE ultimately exceeds these expectations significantly"     

 (Reporting by Joel Jose in Bengaluru)
 ((joeljose@thomsonreuters.com))