GE Vernova will report third-quarter results on October 28, and CEO Scott Strazik expects its backlog, $176 billion at the end of the second quarter, to reach $200 billion very early in 2027 on strong Q3 orders. The article stresses gigawatts in the gas power backlog, especially from H-class (HA) turbines, which generate significant long-term services revenue: 130 HA machines are running and 195 are on contract. If the company has at least 400 machines running or contracted by the end of next year, that adds about 200 GW, or roughly $100 billion in services revenue at $500 million per GW over 20 years. Gas equipment contracts were 21 GW in Q1 and 20 GW in Q2, while July guidance called for 20 GW in the second half, which Strazik said now looks conservative. The author suggests investors watch for second-half guidance of 20–40 GW, and says results nearer the higher end, driven by HA orders, could send the stock sharply higher.
Summary written by Upside AI from the original article. Read the source for full details.
Read the original on Yahoo Finance ↗
Keywords
Open a keyword to see other news on the same topic.
Related news
- Can GE Vernova's Gas Turbines Make Up for a Collapsing Wind Business?
GE Vernova's wind power equipment revenue fell 11% year over year to $2 billion in Q2, and wind turbine orders dropped 40%. Gas turbine revenue rose 14% to $5.5 billion, while orders soared 135% to $16.7 billion. Combined orders for gas turbines and the electrification business (transformers and switchgear) reached a record $24.2 billion in Q2. The main constraint is production capacity, which the company is working to address. The article argues gas turbine growth more than offsets the wind decline, and CEO Scott Strazik said only 20% of the power division's backlog comes from data center customers, with the rest from conventional customers such as utilities.
- GE Vernova Stock Fell 11% in a Day. Here's What I Think It Could Be Worth by 2030.
GE Vernova fell about 11% on Oct. 22 and traded near $825, about 30% below its $1,174.86 close on June 30, even as its backlog grew to $176 billion after the second quarter. The author expects the adjusted EBITDA margin to keep rising toward management's 20% target for 2028, and projects adjusted EBITDA of about $13.6 billion in 2030. Assuming the stock trades at about 19 times that EBITDA and the share count falls about 2% a year, the author estimates a value of around $1,100 a share by late 2030. That implies about a 7% annual gain, which the author considers modest for a growth stock that can fall 11% in a day. The author says he would be more interested if the price fell below about $740, where the same forecast would mean about 10% a year.
- GE Vernova's $176 Billion Backlog, Explained
GE Vernova's remaining performance obligations (backlog) rose from $116 billion in 2023 to $176 billion at the end of the second quarter, with the power and electrification segments accounting for 111% of the increase, offset by a decline in the loss-making wind segment. CEO Scott Strazik said the $200 billion milestone should be hit very early in 2027, and the S&P Global Market Intelligence consensus calls for a $303 billion backlog in 2030. The article highlights long-term service agreements and aftermarket revenue tied to gas turbines and electrical equipment, along with margin improvement across all three segments. Slot reservation agreements, where customers pay upfront, are boosting cash flow, with 116 gigawatts under contract including 63 GW in SRAs, which are not counted in backlog. The next earnings presentation is due October 28.
- Hitachi , Ltd .: Hitachi Energy and Ansaldo Energia launch a strategic partnership to bring integrated power solutions to meet surging electricity demand
Hitachi Energy and Ansaldo Energia signed a Memorandum of Understanding to develop and market integrated power solutions that help customers secure reliable power faster. The partnership combines Ansaldo Energia's gas-turbine and generator technologies with Hitachi Energy's full grid system integration, including high-voltage, transformers, automation and power electronics. The solutions are designed for both 60 Hz and 50 Hz markets, including data centers, and aim to address global electricity demand that is expected to nearly double by 2050. The companies also plan to link their power solutions with HMAX Data Center to support autonomous operation of data centers.
- Constellation Energy vs. GE Vernova: Which Utilities Stock Is a Better Buy in 2026?
This article compares Constellation Energy (CEG) and GE Vernova (GEV) as data centers and AI drive demand for reliable carbon-free power. Constellation is described as the largest U.S. producer of carbon-free energy, serving about 2.5 million customer accounts and holding nuclear power agreements with Microsoft and Meta. For FY 2025, Constellation reported revenue of nearly $25.5 billion (up roughly 8.3%), net income near $2.3 billion, a net margin of about 9.1% versus nearly 15.9% in FY 2024, and free cash flow near $1.3 billion. GE Vernova reported FY 2025 revenue near $38.1 billion (up roughly 8.9%), net income of about $4.9 billion, a net margin near 12.8%, and free cash flow near $3.7 billion. The author favors Constellation Energy, while the article notes risks such as wholesale power price volatility for Constellation and competition from Siemens Energy and Mitsubishi Electric for GE Vernova.
- GE Vernova Stock Is Down 10%. Blame Meta.
Related markets
Latest news
- Finance Minister: Regulators Continue Working with MSCI to Keep Assessing and Ranking the Market
On the morning of October 28 at the National Assembly, Finance Minister Ngô Văn Tuấn responded to delegates' comments on the draft amendments to the Securities Law, after 32 comments in group discussions and 10 speeches in the plenary session. He said FTSE Russell has upgraded Vietnam's stock market from frontier to secondary emerging status, and regulators are continuing to work with MSCI on further assessment and ranking, which he said would attract international funds thanks to greater transparency. The minister stressed that the stock market is a key medium- and long-term capital channel, aiming to mobilize capital of about 40% of GDP to support double-digit growth, and that protecting investors' legitimate rights is the law's most important goal. On staffing, he noted that between 2000 and 2012, more than 180 of the over 300 Securities Commission staff moved to securities firms, underscoring the need for reasonable pay policies.
