Revenue and Income - Total revenue for the three months ended September 30, 2025, increased by $2.3 billion, or 24%, compared to the same period in 2024, reaching $12.181 billion[16] - Equipment revenue for the same period rose to $3.163 billion, up from $2.448 billion, while services revenue increased to $8.143 billion from $6.495 billion[18] - Net income from continuing operations for the three months ended September 30, 2025, was $2.174 billion, an increase of $0.5 billion compared to $1.705 billion in 2024[20] - Adjusted net income for the three months ended September 30, 2025, was $1.8 billion, reflecting an increase of $0.5 billion from the previous year[20] - Profit was $7.1 billion, an increase of $1.8 billion, with a profit margin of 21.6%, up from 19.1%[23] - Total revenue for the nine months ended September 30, 2025, was $33.138 billion, a 19% increase from $27.890 billion in 2024[87] - Adjusted revenue for the same period was $30.457 billion, up 21% from $25.241 billion in 2024[87] - Operating profit for the nine months ended September 30, 2025, was $6.783 billion, representing a 29% increase from $5.265 billion in 2024[87] - Profit margin for the nine months ended September 30, 2025, improved to 21.6%, compared to 19.1% in 2024[87] Cash Flow and Financing - Cash from operating activities was $6.4 billion for the nine months ended September 30, 2025, an increase of $1.9 billion compared to 2024, driven by higher net income[72] - Cash used for financing activities was $(5.9) billion for the nine months ended September 30, 2025, an increase of $1.4 billion compared to 2024, mainly due to increased treasury stock repurchases[76] - The company repurchased 23.2 million shares for $5.4 billion in 2025, with a total of $10.3 billion repurchased under the authorized program[64] - Free cash flow (FCF) for the nine months ended September 30, 2025, was $5,933 million, up from $4,674 million in the same period of 2024, indicating a 27% increase[94] - The company reported a net cash decrease of $868 million in cash, cash equivalents, and restricted cash for the nine months ended September 30, 2025[101] Investments and Manufacturing - The company is investing $1 billion in U.S. manufacturing and hiring 5,000 U.S. workers to support domestic manufacturing efforts[14] - The U.S. established a zero-for-zero tariff agreement on aerospace equipment with the EU, UK, and Japan, which is expected to reduce costs[15] Taxation - The effective income tax rate for the three months ended September 30, 2025, was 13.7%, up from 10.5% in the same period of 2024, with the provision for income taxes increasing to $0.3 billion[54] - The adjusted effective income tax rate for the nine months ended September 30, 2025, was 17.1%, down from 20.4% in the same period of 2024[57] - The effective income tax rate for the nine months ended September 30, 2025, was 14.2%, compared to 10.6% for the same period in 2024, influenced by various tax credits and benefits[159] Segment Performance - Total segment revenue for the three months ended September 30, 2025, was $8.88 billion, a 27% increase compared to $7.00 billion in Q3 2024[29] - Defense & Systems revenue for the three months ended September 30, 2025, was $1.777 billion, a 25% increase from $1.428 billion in Q3 2024[37] - Commercial Engines sales increased to 664 units in Q3 2025, up from 501 units in Q3 2024, representing a 32% increase[28] Assets and Liabilities - Total assets as of September 30, 2025, were $128,243 million, an increase from $123,140 million at the end of 2024[100] - Current liabilities increased to $37,203 million as of September 30, 2025, compared to $34,392 million at the end of 2024, reflecting an 8.2% rise[100] - Total borrowings reached $20,838 million as of September 30, 2025, up from $19,273 million at December 31, 2024, marking an increase of 8.1%[139] Research and Development - Research and development expenses increased to $1,132 million for the nine months ended September 30, 2025, up from $901 million in 2024, marking a 25.6% rise[99] Insurance Operations - Insurance operations generated revenue of $875 million for the three months ended September 30, 2025, compared to $899 million for the same period in 2024, showing a decrease of 2.7%[144] - Net income from insurance operations for the nine months ended September 30, 2025, was $567 million, up from $427 million in 2024, representing a growth of 32.8%[144] Legal and Compliance - Legal matters may have a material impact on results, but it is difficult to estimate potential losses due to the complexities involved[202]

GE Aerospace raised its 2025 profit forecast on Tuesday, projecting a strong finish to the year on robust demand for aftermarket maintenance services due to a shortage of new jets. ...

