Such growth, especially as we begin a year in which volatility is expected to continue, may prompt some investors to take profits. If they do, and perhaps even if they don’t, GEV stock is a name to consider if you’re looking for slow, steady growth.
Natural gas now, nuclear later?
As the saying goes: necessity is the mother of invention. In 2025, the necessity will come due to the increasing demand for artificial intelligence applications. This will require data centers, which will require huge amounts of power.
J. Vernova today
As of 01/08/2025 at 03:58 PM ET
- 52 week range
- $115.00
▼
$376.30
- Dividend yield
- 0.27%
- Price target
- $314.35
However, there are currently only a few options for delivering this energy in a clean and cheap way. Right now, natural gas is one of the cleanest options available. In late 2024, GE Vernova signed multiple contracts for natural gas turbines to power large data centers. Some of the 5 GW campuses are expected to begin operations in 2028.
While the company doesn’t offer carbon capture solutions today, it plans to make significant investments in the technology in 2025, which it believes will pay off when the companies running these data centers are ready to use the technology, which may not be for about five years. Years.
GE Vernova is also a way to invest in the growing trend toward nuclear power. GE Hitachi’s Nuclear Power Alliance can provide the reactors, fuel, services and steam turbines needed to generate electricity.
A slice of the old block
Over decades, General Electric has carefully built its reputation as a shareholder-friendly company. In December 2024, GE Vernova made two announcements highlighting the company’s clear intention to follow its parent’s lead with regard to shareholder rights.
Initially, company A $6 billion share repurchase authorization. GE Vernova also announced its first quarterly dividend. On December 20, 2024, shareholders will receive a dividend of 25 cents per share on January 28, 2025.
This commitment to shareholders is not just a one-time event. The company expects to generate more than $14 billion in free cash flow in the next four years. It plans to return at least a third of that to shareholders through buybacks or dividends. With no net debt as it heads into 2025, GE Vernova gives investors a reason to own the stock even at a stellar valuation of 163 times forward earnings. The other reason is analysts’ expectations of earnings growth of approximately 46% in the next few years.
Engage in GEV shares
GE Vernova stock forecast today
$314.35
-14.18% downsideModerate purchase
Based on 28 analyst ratings
| High expectations | $420.00 |
|---|---|
| Average expectations | $314.35 |
| Low expectations | $147.00 |
GE Vernova stock forecast details
Analyst forecasts on MarketBeat give GE Vernova a Moderate Buy rating. The consensus price target of $314.35 is 15% lower than the stock’s price on January 7, 2024. However, several analysts tracked by MarketBeat give GEV shares much higher price targets, including Wells Fargo & Company New York Stock Exchange: WFCwhich has a price target of $411, and Barclays, Which is aiming for $420.
Regardless of analyst ratings, after a strong debut in 2024, there will likely be some pullback in GEV stock in 2025. The recent surge in GEV stock price has pushed it past the resistance level at around $350. Therefore, if you are not in the stock, you may want to wait until there is a significant pullback before taking a meaningful position. However, if you believe in GEV stock’s long-term potential, you can start snapping up the stock now and use any correction as an opportunity to buy with more conviction.
Before you consider GE Vernova, you’ll want to hear this.
MarketBeat tracks the highest-rated and best-performing research analysts on Wall Street and the stocks they recommend to their clients on a daily basis. MarketBeat identified the five stocks that top analysts are quietly whispering to their clients to buy now before the broader market catches up… and GE Vernova was not on the list.
While GE Vernova currently has a “Moderate Buy” rating among analysts, top-rated analysts believe these five stocks are better buys.
View the five stocks here
Are you looking to avoid the hassles of slander, volatility and uncertainty? You would have to be out of the market, which is not viable. So, where should investors put their money? Find out about this in this report.
