About a year ago, I covered the new or legacy General Electric Company (NYSE: GE ), which is the aerospace arm of the conglomerate. I have a very favorable view of what I call theExperience is difficult to learn. After 30 plus years of critically analyzing the nuts and bolts of businesses as diverse as airlines, oil, retail, mining to fintech and ecommerce plus the macro, monetary and political drivers. I continue to immensely enjoy learning and applying my experience to unravel, comprehend and benefit from ...

Core Insights - AerCap Holdings N.V. has signed a seven-year agreement with GE Aerospace to provide lease pool management services for the GE9X engine, extending support for other engines as well [1][2][3] Group 1: Agreement Details - The agreement enhances the partnership between AerCap and GE Aerospace, adding the GE9X engine to AerCap's servicing capabilities [2] - AerCap will manage GE9X shop visit management, lease return coordination, technical services, and lease documentation support [2][3] Group 2: Strategic Importance - The agreement is crucial for ensuring that customers have a robust support network for their 777X fleets when the GE9X enters service [3] - GE Aerospace is investing in capabilities to support GE9X customers, including increasing capacity and enhancing training [3] Group 3: Company Background - AerCap is a global leader in aviation leasing, serving approximately 300 customers worldwide with comprehensive fleet solutions [4] - GE Aerospace has an installed base of around 44,000 commercial and 26,000 military aircraft engines, employing 52,000 people globally [5]

The legendary GE boss eventually came around to the idea that the focus on short-term results was a harmful distraction https://t.co/V2SS9yVC9E ...

Core Insights - The labor market is showing signs of weakness, but advanced manufacturing, particularly in aerospace, continues to see high demand, prompting GE Aerospace to invest $30 million in workforce training [1] Investment and Workforce Development - GE Aerospace is focusing on workforce training to fill gaps in the aerospace supply chain, not just for engine manufacturing but for broader job opportunities [2] - The investment aims to support the talent pipeline necessary to meet the strong demand from airframers and airlines [2][3] Market Demand and Performance - There is a mid-single-digit growth in airline departures, with a 4% increase compared to the same period last year, indicating stable global demand [3][4] - GE Aerospace has a significant backlog of $170 billion, sold out through the rest of the decade, highlighting strong market positioning [5] Future of Flight and Technological Advancements - The company is investing in next-generation narrow-body aircraft, with expected launches around 2035-2040, emphasizing the need for early technology investments [8] - The rise program focuses on improving fuel efficiency through open fan architecture, aiming for a 20% increase in efficiency for future aircraft [9] AI and Innovation - AI is being integrated across various operations, including workforce training and engine maintenance, enhancing inspection processes and overall efficiency [14][15] - The use of AI is expected to improve manufacturing and service operations, making skilled jobs more valuable in a digitized world [17]

GE Aerospace (NYSE:GE) is one of the stocks Jim Cramer commented on. While discussing the company, Cramer called the aerospace business “phenomenal,” as he stated: “Aerospace is a phenomenal business. Phenomenal. Look at how GE Aerospace has done since it’s spun off its healthcare and power divisions. The stock’s been a giant winner, wasn’t when they had those other divisions.” Photo by Artem Podrez on Pexels GE Aerospace (NYSE:GE) designs and manufactures aircraft engines and related systems for comm ...

Core Viewpoint - Wall Street anticipates a year-over-year increase in earnings for GE Aerospace, driven by higher revenues, with a focus on how actual results compare to estimates impacting stock price [1][2]. Earnings Expectations - GE is expected to report quarterly earnings of $1.46 per share, reflecting a +27% change year-over-year, with revenues projected at $10.34 billion, up 15.6% from the previous year [3]. Estimate Revisions - The consensus EPS estimate has been revised 0.74% higher in the last 30 days, indicating a positive reassessment by analysts [4]. Earnings Surprise Prediction - The Zacks Earnings ESP model shows a positive Earnings ESP of +2.01% for GE, suggesting analysts are optimistic about the company's earnings prospects [12]. Historical Performance - GE has consistently beaten consensus EPS estimates, achieving this in the last four quarters, including a +16.08% surprise in the most recent quarter [13][14]. Investment Considerations - While GE is positioned as a strong earnings-beat candidate, investors should consider other factors that may influence stock performance beyond earnings results [15][17].