GE AEROSPACE ANNOUNCES THIRD QUARTER 2025 RESULTS Raises 2025 guidance across the board, supported by robust demand and improved output Third Quarter 2025: CINCINNATI — October 21, 2025 — GE Aerospace (NYSE:GE) announced results today for the third quarter ending September 30, 2025. GE Aerospace Chairman and CEO H. Lawrence Culp, Jr., said, "GE Aerospace delivered an exceptional quarter with revenue up 26%, EPS up 44%, and more than 130% free cash flow conversion. Given the strength of our year- to-date res ...

Market Overview - U.S. stock futures are down following a rally on Monday, with major indices showing slight declines pre-market [1][3] - The federal government shutdown is impacting billions of dollars worth of projects, affecting the economy and people's lives [1] Earnings Watch - Investors are focused on earnings reports from major companies including Netflix, Coca-Cola, Philip Morris, and RTX Corp, which will influence market sentiment for the week [2][4][14] - Netflix shares are up 0.27% pre-market, with expectations for strong third-quarter results [5] - Coca-Cola shares are up 0.10% pre-market, with a favorable price trend despite lower performance metrics [5] - Philip Morris shares are down 0.04% pre-market ahead of its earnings call [4] - RTX Corp shares are up 0.49% pre-market, with high scores in Momentum and Quality [14] Treasury Yields and Market Sentiment - The 10-year Treasury bond yield is at 3.97%, while the two-year bond yield is at 3.45% [3] - Market expectations indicate a 98.9% likelihood of the Federal Reserve cutting interest rates in the upcoming October meeting [3] Stock Performance - Major indices showed gains on Monday, with the Nasdaq Composite up 1.37%, S&P 500 up 1.07%, and Dow Jones up 1.12% [8] - Pre-market performance shows declines for SPDR S&P 500 ETF Trust and Invesco QQQ Trust ETF [3] Retail Investor Behavior - Retail investors have been net buyers of U.S. stocks in 23 of the last 26 weeks, with significant purchases noted last week [10] - The VIX score indicates higher volatility, yet the S&P 500 remains near all-time highs [10][11]

Market Overview - U.S. stock futures are down following a rally on Monday, with major indices showing slight declines pre-market [1] - The federal government shutdown is impacting billions of dollars worth of projects, affecting the economy and people's lives [1] Earnings Watch - Investors are focused on earnings reports from major companies including Netflix, Coca-Cola, Philip Morris, and RTX Corp, which will influence market sentiment for the week [2] - Netflix shares are up 0.27% pre-market, with expectations for strong third-quarter results [5] - Coca-Cola shares are up 0.10% pre-market, anticipating its third-quarter results [5] - Philip Morris shares are down 0.04% pre-market ahead of its earnings call [4] - RTX Corp shares are up 0.49% pre-market, with investors awaiting its third-quarter results [14] Treasury Yields and Market Sentiment - The 10-year Treasury bond yield is at 3.97%, while the two-year bond yield is at 3.45% [3] - Market expectations indicate a 98.9% likelihood of the Federal Reserve cutting interest rates in the upcoming October meeting [3] Stock Performance - Major indices showed the following pre-market changes: Dow Jones -0.19%, S&P 500 -0.13%, Nasdaq 100 -0.16%, Russell 2000 -0.27% [3] - The SPDR S&P 500 ETF Trust (SPY) is down 0.07% at $670.79, while the Invesco QQQ Trust ETF (QQQ) is down 0.36% at $611.18 [3] Analyst Insights - Retail investors have been net buyers of U.S. stocks for 23 of the last 26 weeks, with the largest purchase in five months occurring last week [10] - The VIX score nearly hit 29, indicating higher volatility, yet the S&P 500 remains near all-time highs [10][11]

