General Electric Company, doing business as GE Aerospace, designs and produces commercial and defense aircraft engines, integrated engine components, electric power, and mechanical aircraft systems. It also offers aftermarket services to support its products. The company operates in the United States, Europe, China, Asia, the Americas, the Middle East, and Africa. General Electric Company was incorporated in 1892 and is based in Evendale, Ohio.

GE Aerospace looks like a high-quality business with very strong profitability, but the market is already pricing in a notable premium for that quality. A P/E of 39.5, P/S of 7.0, P/B of 16.2, and P/FCF of 44.5 are significantly above the industry median, which limits the potential for further re-rating without an acceleration in earnings and free cash flow growth. At the same time, the trend in valuation multiples does not provide a convincing signal of multiple expansion: P/E and P/FCF have fluctuated, while P/S and P/B remain consistently high. The company’s strength lies in its high capital efficiency: ROE of 48.4%, ROI of 24.4%, and ROA of 7.0% are clearly better than the industry, while net profit margin of 17.7% and operating margin of 23.2% confirm the business’s durable quality. Growth in revenue, operating profit, EBITDA, and net income compared with earlier periods supports the fundamental story, although the pace no longer looks explosive. It is especially important that profitability and cash generation are improving, but not fast enough to justify such a rich valuation without caveats. The balance sheet remains workable, but not ideal: debt/equity is around 1.0, long-term debt is significant, and both current and quick ratios are below 1, which adds caution. The very low dividend yield of 0.12% does little to compensate investors while they wait, so the stock is more about growth and quality than income. The decline in equity share and the reduction in cash on hand against a high valuation also do not strengthen the case for an aggressive upward revision of the target. Overall, the fundamentals support a premium to the industry, but the current price already reflects a substantial portion of the positive expectations. Therefore, a moderate conservative downward adjustment is appropriate rather than a revision toward a strong increase.

GE Aerospace

Средний индекс, значительно упал. Быки в растерянности.

Medium index, significantly down. The bulls are confused.

Сильный индекс, значительно упал. Рынок не поддерживает быков.

Strong index, significantly down. The market does not support the bulls.

Сильный индекс, значительно упал. Отток средств из лонгов на высоком уровне.

Strong index, significantly down. Outflow of funds from longs at a high level.

GE Aerospace’s business quality and profitability are very strong, but the valuation is already expensive, liquidity is weak, and the dividend provides almost no support to the stock...

Key Points
GE Aerospace's stock has fallen more than 11% in the past month.
The acquisition of Consolidated Precision Products will likely face regulatory scrutiny amid antitrust concerns.
GE Aerospace's backlog is more than $200 billion and stretches into the next decade.
GE Aerospace (NYSE: GE) announced this week that it is acquiring Consolidated Precision Products (CPP) for $11.75 billion. This is GE Aerospace's largest acquisition since it became a stand-alone company in 2024. The purchase will affect the company's balance sheet in the near term, so what do investors need to know?
First, supply chain constraints have made it difficult for companies like GE to keep pace with demand. CPP has supplied GE for many years and is one of just a handful of companies that are global suppliers of aerospace castings. It supplies approximately 25% of GE's needs. Thus, it makes sense that GE would want to bring the business fully under its umbrella. It makes the supply chain more difficult for competition while loosening a known bottleneck for its own manufacturing.
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The deal will be financed with $7 billion in cash and the remainder through new debt. GE expects CPP to generate approximately $2 billion in revenue in 2027. The acquisition will, however, face antitrust scrutiny and concerns over fair competition. Still, if this deal goes through, it should boost adjusted profit per share and free cash flow even in the first year, according to GE.
GE Aerospace's backlog reaches into the 2030s. It must secure sufficient capacity to meet contracted obligations. Purchasing CPP streamlines operations and fixes a serious supply chain issue. It's a steep price to pay now, but it should pay off over the coming years.
GE Aerospace's stock has risen just 5% in 2026, and a recent pullback has created a more favorable entry point. The stock is still trading at a premium, with forward and trailing P/E ratios approaching 40 and a PEG ratio above 4.
Ultimately, I believe this acquisition solves a necessary issue. The short-term pain from the high cost of CPP will be more than offset by the additional capacity GE Aerospace will create for itself. The company's $210 billion backlog provides incredible revenue visibility, and GE's main risk is executing without delay. This acquisition will help ensure just that.
Should you buy stock in GE Aerospace right now?
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Catie Hogan has no position in any of the stocks mentioned. The Motley Fool has positions in and recommends GE Aerospace. The Motley Fool has a disclosure policy.

