• GE Vernova stock is challenging resistance. Why did GEV hit a new high?Emerging Trends in Power EquipmentBofA Securities analyst Andrew Obin hosted GE Vernova CEO Scott Strazik on March 18 at the BofA Global Industrials Conference in London.The analyst writes that Strazik anticipates a robust range of gas power equipment orders for the first quarter of 2026. With projections ranging from 12 to 24 gigawatts, this marks a substantial increase from the eight gigawatts recorded in the first quarter of 2025, ...

Core Insights - GE Vernova anticipates reaching approximately 100 GW under contract by 2026, with expectations of "high teens" GW of shipments and over 30 GW of new contracts [1] Group 1: Financial Performance - Fourth-quarter revenue increased by 2% year-over-year, with services growing across all segments, while equipment revenue remained flat [3] - For the full year, GE Vernova reported $59 billion in orders, a 34% increase year-over-year, and $38 billion in revenue, up 9% [4] - Adjusted EBITDA rose by 6% to $1.2 billion in the fourth quarter, with free cash flow reaching $1.8 billion [3] Group 2: Order Growth and Backlog - GE Vernova's total backlog increased by over 25% to $150 billion, with fourth-quarter orders totaling $22.2 billion, a 65% year-over-year increase [5][6] - Gas power equipment backlog rose from 62 GW to 83 GW, with new gas contracts totaling 24 GW in the fourth quarter [2] Group 3: Electrification Segment - Electrification segment saw over 25% revenue growth in 2025, with fourth-quarter orders increasing by 50% year-over-year to about $7.4 billion [9][11] - Segment EBITDA margins expanded by 560 basis points to 14.9% for the year, driven by volume, price, and productivity [10] Group 4: Wind Segment Challenges - GE Vernova faced approximately $600 million in wind losses for 2025 due to a U.S. government stop-work order affecting the Vineyard Wind project [13][15] - Fourth-quarter wind revenue declined by 25% year-over-year, with a $225 million EBITDA loss [16] Group 5: Future Guidance and Capital Allocation - Management raised 2026 guidance, expecting organic revenue growth of 16% to 18% in power and $13.5 billion to $14 billion in electrification revenue [18][19] - The company plans to return $3.6 billion to shareholders in 2025 and is doubling its dividend in 2026 [18]