GEV:NYSEGE Vernova Inc. Analysis
Data as of 2026-05-21 - not real-time
$1,024.52
Latest Price
7/10Risk
Risk Level: Medium
Executive Summary
GE Vernova (GEV) is trading in a bullish technical environment with the short‑term moving averages stacked in order (20‑day above 50‑day above 200‑day) and the overall trend flagged as bullish. The RSI sits near the midpoint, suggesting limited momentum, while the MACD histogram is negative and the signal line is bearish, hinting at a short‑term pullback.
Fundamentally, the company delivers strong top‑line growth and an exceptional ROE, supported by a high‑margin electrification business and a strategic 2.5 GW nuclear‑gas plant partnership in Texas that aligns with rising AI‑driven data‑center power demand. However, the DCF fair‑value estimate lies well below the current market price, the forward PE is elevated, and trading volume is on a downtrend, raising concerns about valuation and liquidity. The dividend is modest with a very low payout ratio, making it sustainable despite the sizable debt load.
Fundamentally, the company delivers strong top‑line growth and an exceptional ROE, supported by a high‑margin electrification business and a strategic 2.5 GW nuclear‑gas plant partnership in Texas that aligns with rising AI‑driven data‑center power demand. However, the DCF fair‑value estimate lies well below the current market price, the forward PE is elevated, and trading volume is on a downtrend, raising concerns about valuation and liquidity. The dividend is modest with a very low payout ratio, making it sustainable despite the sizable debt load.
Market Outlook
Short Term
< 1 yearCautious
Model confidence: 6/10
Key Factors
- Bearish MACD histogram signaling near‑term downside
- Current price above DCF‑derived fair value
- Decreasing volume trend reducing short‑term liquidity
Medium Term
1–3 yearsPositive
Model confidence: 8/10
Key Factors
- Robust revenue growth and high ROE indicating strong earnings trajectory
- Analyst upgrades and positive sentiment around AI‑driven power demand
- Strategic 2.5 GW nuclear‑gas plant partnership expanding the Power segment
Long Term
> 3 yearsNeutral
Model confidence: 7/10
Key Factors
- Diversified global footprint mitigating geographic concentration risk
- Sustainable dividend supported by low payout ratio and strong cash flow
- Elevated beta and sector volatility suggesting continued price swings
Key Metrics & Analysis
Financial Health
Revenue Growth16.30%
Profit Margin23.81%
P/E Ratio29.9
ROE75.71%
ROA2.38%
Debt/Equity24.93
P/B Ratio19.8
Op. Cash Flow$9.0B
Free Cash Flow$9.3B
Industry P/E29.5
Technical Analysis
TrendBullish
RSI48.4
Support$980.14
Resistance$1,181.95
MA 20$1,074.36
MA 50$978.28
MA 200$737.17
MACDBearish
VolumeDecreasing
Fear & Greed Index90.29
Valuation
Fair Value$894.44
Target Price$1,217.17
Upside/Downside18.80%
GradeOvervalued
TypeGrowth
Dividend Yield0.20%
Risk Assessment
Beta1.87
Volatility52.91%
Sector RiskMedium
Reg. RiskHigh
Geo RiskMedium
Currency RiskMedium
Liquidity RiskMedium
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This analysis may contain inaccuracies and is provided for informational and research purposes only. It is not personal investment advice, a recommendation, or an instruction to buy, sell, or hold any asset.