GE Aerospace Is Making a $12 Billion Acquisition. Here's What Investors Should Know.

Key Points
Boeing saw a significant revenue recovery in 2025 as it worked through its aircraft delivery backlog.
General Electric delivers high profitability and strong free cash flow through its specialized aerospace division.
Which industrial giant offers the most balanced risk and reward for your portfolio in 2026?
As global travel continues its post-pandemic ascent, investors are weighing the recovery of an aviation titan against a leaner engine specialist. Choosing between Boeing (NYSE:BA) and GE Aerospace (NYSE:GE) requires careful scrutiny.
Boeing remains a global leader in commercial aircraft manufacturing and defense systems, while GE Aerospace has transformed into a focused aerospace power. Both companies benefit from rising demand for efficient travel, yet they offer vastly different financial health and risk profiles.
The case for Boeing
Boeing develops and services commercial airplanes, defense products, and space systems for customers in over 150 countries. The company derives a significant portion of its revenue from the U.S. government, including the Department of Defense and NASA. Customer concentration like this adds a layer of risk to the business, particularly when specialized contracts are subject to shifting federal budget priorities.
In FY 2025, revenue reached nearly $89.5 billion, representing a significant 34.5% increase over the prior year. This growth helped the company report a net income of approximately $2.2 billion, which is a notable improvement from the net loss of roughly $11.8 billion in 2024. The turnaround suggests that production rates for major programs are beginning to stabilize after several years of operational disruptions.
As of its December 2025 balance sheet, the debt-to-equity ratio was 10.0x. This high figure indicates that total liabilities are ten times the value of shareholder equity. The current ratio, which indicates a company's ability to pay short-term obligations with short-term assets, was nearly 1.2x. Free cash flow was negative $1.9 billion, and stock-based compensation represented roughly 40% of operating cash flow, which inflates reported cash generation since SBC is a non-cash expense added back in the cash flow statement.
The case for GE Aerospace
General Electric now operates primarily as GE Aerospace, a dominant force in aircraft propulsion and systems for commercial and military aviation. It maintains an installed base of more than 44,000 commercial engines and 26,000 military engines worldwide. By focusing on high-margin services and parts, the company aims for steady performance among defense stocks and commercial airline providers.
In FY 2025, revenue reached approximately $45.9 billion, a growth of roughly 18.5% compared to the previous fiscal year. The company reported a strong net income of nearly $8.7 billion for the period. Its net margin, which is the percentage of revenue remaining as profit after all expenses, stood at a healthy 19%, reflecting the profitability of its specialized aerospace services.
As of its December 2025 balance sheet, the debt-to-equity ratio was approximately 1.1x. This indicates a much lower level of debt relative to equity compared to its primary peer in the skies. The current ratio was roughly 1.0x, showing assets and liabilities are closely matched in the short term. Free cash flow, which is cash from operations minus capital expenditures, was a robust $7.3 billion.
Risk profile comparison
Boeing faces persistent operational and production challenges, including certification and delivery delays for key programs like the 777X and 737 variants. Heavy reliance on the U.S. government makes it vulnerable to budget curtailments and shifts in acquisition strategies. Furthermore, labor instability and cybersecurity threats against its complex infrastructure could disrupt future manufacturing schedules or compromise proprietary data.
GE Aerospace must navigate intense competition in the aerospace sector from rivals like RTX (NYSE:RTX) and Airbus (OTC:EADSF). While its engine service business is a steady cash generator, the company remains sensitive to fluctuations in global airline health and military spending. It also faces pressure to innovate rapidly to keep pace with advanced systems developed by Lockheed Martin (NYSE:LMT) in the defense arena.
Valuation comparison
Boeing appears cheaper on a sales basis, while GE Aerospace carries a lower premium relative to its future earnings estimates.
Forward P/E
51.2x
41.7x
P/S ratio
1.8x
7.5x
Valuation metrics sourced from Financial Modeling Prep (FMP) and may differ from other data providers.
Which stock would I buy in 2026?
I'd go with GE Aerospace, and the contrast between these two companies right now is striking. GE just posted record revenue, raised its full-year outlook, and is generating substantial free cash flow while returning billions to shareholders. Its LEAP engine powers a growing installed base of commercial aircraft, and the aftermarket services business keeps compounding as that fleet expands. This is a business operating at full stride.
Boeing, to its credit, is making genuine progress. Commercial deliveries rose sharply year over year and free cash flow turned positive and beat expectations by a wide margin. The FAA recently restored its authority to self-certify aircraft, which is a significant regulatory milestone. But Boeing is still losing money every quarter, carrying an enormous debt load, and managing a defense segment that keeps absorbing unexpected charges. The turnaround is underway, but it is not finished.
The turnaround story at Boeing is encouraging, but I'm choosing GE Aerospace because it doesn't need a turnaround. It is already winning.
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Sara Appino has no position in any of the stocks mentioned. The Motley Fool has positions in and recommends Boeing, GE Aerospace, Lockheed Martin, and RTX. The Motley Fool has a disclosure policy.

