JPMorgan cuts GE Vernova price target to $425, maintains Overweight

Published 10/04/2025, 09:20
JPMorgan cuts GE Vernova price target to $425, maintains Overweight

On Thursday, JPMorgan analyst Mark Strouse adjusted the price target for GE Vernova (NYSE:GEV) to $425.00, a decrease from the previous target of $436.00, while reiterating an Overweight rating on the company's stock. The adjustment comes as GEV shows impressive market performance, with a 9.79% gain in the past week and a remarkable 136.36% return over the last year. According to InvestingPro analysis, GEV is currently trading above its Fair Value, with multiple ProTips indicating strong momentum but high valuation multiples.

Strouse's expectations for GEV's first-quarter results are in line with the company's guidance and the consensus among Wall Street analysts. With earnings scheduled for April 23, investors will be watching closely as GEV maintains strong fundamentals, including $34.94 billion in trailing twelve-month revenue and 5.1% revenue growth. While the impact of tariffs is a point of interest, the analyst believes GEV is better shielded than its competitors in all three business segments. InvestingPro data shows the company maintains good financial health with a solid 2.64 overall score.

The analyst also provided insights into the potential for the Electrification business to exceed fiscal year 2025 guidance, based on the analysis of backlog conversion. Updates to JPMorgan's financial model include an expanded gas turbine build, which allows for more accurate equipment pricing assumptions.

Strouse's commentary underscores GEV's position as a top selection within JPMorgan's coverage and its status as a US Equity Analyst Focus List Pick. The revised December 2025 price target reflects concerns regarding the broader macroeconomic effects of tariffs and a downtrend in trading multiples among peer companies. Despite these adjustments, JPMorgan's Overweight rating on GE Vernova remains unchanged.

In other recent news, GE Vernova has been selected to supply seven high-efficiency gas turbines for a $10 billion natural gas-powered data center campus in Pennsylvania. This significant project involves transforming the former Homer City Generating Station into a data center campus to meet the growing demands of artificial intelligence and high-performance computing. The first deliveries of these turbines are expected in 2026, highlighting GE Vernova's role in major infrastructure developments. Truist Securities reaffirmed its Buy rating for GE Vernova, maintaining a $440 price target, seeing the project as a validation of the company's strategic alignment with the increasing energy needs of AI and data centers. Meanwhile, Jefferies raised its price target for GE Vernova to $413, citing a robust order book with long-term service revenue obligations and recurring purchase orders extending to 2040. The firm remains positive despite challenges in the wind energy sector, emphasizing the strength of GE Vernova's gas and electrification businesses. These developments underscore GE Vernova's strategic positioning and potential for growth in the energy sector.

This article was generated with the support of AI and reviewed by an editor. For more information see our T&C.

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