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Investing.com - Jefferies maintained its Hold rating on GE Vernova stock (NYSE:GEV) while raising its price target to $658.00 from $620.00, citing higher EBITDA estimates. The company, currently valued at $170 billion, has demonstrated remarkable performance with a 90% gain year-to-date. According to InvestingPro data, analyst targets for GEV range from $280 to $760.
The firm revised its financial model for GE Vernova, increasing its fiscal year 2028 EBITDA forecast by approximately 5% as higher-margin services work is expected to represent a larger portion of the company’s revenue mix.
Jefferies projects that GE Vernova’s Power segment will achieve EBITDA margins in the high 20% range during the 2030s, contributing to the more optimistic long-term outlook.
The firm noted that sell-side analyst estimates are gradually aligning with buy-side expectations, suggesting a narrowing gap in market perspectives on GE Vernova’s future performance.
While pricing signals for GE Vernova’s Power business remain strong, Jefferies flagged pricing as an area to monitor after a competitor recently mentioned decelerating but still positive price trends in the sector.
In other recent news, GE Vernova reported robust operating results, which led to an upward revision of its full-year guidance. The company’s Power segment achieved 9% organic growth and a 55% incremental margin, surpassing expectations. These strong results prompted UBS to reiterate its Buy rating and maintain a $614 price target. Meanwhile, BMO Capital raised its price target for GE Vernova to $690, citing tightening power markets as a significant factor. BMO also maintained its Outperform rating, highlighting continued positive momentum in order flows and long-term margin opportunities. Additionally, Citi increased its price target to $670, despite maintaining a Neutral rating, following the company’s second-quarter earnings results. This comes after Guggenheim downgraded GE Vernova to Neutral from Buy, indicating that the current stock valuation reflects even higher-than-consensus estimates. These developments reflect a mixed consensus among analysts regarding GE Vernova’s stock prospects.
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