Such a rise, especially early in the year when volatility is expected to continue, could prompt some investors to take profits. If so, and maybe even if you don’t, GEV stock is one to look at if you’re looking for slow and steady growth.
Natural gas now, nuclear power later?
As the saying goes, necessity is the mother of invention. In 2025, the need will be driven by the growing demand for artificial intelligence (AI) applications. This will require data centers, which will require huge amounts of energy.
GE Vernova today
As of 3:58 pm ET
- 52 week range
- $115.00
▼
$376.30
- Dividend yield
- 0.27%
- Target price
- $314.35
However, there are currently few options for cheap and clean delivery of this energy. Natural gas is one of the cleanest options available right now. At the end of 2024, GE Vernova signed several contracts to supply gas turbines for large data centers. Some of the 5 gigawatt campuses are expected to begin operations in 2028.
While the company doesn’t offer carbon capture solutions today, it plans to make a significant investment in the technology in 2025, which it believes will pay off when the companies running those data centers are ready to use the technology, which may not happen. sooner than in five years. years.
GE Vernova is also a way to invest in the growing trend toward nuclear power. GE’s Hitachi Nuclear Energy Alliance can provide the reactors, fuel, services and steam turbines needed to generate electricity.
Chip from an old block
Over the decades, General Electric has carefully built a reputation as a shareholder-friendly company. GE Vernova made two announcements in December 2024, highlighting the company’s apparent intent to follow in its parent company’s equity footsteps.
First, the company announced Authorizes $6 billion share repurchase. GE Vernova also announced its first quarterly dividend payment. On December 20, 2024, shareholders will receive a dividend of 25 cents per share on January 28, 2025.
This commitment to shareholders is not just a one-time event. The company projects free cash flow of more than $14 billion over the next four years. It plans to return at least one-third of that amount to shareholders through buybacks or dividends. With no net debt by 2025, GE Vernova gives investors a reason to own the stock even at a premium valuation of 163 times forward earnings. Another reason is that analysts expect earnings to grow by about 46% over the next few years.
Participation in the GEV promotion
GE Vernova stock forecast today
$314.35
-14.18% DisadvantageModerate purchase
Based on ratings from 28 analysts
| High forecast | $420.00 |
|---|---|
| Average forecast | $314.35 |
| Low forecast | $147.00 |
GE Vernova stock forecast details
GE Vernova stock has a Moderate Buy rating, according to MarketBeat analysts. The consensus price target of $314.35 is 15% below the stock price on January 7, 2024. However, several analysts followed by MarketBeat have much higher price targets for GEV stock, including Wells Fargo and Co. New York Stock Exchange: WFCwhich has a price target of $411, and Barclays, whose goal is $420.
Analyst ratings aside, after a strong debut in 2024, it’s likely that GEV stock will see some pullback in 2025. The latest run in GEV’s share price has pushed it past resistance at around $350. So if you’re not in the stock, you might want to wait for a meaningful pullback before taking a meaningful position. However, if you believe in the long-term potential of GEV stock, you may want to start buying shares now and use any correction as an opportunity to buy with more confidence.
Before you consider the GE Vernova, here’s what you need to hear.
MarketBeat tracks Wall Street’s top-rated and best-performing analysts daily and the stocks they recommend to their clients. MarketBeat identified five stocks that top analysts were quietly telling their clients to buy now, before the broader market caught on… and GE Vernova wasn’t on the list.
While analysts currently rate GE Vernova a Moderate Buy, the top-rated analysts rate these five stocks as Strong Buys.
View five stocks here
Do you expect global energy demand to decline?! If not, then it’s time to take a look at what role energy stocks can play in your portfolio.
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