GE

For questions about this article or underlying research, email [email protected]. GE Aerospace (GE) stock fell 3.7% on October 20, 2026, when the company reported its fiscal Q3 2026 results. The S&P 500 rose 0.3% during the same session. Management raised its 2026 forecast that morning, but by October 22 the shares traded 5.7% below their pre-report close. So how much did GE Aerospace's forecast actually go up? How Much Did GE Aerospace Raise Its 2026 Forecast? Management increased its 2026 operating profit forecast to a range of $10.9 billion to $11 billion, adding $300 million at the midpoint. The adjusted EPS outlook rose to between $8.00 and $8.10, an increase of $0.30 at the midpoint compared with $7.75 in the July release. The company now expects free cash flow of $9.1 billion to $9.4 billion, lifting the projection $200 million above the prior guide of $9.05 billion. Earnings for the quarter also beat expectations. GE Aerospace reported $2.25 a share in fiscal Q3 2026, compared with a consensus of $2.07. Revenue reached $13.3 billion, matching analyst estimates. GE Aerospace's peers held up better during the session. Honeywell rose 1.6%, and Boeing slipped 0.5%. The decline was specific to GE Aerospace, arriving on the same day the company raised its company-wide profit and cash forecasts for the year. GE Aerospace's Growth Has Lasted More Than A Year Revenue in commercial engines and services, the company's largest segment, grew 21% in fiscal Q3 2026. Management said this marked the unit's sixth consecutive quarter of at least 20% growth. Overall company revenue expanded 21.7% over the four quarters ending in June 2026, compared with 13.0% during the previous four quarters. In fiscal Q3 2026 alone, management said total revenue rose 18%. Future demand looks just as firm. Orders in fiscal Q3 2026 rose 49% from a year earlier. Management now expects 2026 revenue growth of 19% to 20%, lifting its projection from the high teens forecast in July. What Did Management Say About GE Aerospace's 2027? Management expects further services growth in 2027, but no expansion in margins. Helped by a backlog of over $170 billion, the company now projects low double-digit services growth in 2027. Adjusted operating margin was 22.5% in fiscal Q3 2026, up 220 basis points from a year earlier, and management expects 2027 margins to remain in line with 2026. Management cited the GE9X engine as one reason, alongside equipment sales growing faster than services. It expects the GE9X to add about $300 million more in losses in 2027 than in 2026 as deliveries ramp up. GE9X engines shipped during fiscal Q3 2026 will only count in financial results after the engine's upgraded mid-seal is certified. Management is working to secure that FAA certification by the end of 2026. Management said it will provide fuller 2027 guidance in January. GE Aerospace's 2027 operating margin forecast, due with the report expected in January 2027, is the figure to watch. Your Advisor Retired? Get A Second Opinion Before You Settle One report just changed how GE Aerospace looks to the people who own it. When the advisor who built your plan moves on, it is a natural moment to ask whether the plan still fits the life you have now. Our partner advisory firm offers a free review of your holdings, fees and income plan. Get A Free Second Opinion Spot an error or want more like this? Tell us in 10 seconds.