- Why Alphabet's Own AI Chips May Be Its Quietest Advantage
Alphabet has spent years designing its own AI chips, TPUs, and this year began selling TPU systems to customers who run them in their own data centers. In the second quarter it recognized revenue from TPU system sales for the first time, though management said this remains a small part, with most revenue expected in 2027; a Citizens analyst estimated about $3 billion of TPU-related infrastructure revenue this year and $25 billion next year. The backdrop includes Google Search revenue up 17% and Google Cloud revenue up 82% in the second quarter to more than $24 billion, while the cloud backlog reached $514 billion. Risks include credit backstops Alphabet has provided for third-party data centers and power infrastructure, and developers' continued commitment to Nvidia's ecosystem. According to the article, the TPU business gives Alphabet more control over costs and a potential second revenue stream.
- Shares of a company whose executive was recently prosecuted see heavy buying: what's going on?
TV2 (PECC2) shares rose to the daily ceiling of 27,850 VND per share, up nearly 7%, in the October 28 afternoon session, with almost 1 million shares traded, about 5 times the previous session and the highest in five months. On May 21, 2026, the company disclosed that the Investigation Police Agency under the Ministry of Public Security had prosecuted former Chairman Nguyễn Chơn Hùng and chief accountant Bùi Thị Ngọc Lý for embezzlement of assets, in a case involving National Power Transmission Corporation, PC1 Group and related companies; nearly a month later, Phạm Liên Hải was appointed Chairman for the 2026-2031 term. In Q3 2026, net revenue rose more than 103% to over 517 billion VND, and after-tax profit exceeded 61 billion VND, more than 4.5 times the year-earlier level. For the first nine months, revenue reached about 1,199 billion VND, up nearly 56%, and after-tax profit of over 163.3 billion VND already exceeded the 2026 full-year profit target of 100 billion VND, while revenue was about 50% of the 2,503 billion VND target. The article does not give a specific cause for the share price rise.
- Putin: The EU Is Undermining Its Own Economy
Russian President Vladimir Putin said the EU is damaging its own economy by rejecting Russian energy supplies and cancelling long-term contracts, speaking at the 8th Gas Exporting Countries Forum summit in Moscow on October 27. He also accused Europe of hypocrisy, noting its modern economy was built on coal and hydrocarbons while it now restricts developing countries from using them. The article says European gas prices hit their highest level since December 2022 on October 26, briefly topping 97 euros (108 USD) per megawatt-hour, amid supply disruptions linked to the Iran war and colder weather forecasts. Germany, Europe's largest industrial economy, suffered two consecutive years of recession in 2023 and 2024, and its industry is losing about 15,000 jobs a month, according to a July 2026 warning from the Federation of German Industry. Rising living costs and stagnant wages have also sparked protests in France, Belgium, Italy and other countries.
- Netflix and ServiceNow Have Fallen More Than 30% From Their Records. Both Are Stocks to Buy and Hold Through 2030.
The author notes that Netflix and ServiceNow shares have fallen more than 30% from their records while their businesses kept improving, and considers both worth holding through 2030. Netflix trades near $64, about 52% below its June 2025 record of $133.91, yet its operating income over the past four quarters reached about $15.6 billion, roughly 80% above the $8.6 billion of the four quarters through Q2 2024, and management guides to a 2026 operating margin of 31.5%. The main risk for Netflix is viewer engagement, as it cut its 2026 ad revenue forecast to around $2.7 billion from about $3 billion. ServiceNow shares, near $158, have risen about 14% since Oct. 13 ahead of its third-quarter report, with guidance for subscription revenue of $3,975 million to $3,980 million, up 20.5%, and cRPO growth of 19.5%. Reaching its 2030 target of over $30 billion in subscription revenue requires growth of around 17% a year from 2027 through 2030, and the author would watch whether cRPO growth falls far short of that 19.5% guidance.
- Stock market today: Dow futures fall, S&P 500 and Nasdaq futures climb ahead of Fed decision, Big Tech earnings
US stock futures were mixed ahead of a critical day with a Fed decision and earnings from Microsoft and Alphabet. Dow futures fell 0.3%, S&P 500 futures traded just above the flat line, and Nasdaq-100 futures rose 0.3%. Tech sentiment improved this week as the S&P 500 and Nasdaq posted back-to-back gains, and semiconductor stocks rallied on Tuesday after Broadcom's CEO negotiated a consortium of banks to announce a $63 billion financing structure for AI compute capacity. The Fed is expected to hold rates steady at 2 p.m. ET despite elevated inflation readings, and investors will watch Chairman Kevin Warsh's press conference for any hawkish signals. Microsoft reports after offering buyouts to up to 60,000 employees; other companies reporting include Ford, GE Vernova, T-Mobile US, eBay, Chipotle and ServiceNow.
Get the briefing on Telegram or Zalo
Join the Upside Telegram channel or Zalo group for the Vietnam stocks and gold briefing at 8:00 and 19:00 (Vietnam time) on trading days, plus a weekly wrap on Saturday morning.