Boeing vs. GE Aerospace: Which Industrials Stock Is a Better Buy in 2026?

GE Aerospace GE is experiencing persistent strength in its Defense & Propulsion Technologies segment. Revenues from the segment increased 16% year over year to $3.4 billion in second-quarter 2026. Within the segment, revenues from the Defense & Systems business increased 11.7% to $2.2 billion, while revenues from the Propulsion & Additive Technologies business surged 23.4% to $1.2 billion. The top-line growth was supported by healthy demand for GE’s propulsion & additive technologies, critical aircraft systems and aftermarket services in the defense market.
Some of the recent contracts secured by the company include a deal from the Republic of Korea Navy to provide 12 LM2500+G4 marine gas turbine engines for its naval destroyer project, KDDX. It also clinched a deal from Defense Innovation Unit (DIU) to work on the development of a hypersonic test bed as part of the HyCAT project. In the second quarter, GE also received a contract from Turkish Aerospace Industries to continue integrating its F404 engine into Türkiye's Hurjet jet trainer.
The strong pipeline of projects boosted the Defense & Propulsion Technologies segment’s orders, which increased 12% year over year in the second quarter. The segment’s operating profit grew 18% to $475 million. The company exited the second quarter with a total backlog of $210 billion. For 2026, GE expects revenues from the Defense & Propulsion Technologies segment to increase in the low-double-digit range.
It’s worth noting that GE recently inked a contract to acquire Consolidated Precision Products (“CPP”) from private equity firms Warburg Pincus and Berkshire Partners. The deal is valued at about $11.75 billion in total, using $7 billion in cash and new debt for the remaining consideration. Although the acquisition will likely strengthen GE’s critical casting capacity and manufacturing capabilities, it is expected to expand its debt profile.
GE's Peers in the Defense Market
Among its major peers, Textron Inc. TXT enjoys solid demand for its defense products as well. In the second quarter of 2026, revenues from Textron’s Bell segment increased 6% year over year, driven largely by higher H-1 and MV-75 volume and an increase in commercial helicopter deliveries. Textron Systems revenues increased 7% on armored vehicles and ATAC services.
Another peer of GE, RTX Corporation RTX, is witnessing solid bookings and backlog levels. RTX’s strong backlog supports a positive outlook for revenue growth in its defense business, which is expected to strengthen profits over the long term. RTX won several notable defense contracts during the first six months of 2026, which resulted in a record backlog of $289 billion that includes $119 billion of defense projects.
GE's Price Performance, Valuation and Estimates
Shares of GE Aerospace have lost 2.2% in the past three months compared with the industry’s 6.4% decline.
From a valuation standpoint, GE is trading at a forward price-to-earnings ratio of 37.63X, above the industry’s average of 30.36X. GE Aerospace carries a Value Score of D.
Image Source: Zacks Investment Research
The Zacks Consensus Estimate for GE’s 2026 and 2027 earnings has increased over the past 60 days.
The company currently carries a Zacks Rank #3 (Hold). You can see the complete list of today’s Zacks #1 Rank (Strong Buy) stocks here.
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Strong Orders Drive GE's Defense & Propulsion: Can Momentum Sustain?