Financial Earnings Calendar - The upcoming earnings calendar is heavily focused on financial institutions, with major firms like JPMorgan Chase & Co., Wells Fargo & Company, and Goldman Sachs Group Inc. reporting pre-market on Tuesday [1] - The financial theme continues into Wednesday with Bank of America Corporation and Morgan Stanley also reporting before the market opens [1] Key Earnings Reports - Taiwan Semiconductor Manufacturing Company Ltd., a significant player in the market, is set to lead Thursday's pre-market earnings reports [1] - The following Tuesday will see a busy schedule with over 40 companies reporting, including GE Aerospace, Coca-Cola Company, and Netflix Inc. after market close, along with numerous industrials and healthcare companies [1]

Core Viewpoint - GE Aerospace's stock performance has shown positive momentum, with a notable increase in both daily and monthly gains, indicating strong investor interest ahead of its upcoming earnings report [1][2]. Company Performance - GE Aerospace closed at $297.47, reflecting a +2.05% increase from the previous day, outperforming the S&P 500's gain of 1.56% [1]. - Over the last month, the stock has risen by 3.48%, exceeding the Aerospace sector's gain of 1.54% and the S&P 500's gain of 0.41% [1]. Upcoming Earnings - The earnings report for GE Aerospace is scheduled for October 21, 2025, with an expected EPS of $1.46, representing a 26.96% increase year-over-year [2]. - Revenue is anticipated to reach $10.34 billion, indicating a 15.6% increase compared to the same quarter of the previous year [2]. Full Year Projections - For the full year, earnings are projected at $5.87 per share, reflecting a +27.61% change from the prior year, while revenue is expected to be $40.43 billion, showing a -4.31% change [3]. Analyst Estimates - Recent changes in analyst estimates for GE Aerospace are crucial as they reflect confidence in the company's performance and profit potential [3][4]. - The Zacks Consensus EPS estimate has decreased by 0.03% over the last 30 days, and GE Aerospace currently holds a Zacks Rank of 3 (Hold) [5]. Valuation Metrics - GE Aerospace is trading at a Forward P/E ratio of 49.68, which is significantly higher than the industry average Forward P/E of 25.56 [6]. - The company has a PEG ratio of 3.14, compared to the Aerospace - Defense industry's average PEG ratio of 2.25 [6]. Industry Context - The Aerospace - Defense industry, which includes GE Aerospace, has a Zacks Industry Rank of 177, placing it in the bottom 29% of over 250 industries [7]. - The performance of individual industry groups is measured by the Zacks Industry Rank, with higher-ranked industries historically outperforming lower-ranked ones [7].

Core Viewpoint - GE Aerospace is expected to report strong third quarter 2025 financial results, driven by rising orders, a growing backlog, and improved profitability metrics [1][4]. Financial Performance - In the first half of 2025, adjusted revenue increased by 18%, with operating margins expanding by 230 basis points [2]. - Adjusted EPS surged nearly 47%, indicating effective conversion of revenue growth into profitability [2]. - The company ended Q2 with a substantial backlog of $175 billion, suggesting strong growth potential for the upcoming quarter [2]. Stock Performance - GE Aerospace shares have risen 77% year-to-date in 2025, reflecting positive market sentiment [1]. - The stock's 14-day Relative Strength Index (RSI) is at 52.21, indicating that there is room for further growth if upcoming earnings exceed expectations [3]. Business Segments - The Commercial Engines & Services (CES) division has seen service orders increase by 28% and equipment orders rise by 26%, driven by higher spare parts volume and favorable pricing [5]. - Service revenue in the CES division jumped 29%, with spare parts sales increasing by over 25%, contributing to top-line growth [5]. - In the defense segment, orders grew by 24% year-over-year in Q2, with a book-to-bill ratio of 1.2x, and revenue increased by 7% [6].

Group 1: Trade Tensions and Responses - The trade friction between China and the U.S. has escalated, with China imposing stricter export controls on rare earth elements, including lanthanum, cerium, praseodymium, neodymium, and samarium, effective October 9, 2025 [1][3] - The U.S. responded swiftly, with Trump threatening to restrict the export of Boeing aircraft parts to China, highlighting the reliance of Chinese airlines on Boeing models, which account for a significant portion of Boeing's global market [1][3][5] Group 2: Impact on Companies - The announcement of China's export controls led to immediate market reactions, with Boeing's stock dropping by 2.4% and General Electric's by 2.6% on October 11, 2025 [5] - Analysts noted that while the impact on Boeing may be limited in the short term due to China's development of its domestic C919 aircraft, the potential for supply chain disruptions remains significant [5][8] - The export controls affect a wide range of products, from jet engines to smartphones, requiring foreign companies to obtain approval for exports containing rare earth elements [7][8] Group 3: Global Supply Chain Reactions - European manufacturers and Japan's electronics sector quickly convened to discuss stockpiling rare earth materials in response to China's announcement [3][8] - Australian mining companies saw stock price increases as they are viewed as alternative sources for rare earth materials [3][8] - The situation highlights the vulnerabilities in the global supply chain, with potential risks for various industries reliant on rare earth elements [7][8]