Jumping out to an early gain this morning, GE Vernova (GEV -1.37%) stock is benefiting from more than just the general market enthusiasm, thanks to an investment firm's bullish new outlook on the industrials powerhouse.
While the S&P 500 is up 2.1%, shares of GE Vernova are up 7.2% as of 10:31 a.m. ET.
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Turbine demand drives a more optimistic outlook
Keeping an overweight rating, Morgan Stanley hiked its price target on GE Vernova stock to $960 from $817. Based on Friday's closing price of $851.07, the new price target implies upside of 12.8%.
NYSE: GEV
Key Data Points
According to Thefly.com, the financial services company raised its price target following encouraging updates on demand for its turbines and turbine pricing. Furthermore, Morgan Stanley sees upside in GE Vernova stock, citing utilities' plans to expand gas plant projects beyond 2030.
In 2025, GE Vernova reported a 54% year-over-year increase in gas turbine orders. The company projects gas turbine deliveries will total 20 gigawatts of annualized output in the middle of 2026, increasing to approximately 24 gigawatts in 2028 with continued service growth.
Should investors power their portfolios with GE Vernova stock now?
While Morgan Stanley's upwardly revised price target is worth noting, investors would be better served to pay closer attention to the company's financials. With the strong growth in its gas turbines business last year and growth expected in the coming years, there's sufficient reason to dig further into a potential investment in GE Vernova stock.