GE Aerospace GE has inked a deal to acquire Consolidated Precision Products (“CPP”) from private investment firms Warburg Pincus and Berkshire Partners. The transaction was valued at approximately $11.75 billion in total using $7 billion in cash and debt for the remaining consideration.
Based in Cleveland, OH, CPP is engaged in producing precision-engineered castings and sub-assemblies for commercial aerospace and defense applications. It supplies complex alloy castings for commercial and military aircraft, weapon systems, helicopters and industrial gas turbines. The company was established in 1991 and employs about 6,600 personnel across more than 20 facilities.
Acquisition Rationale of GE Aerospace
The latest acquisition aligns with GE’s strategy of acquiring businesses to expand its market share and customer base. The acquisition of CPP is expected to strengthen the company’s supply chain, expand critical casting capacity and improve manufacturing performance to support strong demand across commercial engines, aftermarket and defense markets. The transaction is also anticipated to support long-term growth by leveraging GE Aerospace’s FLIGHT DECK platform to enhance manufacturing and engineering capabilities and accelerate the development of new engine technologies.
The deal is expected to close in the second half of 2027, subject to regulatory approvals and other customary closing conditions.
GE’s Zacks Rank & Price Performance
GE Aerospace has been witnessing strength in its businesses, driven by robust demand for commercial engines, propulsion and additive technologies. Rising U.S. & international defense budgets, geopolitical tensions, positive airline & airframer dynamics and robust demand for commercial air travel augur well for the company.
The company currently sports a Zacks Rank #3 (Hold). In the past year, its shares have gained 18.1% against the industry’s 3% decline.
Image Source: Zacks Investment Research
However, it has been dealing with high costs and expenses related to certain projects and restructuring activities, which are likely to affect its margins and profitability.
Stocks to Consider
Some better-ranked companies are discussed below:
Howmet Aerospace Inc. HWM currently carries a Zacks Rank #2 (Buy). You can see the complete list of today’s Zacks #1 Rank (Strong Buy) stocks here.
HWM delivered a trailing four-quarter average earnings surprise of 6.9%. In the past 60 days, the Zacks Consensus Estimate for Howmet’s 2026 earnings has increased 5.6%.
Archer Aviation Inc. ACHR currently carries a Zacks Rank of 2. ACHR delivered a trailing four-quarter average earnings surprise of 18.4%.
In the past 60 days, the Zacks Consensus Estimate for Archer Aviation’s 2026 earnings has increased 5.9%.
RTX Corporation RTX presently carries a Zacks Rank of 2. The company delivered a trailing four-quarter average earnings surprise of 14.2%.
In the past 60 days, the consensus estimate for RTX’s 2026 earnings has increased 4.3%.
Research Chief Names "Single Best Pick to Double"
From thousands of stocks, 5 Zacks experts each have chosen their favorite to skyrocket +100% or more in months to come. From those 5, Director of Research Sheraz Mian hand-picks one to have the most explosive upside of all.
This company targets millennial and Gen Z audiences, generating nearly $1 billion in revenue last quarter alone. A recent pullback makes now an ideal time to jump aboard. Of course, all our elite picks aren’t winners but this one could far surpass earlier Zacks’ Stocks Set to Double like Nano-X Imaging which shot up +129.6% in little more than 9 months.
Free: See Our Top Stock And 4 Runners Up
Want the latest recommendations from Zacks Investment Research? Today, you can download 7 Best Stocks for the Next 30 Days. Click to get this free report

