5 days ago
GE Aerospace (GE) Is About to Report Q2 Earnings. Here's What to Expect
GE Aerospace (GE) is scheduled to announce its results for the second quarter of 2025 on Thursday, July 17. GE stock has rallied about 59% year-to-date, as the maker of defense and commercial aircraft engines is experiencing solid demand amid geopolitical tensions and a resilient travel market. Furthermore, the U.S. government recently granted GE Aerospace approval to restart exports of jet engines to China. Wall Street expects GE Aerospace to report earnings per share of $1.43, reflecting a year-over-year growth of 19.2%.
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Revenue is estimated to come in at $9.59 billion. GE Aerospace's Q2 performance is expected to gain from robust commercial engine demand, impressive defense contracts, and strong aftermarket services business.
The company delivered market-beating results for the first quarter of 2025. As reflected in Main Street Data's chart below, GE Aerospace's Q1 2025 orders increased by 11.8% year-over-year to $12.3 billion. Investors will focus on the company's ability to maintain strong momentum in its orders.
Analysts' Views Ahead of GE Aerospace's Q2 Earnings
Heading into Q2 results, Citi analyst Jason Gursky increased the price target for GE Aerospace stock to $296 from $227 and reiterated a Buy rating. As part of the preview of the Q2 earnings of the aerospace and defense sector, the 5-star analyst stated that he sees continued momentum across the group.
Also, Bernstein analyst Douglas Harned reiterated a Buy rating on GE stock with a price target of $254. The 4-star analyst noted that the investor update planned for June 17th in Paris was canceled in the wake of the Air India 787 crash. Harned added that his expectation for the investor update was that the company would provide some upside to its 2025 guidance and longer-term outlook.
Meanwhile, his discussions with GE, Safran (SAFRY), and Airbus (EADSF) indicated that LEAP Engine deliveries improved significantly in Q2, enabling Airbus to maintain its 820 airplane delivery guidance. That said, only 21 LEAP engine-powered A320 family airplanes were delivered in June, implying that there is a long way to go in the second half. Harned stated that he will seek further clarity on LEAP deliveries. GE has maintained the guidance at a 15% to 20% increase in LEAP engine deliveries for 2025. The analyst expects GE to provide positive commentary on trends for spare parts and maintenance, repair, and overhaul (MRO) activity, which is the largest source of earnings growth for the company. Harned also expects the widebody engine aftermarket to remain strong.
AI Analyst Is Cautious on GE Stock Ahead of Q2 Print
TipRanks' AI stock analysis assigns a Neutral rating to GE Aerospace stock, with a price target of $269, indicating a 1.64% upside potential. The AI analyst's rating is based on strong financial performance, offset by valuation concerns and technical indicators that indicate a potential pullback.
Here's What Options Traders Anticipate Ahead of GE Aerospace's Q2 Earnings
Using TipRanks' Options tool, we can see what options traders are expecting from the stock immediately after its earnings report. The expected earnings move is determined by calculating the at-the-money straddle of the options closest to expiration after the earnings announcement. If this sounds complicated, don't worry, the Options tool does this for you.
Indeed, it currently says that options traders are expecting about a 6.04% move in either direction in GE stock in reaction to Q2 results.
Is GE Stock a Good Buy Now?
With 12 Buys and one Hold recommendation, GE Aerospace stock scores a Strong Buy consensus rating on TipRanks. The average GE stock price target of $250.30 indicates a possible downside of 5.4% from current levels.
