GE Vernova Rallies on Blowout Q1 as BNP Flags Capacity Limits

Overview

• GE Vernova reported a major Q1 beat with adjusted EBITDA up 87% to $896 million, net profit of $4.75 billion, and free cash flow of $4.8 billion, and the stock set new highs after the release.
• Management lifted 2026 guidance to $44.5–$45.5 billion in revenue and $6.5–$7.5 billion in free cash flow, and pulled its $200 billion backlog goal forward to 2027 after reporting $13 billion in Q1 orders.
• Oppenheimer raised its price target to $1,303 and RBC to $1,195, while a broader read of fiscal Q1 order activity at $18.3 billion reinforced the view of deep, multi-year demand for GE Vernova’s power and grid solutions.
• BNP Paribas downgraded the stock to Hold, citing turbine production capacity booked through 2030 that could cap near-term growth, even as it lifted its target to $1,190 and shares eased about 1.6% in premarket trade.
• The company highlighted recent 71.5 MW onshore wind agreements in Germany and local turbine manufacturing in Salzbergen that support European projects, with analysts pointing to AI data-center power needs and grid upgrades as key demand drivers alongside execution and supply-chain risks.