GE Expands Mission-Critical Castings Capacity Through CPP Acquisition

Key Points
Warren Buffett guided the Berkshire Hathaway holding company to market-beating returns for 60 years.
He regularly said that everyday investors could do well by purchasing an exchange-traded fund that tracks a diversified index like the S&P 500.
In February 2014, Buffett specifically recommended the Vanguard S&P 500 ETF for its low fees and its ability to help young investors secure their financial future.
Warren Buffett is one of the world's most iconic investors. He served as CEO of the Berkshire Hathaway (NYSE: BRKA) (NYSE: BRKB) holding company from 1965 to 2025, turning it into a $1 trillion conglomerate with numerous subsidiaries, a stock portfolio worth over $350 billion, and another $365 billion in cash.
Berkshire stock returned 19.7% annually during Buffett's 60-year tenure, so an investment of $500 in 1965 would have grown to a whopping $24 million by the end of 2025. But he was a seasoned professional, so he always knew the average investor would struggle to replicate his performance. That's why he consistently advocated exchange-traded funds (ETFs) that track a diversified index, like the S&P 500.
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The Vanguard S&P 500 ETF (NYSEMKT: VOO) is one that Buffett specifically recommended in 2014 for its ultra-low fees. Here's how it could help young investors in their 20s build a financially secure future.
America's best stocks from 11 economic sectors
The S&P 500 is the most widely followed U.S. stock market index for a couple of reasons. First, it's made up of 500 companies from 11 different sectors of the economy, so it's highly diversified. Second, it has very strict entry criteria: its members must maintain a market capitalization of at least $22.7 billion and be profitable. But even after those boxes are ticked, a special committee ultimately decides which companies make the cut.
The S&P is weighted by market capitalization, so the largest companies in the index have a much higher representation than the smallest. Therefore, despite its diversified composition, the information technology sector has a massive weighting of 36.6% because it's home to five companies worth $1 trillion or more (Nvidia, Apple, Microsoft, Broadcom, and Micron Technology).
Below are the 11 sectors that make up the Vanguard S&P 500 ETF, along with their weightings and the three largest companies in each.
S&P 500 Sector
Sector Weighting
Largest Companies
Information technology
36.6%
Nvidia, Apple, Microsoft
Financials
12.5%
Berkshire Hathaway, JPMorgan Chase, Visa
Communication services
9.9%
Alphabet, Meta Platforms, Netflix
Consumer discretionary
9.4%
Amazon, Tesla, Home Depot
Healthcare
9.1%
Eli Lilly, Johnson & Johnson, AbbVie
Industrials
8.7%
Caterpillar, GE Aerospace, RTX Corporation
Consumer staples
4.7%
Walmart, Costco, Coca-Cola
Energy
3.4%
ExxonMobil, Chevron, ConocoPhillips
Utilities
2.1%
NextEra Energy, Constellation Energy, Southern Co
Real estate
1.9%
Welltower, Prologis, Equinix
Materials
1.8%
Linde, Newmont, Freeport-McMoRan
Data source: Vanguard. Sector weightings are accurate as of July 31, 2026, and are subject to change.
The technology sector is exerting a particularly strong influence on the performance of the S&P 500 right now, thanks to the artificial intelligence (AI) revolution, which began to gain momentum when OpenAI's ChatGPT application surpassed 100 million users in early 2023. In fact, if we exclude the sector's contribution over the last three-and-a-half years, the S&P 500's return drops from 101% to just 63%.
Simply put, the Vanguard ETF gives investors exposure to the fastest-growing area of the market in a diversified manner, which is why it's a popular long-term investment option.
Taking Buffett's advice could yield spectacular results
The S&P 500 has returned 10.7% since its inception in 1957 (assuming all dividends were reinvested). But it has delivered an accelerated return of 13.9% since Buffett recommended the Vanguard S&P 500 ETF in 2014, primarily thanks to the tech sector.
Past performance isn't always a reliable indicator of future results, but a 25-year-old investor could build a very nice retirement fund using the Vanguard ETF if its historical returns persist. Below are two potential outcomes.
Starting Balance at Age 25
Compound Annual Return
Balance at Age 65
$20,000
10.7%
$1,166,634
$20,000
13.9%
$3,647,362
Those results don't include costs, but with an expense ratio of just 0.03%, investors would incur an annual fee of just $3 for every $10,000 they have parked in the Vanguard ETF.
To conclude, investors probably shouldn't sell their entire position at retirement age, because compounding yields the greatest benefits over time. With a large enough balance after 40 years, the subsequent annual returns could provide a significant income to fund life after employment.
Should you buy stock in Vanguard S&P 500 ETF right now?
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JPMorgan Chase is an advertising partner of Motley Fool Money. Anthony Di Pizio has no position in any of the stocks mentioned. The Motley Fool has positions in and recommends AbbVie, Alphabet, Amazon, Apple, Berkshire Hathaway, Broadcom, Caterpillar, Chevron, Constellation Energy, Costco Wholesale, Eli Lilly, Equinix, GE Aerospace, Home Depot, JPMorgan Chase, Meta Platforms, Micron Technology, Microsoft, Netflix, NextEra Energy, Nvidia, Prologis, RTX, Tesla, Vanguard S&P 500 ETF, Visa, and Walmart. The Motley Fool recommends ConocoPhillips, Johnson & Johnson, and Linde. The Motley Fool has a disclosure policy.

If I Were in My 20s, I'd Buy This Vanguard ETF Warren Buffett Recommended and Hold It Forever