Group 1: Earnings Expectations - Coca-Cola Co. is expected to report quarterly earnings of 78 cents per share on revenue of $12.39 billion [2] - General Electric Co. is projected to post quarterly earnings of $1.44 per share on revenue of $10.40 billion [2] - General Motors Co. is anticipated to report quarterly earnings of $2.31 per share on revenue of $45.27 billion [2] - Netflix Inc. is expected to report quarterly earnings of $6.97 per share on revenue of $11.51 billion [2] Group 2: Company Performance - Crown Holdings Inc. reported quarterly adjusted earnings of $2.24 per share, exceeding the analyst estimate of $2, with revenue of $3.2 billion, surpassing the Street estimate of $3.12 billion [2] - Crown Holdings shares increased by 8% to $102.00 in after-hours trading following the earnings report [2] - Coca-Cola shares rose 0.3% to $68.64 in after-hours trading [2] - General Electric shares increased by 1.1% to $305.85 in after-hours trading [2] - General Motors shares fell 0.2% to $57.90 in after-hours trading [2] - Netflix shares rose 0.5% to $1,244.97 in after-hours trading [2]

Core Insights - Defense stocks may present a buying opportunity as the government shutdown continues, with analysts suggesting potential upward revisions in outlooks once funding clarity is restored [1][3][4] Market Performance - Defense stocks have underperformed during the government shutdown, with the iShares U.S. Aerospace & Defense ETF (ITA) and Invesco Aerospace & Defense ETF (PPA) remaining flat while the S&P 500 rose nearly 2% [2] - Northrop Grumman (NOC) shares have decreased about 1% since the shutdown began but have increased approximately 28% in 2025, outperforming the S&P 500's nearly 15% rise [5][9] Analyst Recommendations - Analysts from Morgan Stanley recommend buying defense stocks with muted outlooks, anticipating upward revisions as government funding issues are resolved [3][7] - Companies such as Northrop Grumman, Lockheed Martin (LMT), and RTX Corp. (RTX) are expected to report earnings soon, with analysts predicting conservative outlooks due to the ongoing shutdown [7][8] Future Expectations - The White House Economic Advisor indicated that the government shutdown is likely to end soon, which could positively impact defense stocks [9]

SUSTAINABILITY: This Mag 7 Member Targets AI Data Centers And All-Renewable Electricity INVESTING RESOURCES Take a Trial Today Get instant access to exclusive stock lists, expert market analysis and powerful tools with 2 months of IBD Digital for only $20! IBD Videos Get market updates, educational videos, webinars, and stock analysis. Get Started GE Aerospace is trading near record highs ahead of its Q3 earnings report early Tuesday, with analysts bullish on the aerospace giant and its stock. Analysts expe ...

Group 1: Earnings Results - GE Aerospace is set to release its third-quarter earnings results on October 21, with expected earnings of $1.47 per share, an increase from $1.15 per share in the same period last year [1] - The consensus estimate for quarterly revenue is $10.41 billion, compared to $8.94 billion a year earlier [1] Group 2: Recent Developments - On September 23, Kratos Defense & Security Solutions Inc. and GE Aerospace began altitude testing of the GEK800 engine, which is designed for unmanned aerial systems and collaborative combat aircraft [2] - GE Aerospace shares experienced a slight increase of 0.1%, closing at $300.14 [2] Group 3: Analyst Ratings - Barclays analyst Julian Mitchell maintained an Overweight rating and raised the price target from $230 to $295 [5] - RBC Capital analyst Ken Herbert maintained an Outperform rating and increased the price target from $275 to $300 [5] - Citigroup analyst Andrew Kaplowitz maintained a Buy rating and raised the price target from $296 to $309 [5] - UBS analyst Gavin Parsons maintained a Buy rating and increased the price target from $300 to $321 [5] - B of A Securities analyst Ronald Epstein maintained a Buy rating and raised the price target from $225 to $230 [5]

Time now for options corner. Joining us to take a deeper look at this chart is Rick Dukat, lead market technician here on Schwab Network. All right, Rick, take us through the trends you notice in this chart.>> Yes, good morning. And when we look at GE, you know, it's split into three companies. GE, the aerospace and defense company, GE Vernova, the energy company, and GE uh healthcare here.And it's kind of an interesting microcosm of how the market has gone here. uh energy very strong and GE itself doing qu ...