Power generation technology provider GE Vernova (GEV) has declared its first ever dividend payment following a rally of more than 150% in its stock price this year.
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The company, which was spun-off of industrial conglomerate General Electric (GE) in March of this year announced that it will pay a quarterly dividend of $0.25 per share beginning in the first quarter of 2025. GE Vernova also announced a $6 billion share repurchase program.
The benefits to shareholders come as GE Vernova raised its long-term outlook, saying it sees 2028 sales of about $45 billion and an earnings profit margin of 14%. That’s a bump up from previous guidance that called for sales of $43 billion and margins of 10%.
The new guidance, while higher, was below the $48 billion in 2028 sales and margins of 15% expected on Wall Street.
Analyst Views
Wall Street analysts remain bullish on GE Vernova, which primarily makes wind turbines and gas turbines. Mark Strouse, a four-star rated analyst at JPMorgan Chase (JPM), said in a recent report that the company’s “story remains very attractive.” He rates GEV stock a Buy with a price target of $330 per share.
Truist Financial (TFC) analyst Jordan Levy is also bullish on GEV stock, rating shares a Buy and recently raising his price target to $400 from $325. He said in upgrading his price target that, “We’d be buying a pullback” in the stock. Since being spun-off as a standalone company in April of this year, GEV stock has gained 153%.
Is GEV Stock a Buy?
The stock of GE Vernova has a consensus Strong Buy rating among 21 Wall Street analysts. That rating is based on 17 Buy and four Hold recommendations issued in the last three months. The average GEV price target of $362.33 implies 4.55% upside from current levels.