Howmet Aerospace Inc.’s HWM shares have surged 26.5% in the year-to-date period, outpacing the S&P 500’s gain of 12.2% and the industry’s 5.4% decline. The advanced engineered solutions provider for the aerospace and transportation industries has also outshone its peers like GE Aerospace GE and RTX Corporation RTX, which have returned 9.4% and 9.5%, respectively, over the same time frame.
HWM Outperforms the Industry, S&P 500 & Peers
Closing at $259.27 on Sept. 4, the stock is trading below its 52-week high of $310.00 but significantly higher than its 52-week low of $176.32. The stock is trading below its 50-day moving average but way above its 200-day moving average.
Howmet Shares’ 50-Day and 200-Day SMA
What’s Behind HWM Stock’s Momentum?
The strongest driver of Howmet’s business at the moment is the commercial aerospace market. The company is benefiting from solid demand for both narrow and wide-body aircraft, which is supporting higher OEM spending. Pickup in air travel has been positive for the company, as the increased usage of aircraft spurs spending on parts and products that it provides.
Revenues from the commercial aerospace market increased 28% year over year in the second quarter of 2026, following an increase of 20% in the first quarter. The market constituted 53% of its overall business, supported by robust spares demand for engines. Healthy build rates at Airbus for A320 and A350 aircraft, along with a production recovery in the Boeing 737 MAX aircraft, hold promise for HWM’s spare engine demand.
Howmet is also benefiting from persistent strength in the defense aerospace business, cushioned by steady government support. HWM has been experiencing robust orders for engine spares for the F-35 program and other legacy fighters. Revenues from the defense aerospace market increased 11% year over year in the second quarter, constituting 15% of the company’s business.
It's worth noting that the fiscal year 2026 Defense Appropriations Act was signed into law in February 2026, providing a strong budgetary allocation for defense. Such robust provisions set the stage for Howmet, which remains focused on its defense business.
Driven by its business strength, Howmet raised its 2026 revenue outlook to $10.00-$10.10 billion. Adjusted EBITDA is anticipated between $3.21 billion and $3.25 billion, with adjusted earnings projected at $5.23-$5.31 per share.
HWM remains committed to strengthening its business through acquisitions. In April 2026, the company acquired Stanley Black & Decker, Inc.'s SWK Consolidated Aerospace Manufacturing LLC (“CAM”) business for $1.8 billion. The buyout strengthened HWM’s aerospace fastening solutions portfolio through its established brands, engineering capabilities and deep customer relationships.
Howmet’s measures to reward shareholders are also encouraging. During the first half of the year, HWM distributed $97 million in dividends. In July 2026, it raised its quarterly dividend by 17% to 14 cents per share, equivalent to 56 cents annually. Additionally, through July, the company had repurchased $800 million worth of shares year to date.
Earnings Estimate Revision
Image Source: Zacks Investment Research
Earnings estimates for HWM have moved north over the past 60 days, reflecting analysts’ optimism.
The Zacks Consensus Estimate for 2026 earnings is pegged at $5.26 per share, suggesting year-over-year growth of 5.8%. The consensus mark for 2027 earnings is pinned at $6.22 per share, indicating a year-over-year increase of 5.1%. As earnings estimates increase, the stock is likely to follow suit.
Near-Term Concerns
However, Howmet’s shares declined recently after CEO Elon Musk announced that SpaceX intends to begin producing natural gas turbine blades at its Texas facility. This development is likely to bring a new competitive dynamic in the highly specialized turbine blade market, where Howmet has established a strong foothold. Nevertheless, HWM is poised to maintain strong demand momentum moving ahead with growing demand for industrial gas-turbine blades globally.
Stock Valuation
The stock trades at a forward 12-month price-to-earnings (P/E) ratio of 43.79X, higher than the industry average of 30.74X. Also, it is overvalued compared with its peers, GE Aerospace and RTX Corp. Notably, GE Aerospace and RTX Corp. are trading at 39.02X and 26.44X, respectively. This elevated valuation could make the stock vulnerable to further pullbacks if market sentiment sours.
Should You Invest in HWM Stock Now?
Persistent strength across both the commercial and defense aerospace markets, supported by strong build rates, spare demand for engines and a high defense budget, positions Howmet favorably for impressive growth in the quarters ahead. Built on a sound liquidity position, HWM’s shareholder-friendly policies also add to its appeal.
Despite its expensive valuation and likely competition from SpaceX in the turbine market, positive analyst sentiment, robust growth prospects and higher annual guidance for revenues and earnings indicate it is the appropriate time for potential investors to bet on this Zacks Rank #2 (Buy) company. You can see the complete list of today’s Zacks #1 Rank (Strong Buy) stocks here.
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This article originally published on Zacks Investment Research (zacks.com).

Howmet Rises 26.5% Year to Date: Should Investors Buy the Stock Now?

(RTTNews) - Aircraft engine maker GE Aerospace (GE) announced Tuesday that it has signed an agreement to acquire Consolidated Precision Products or CPP from private investment firms Warburg Pincus and Berkshire Partners for $11.75 billion.
The acquisition is expected to be accretive to GE's adjusted earnings per share and free cash flow in the first year.
The transaction is expected to close in the second half of 2027 and will be subject to regulatory approvals and other customary closing conditions.
Cleveland, Ohio -based CPP is a manufacturer of highly engineered castings and sub-assemblies primarily for the commercial aerospace and defense markets. The firm has around 6,600 employees across more than 20 facilities.
GE Aerospace Chairman and CEO Lawrence Culp, Jr., said, "Investing in mission-critical casting capacity is needed to support the strong simultaneous demand across commercial engines, aftermarket and defense. By combining GE Aerospace's technology capabilities and FLIGHT DECK with CPP's manufacturing experience, we expect to expand capacity, improve performance and accelerate new engine technologies for the current fleet and next-generation platforms."
GE said it plans to finance the deal price with $7 billion in cash, with the remainder in new debt.
In the deal, Evercore and PJT Partners are the lead financial advisors to GE Aerospace, while Morgan Stanley & Co. LLC and Guggenheim Securities, LLC are the financial advisors to CPP.
In pre-market activity on the NYSE, GE shares were trading at $337.00, down 0.01 percent.

GE Aerospace To Buy Consolidated Precision Products For $11.75 Bln

Looking at options trading activity among components of the S&P 500 index, there is noteworthy activity today in GE Aerospace (Symbol: GE), where a total volume of 35,893 contracts has been traded thus far today, a contract volume which is representative of approximately 3.6 million underlying shares (given that every 1 contract represents 100 underlying shares). That number works out to 102.4% of GE's average daily trading volume over the past month, of 3.5 million shares. Particularly high volume was seen for the $340 strike put option expiring December 18, 2026, with 14,602 contracts trading so far today, representing approximately 1.5 million underlying shares of GE. Below is a chart showing GE's trailing twelve month trading history, with the $340 strike highlighted in orange:
Marvell Technology Inc (Symbol: MRVL) options are showing a volume of 185,963 contracts thus far today. That number of contracts represents approximately 18.6 million underlying shares, working out to a sizeable 76.2% of MRVL's average daily trading volume over the past month, of 24.4 million shares. Especially high volume was seen for the $220 strike call option expiring September 04, 2026, with 13,719 contracts trading so far today, representing approximately 1.4 million underlying shares of MRVL. Below is a chart showing MRVL's trailing twelve month trading history, with the $220 strike highlighted in orange:
And Synopsys Inc (Symbol: SNPS) saw options trading volume of 11,596 contracts, representing approximately 1.2 million underlying shares or approximately 69.7% of SNPS's average daily trading volume over the past month, of 1.7 million shares. Especially high volume was seen for the $350 strike put option expiring October 23, 2026, with 3,070 contracts trading so far today, representing approximately 307,000 underlying shares of SNPS. Below is a chart showing SNPS's trailing twelve month trading history, with the $350 strike highlighted in orange:
For the various different available expirations for GE options, MRVL options, or SNPS options, visit StockOptionsChannel.com.
Further GE Research:

Noteworthy Friday Option Activity: GE, MRVL, SNPS

Key Points
GE Vernova and Quanta are both long-term electrification plays.
Both stocks have wide moats and growing backlogs.
The current bull market, which started on Oct. 12, 2022, is nearly four years old. The S&P 500 (SNPINDEX: ^GSPC) has generated a total return of 128% with reinvested dividends during that period, but it's starting to look expensive at 30 times its trailing 12-month earnings.
Since the end of World War II, the average bull market has lasted for five and a half years. Therefore, it's only a matter of time before the next market crash drives stocks into a bear market. It might be tempting to liquidate your stocks before that happens, but it's smarter to simply park your cash in a few crash-resistant stocks and ride out the volatility.
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Let's take a look at two resilient stocks that fit that description: GE Vernova (NYSE: GEV) and Quanta Services (NYSE: PWR). Both of these electrification stocks are benefiting from the AI boom, but they'll also withstand a market crash better than their industry peers.
GE Vernova
GE Vernova, the former energy division of General Electric (NYSE: GE), was spun off as a stand-alone company in 2024. Its stock has risen more than sixfold since its market debut.
That rally was fueled by the explosive growth of its Power and Electrification segments, which accounted for 55% and 33% of its orders, respectively, in 2025. Its Power segment mainly produces gas and steam turbines, while its Electrification segment provides components and services for electrical grids. The rapid growth of the power-hungry cloud, AI, and industrial automation markets generated strong tailwinds for both segments over the past two years. The growth of its Power and Electrification segments offset the softness of its Wind segment, which produces onshore and offshore turbines and accounted for 13% of its orders in 2025.
On an organic basis, GE Vernova's total orders grew 7% in 2024, 34% in 2025, and 80% year over year in the first half of 2026 as the data center boom continued. Its backlog expanded 37% year over year to $176.3 billion at the end of the second quarter of 2026. That's nearly four times its projected revenue of $46.2 billion for the full year.
From 2025 to 2028, analysts expect GE Vernova's revenue and adjusted earnings before interest, taxes, depreciation, and amortization (EBITDA) to grow at CAGRs of 17% and 60%, respectively. With an enterprise value of $238.5 billion, its stock still looks reasonably valued at 25 times next year's adjusted EBITDA. So while GE Vernova's stock might dip in the next market crash, it will easily bounce back as the global demand for electricity rises again.
Quanta Services
Quanta Services, which was founded in 1997, is a major builder of energy infrastructure in North America and Australia. It expanded by acquiring more than 200 other infrastructure companies over the past three decades, and it generates most of its revenue in the United States.
In 2025, Quanta generated 81% of its revenue from its Electric Power and Renewable Energy Infrastructure Solutions segment, which provides grid modernization, renewable interconnection, transmission expansion, and data center electrification services. The remaining 19% came from its Underground Utility and Infrastructure Solutions, which handles natural gas pipelines, oil infrastructure, and other industrial energy projects.
Both segments are growing in the double digits as more energy companies and utilities upgrade and expand their infrastructure to support the booming cloud and AI markets. Its revenue rose by 13% in 2024 and 20% in 2025, and analysts anticipate 39% growth in 2026.
Quanta's backlog grew 49% year over year to $53.4 billion at the end of the second quarter of 2026, compared to its projected full-year revenue of $39.6 billion. That expansion was driven by the AI market's ongoing expansion and several acquisitions (including Phalcon, Enerfab, Percheron, and PSD) that bolstered its engineering, fabrication, and service capabilities.
From 2025 to 2028, analysts expect Quanta's revenue and adjusted EBITDA to grow at CAGRs of 22% and 24%, respectively. With an enterprise value of $98 billion, Quanta still trades at 20 times next year's adjusted EBITDA -- even though it's soared more than 440% over the past five years. I believe its stock will continue to rise and easily recover from the next market downturn.
Should you buy stock in GE Vernova right now?
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Leo Sun has no position in any of the stocks mentioned. The Motley Fool has positions in and recommends GE Aerospace, GE Vernova, and Quanta Services. The Motley Fool has a disclosure policy.

2 Crash-Resistant Stocks Worth Buying and Holding No Matter What the Market Does

Looking today at week-over-week shares outstanding changes among the universe of ETFs covered at ETF Channel, one standout is the Vanguard Total Stock Market ETF (Symbol: VTI) where we have detected an approximate $5.5 billion dollar inflow -- that's a 0.8% increase week over week in outstanding units (from 1,810,976,070 to 1,825,402,065). Among the largest underlying components of VTI, in trading today GE Aerospace (Symbol: GE) is up about 0.1%, Chevron Corporation (Symbol: CVX) is down about 1.6%, and Home Depot Inc (Symbol: HD) is up by about 0.3%. For a complete list of holdings, visit the VTI Holdings page » The chart below shows the one year price performance of VTI, versus its 200 day moving average:
Looking at the chart above, VTI's low point in its 52 week range is $310.399 per share, with $385.1199 as the 52 week high point — that compares with a last trade of $380.07. Comparing the most recent share price to the 200 day moving average can also be a useful technical analysis technique -- learn more about the 200 day moving average ».
Exchange traded funds (ETFs) trade just like stocks, but instead of ''shares'' investors are actually buying and selling ''units''. These ''units'' can be traded back and forth just like stocks, but can also be created or destroyed to accommodate investor demand. Each week we monitor the week-over-week change in shares outstanding data, to keep a lookout for those ETFs experiencing notable inflows (many new units created) or outflows (many old units destroyed). Creation of new units will mean the underlying holdings of the ETF need to be purchased, while destruction of units involves selling underlying holdings, so large flows can also impact the individual components held within ETFs.
Further VTI Research:

Indicator	TTM Median
P/E	39.54 25.39
Price/Sales	7.01 1.42
P/B	16.16 2.42
P/FCF	44.46 18.59

Indicator	TTM Median
ROE	48.44 14.68
ROA	6.97 5.95
ROI	24.41 8.68
Net Worth	351.49 1.25
Quick Ratio	0.67 1.17
Current Ratio	0.98 1.59

Indicator	TTM Median
Net Profit Margin	17.72 7.63
Operating Margin	23.20 10.38
Gross Margin	35.38 32.92
Return on tangible equity	168.64 24.33

Indicator	TTM Median
EPS	2.02 0.82
EPS Forecast	1.86 0.67
Revenue	13.35B 187.00M
Gross Profit	4.68B —
EBITDA	3.26B —

GE Aerospace

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