- GE beat analyst estimates for the eighth straight quarter, with EPS up 36%, orders surging 49%, and a $170 billion backlog. - The FAA certified the Boeing 737 MAX 10, and the LEAP is its exclusive engine, meaning 1,400+ orders directly expand GE's installed base. - GE's 7.5% one-month decline lands exactly at Jim Cramer's 8% threshold where a pullback turns from opportunity to warning sign. - Building a portfolio and living off one are two completely different skills, and almost nobody teaches the second. This problem is what The Definitive Guide to Retirement Income helps, and it is free today. Read more here. (Sponsor) GE Aerospace (NYSE:GE) reported a beat-and-raise third quarter on Tuesday, October 20, and the stock has fallen since. Shares traded at $294.73 in premarket trading on October 22, 2026. They are down 4.0% over the past week and 7.5% over the past month. The stock has also gained 366.1% over the past half-decade, and that run may already reflect a lot of the optimism about the business. Adjusted EPS came in at $2.25, up 36% from a year earlier. Revenue reached $14.118 billion, up 18%. GE beat analyst estimates for the eighth quarter in a row. Total orders rose 49%, and commercial services orders climbed 23%. The backlog now tops $170 billion. CFO Rahul Ghai said GE raised its 2026 EPS guidance to $8.00 to $8.10. Ghai also lifted free cash flow guidance to $9.1 billion to $9.4 billion. Chair and CEO Larry Culp described the demand picture on the earnings call: Given airframer order books are full through the end of the decade, along with strong growth in aftermarket and defense, we are continuing to invest to ensure timely delivery for our customers. ------ Many successful investors eventually reach the same moment. The saving is done, the portfolio is built, and the question quietly changes from how much can I grow this to how much can I take out? Get that second question wrong and decades of good investing can come apart in a handful of years. That is exactly what The Definitive Guide to Retirement Income helps answer. It covers what your retirement could actually cost, which income sources are worth using, and the withdrawal math that decides whether the money lasts. It is free today from Fisher Investments. Read More Here › ------ On October 20, the FAA certified the 737-10, the largest jet in the MAX family of Boeing (NYSE:BA). The hosts of The Investor's Podcast point out that the LEAP is the only engine on the MAX family. That means every MAX delivery adds to GE's installed base and to its future service revenue. Transportation Secretary Sean Duffy said, "This has been almost a ten-year process getting to this day of certification, which by the way, is huge." Henry Epp of Marketplace Morning Report said, "major airlines have ordered more than 1,400 of them." GE has also agreed to supply more than 300 LEAP-1B engines for Turkish Airlines' MAX fleet. However, GE also said on the call that it now assumes fewer GE9X engines for Boeing this year. The company is working toward FAA certification of an upgraded mid-seal by the end of 2026. RTX (NYSE:RTX) has Pratt & Whitney, which competes with GE's LEAP to power Airbus's main narrow-body jet family. RTX CEO Chris Calio said on October 20, "There's the concern around jet fuel and airline health and pricing, but the demand is still there. We've seen that in our parts and repairs orders." Ghai made a similar point on GE's call: "Even with strong revenue growth, spare parts delinquency (backlog of unfilled parts orders) increased sequentially, reflecting strong underlying demand." On an episode of The Investor's Podcast, the hosts made the bull case around a razor-and-blade model: each engine earns back about 3.5 times its original revenue in services, services account for more than 70% of revenue, and the services segment earns a 27% margin while new engines sell at roughly breakeven. The hosts added, "On the planes that matter most, GE has roughly three quarters of the market." The bear case rests on strength and operating leverage. The podcast hosts said some LEAP engines needed their first overhaul after a year and a half instead of the expected five years. They also noted that in 2020, GE Aviation revenue fell 33% and profit fell 82%. GE's CEO spoke to the strength question on the call: "That's why we were so pleased to see the LEAP AOG number down to near zero since the summertime." AOG means aircraft on ground, or grounded planes. The Investor's Podcast hosts ended on valuation: "Only if you stay in the 35 to 40 times earnings range will you still be able to get a good return on GE Aerospace. The exit multiple is basically everything here." Jim Cramer described a framework on Mad Money on October 21: "The New High List is not a shopping list. It's an inspiration list." He said the ideal pullback is 5% to 8%, while a drop of more than 8% suggests something may be going wrong. GE's one-month fall totals 7.5%, right at the edge of that range. (We put ten rules for buying strong stocks on pullbacks in a free guide here: The Breakout Buyer's Rulebook.) Upcoming milestones include the GE9X mid-seal certification and GE's full 2027 guidance, due in January. (Sponsor) Most people spend their entire working lives focusing on one thing: growing a pile of money. Then they retire and discover the skill they actually need is close to the opposite. Turning that pile into steady income, year after year, through good markets and bad, without ever running out. It may be the least discussed and most consequential transition in personal finance, and plenty of otherwise careful investors walk into it with no real plan. That is exactly what The Definitive Guide to Retirement Income helps answer. It is a free guide from Fisher Investments covering what your retirement will really cost, where the cash flow should come from, and how much you can safely withdraw each year. Learn more here. Learn More Here › Contact [email protected] for any questions or corrections.

GE Aerospace GE raised its 2026 financial outlook and sharpened expectations for commercial services growth in 2027 on its third-quarter earnings call. Management cited a substantial maintenance backlog despite higher fuel costs pressuring airlines. Executives also addressed parts shortages, engine retirements and GE9X production costs. The discussion focused on execution and future margins beyond the earnings beat. Chief financial officer Rahul Ghai said that GE now expects 2026 adjusted revenue growth of 19-20%, up from a high-teens forecast. Operating profit guidance rose to $10.9-$11 billion. GE also lifted adjusted EPS guidance to $8-$8.10 and free cash flow guidance to $9.1 billion-$9.4 billion. Ghai cited stronger services demand, higher profits and improved cash conversion. Third-quarter adjusted EPS of $2.25 exceeded the Zacks Consensus Estimate of $2.02. Adjusted revenues of $13.29 billion topped the $12.65 billion estimate, while operating margins expanded 220 basis points to 22.5%. GE Aerospace price-consensus-eps-surprise-chart | GE Aerospace Quote Chairman and chief executive officer H. Lawrence Culp said that commercial services revenues should grow at a low-double-digit rate in 2027, backed by more than $170 billion in backlog and a growing installed engine base. A Bernstein analyst questioned whether elevated fuel prices and airline profitability pressures could undermine maintenance demand. Culp acknowledged the difficult environment but emphasized that much of next year's work is tied to flight cycles already completed. A Citi analyst asked whether exceptionally low CFM56 retirements could rebound. Culp mentioned that retirements were tracking below 2% in 2026 and could rise in 2027, while demand supported roughly 2,400 shop visits. Culp credited FLIGHT DECK practices with improving supplier output and repair throughput. Material input has grown sequentially for 10 consecutive quarters, while internal shop visit output reached another record. However, a Wolfe Research analyst pressed management about increasing spare parts delinquencies. Ghai said that services orders rose 23%, leaving demand strong enough to push unfilled orders higher despite better material availability. Culp wants to reduce delinquency even as backlog expands. He noted that faster turnaround times helped bring LEAP-related aircraft groundings to nearly zero since the summer. Responding to a Wells Fargo analyst, Ghai projected approximately $300 million in additional year-over-year GE9X losses in 2027. Higher engine shipments will more than offset expected reductions in cost per unit. He nevertheless expects company margins in 2027 to remain aligned with 2026, supported by an expected $3.5-$4 billion increase in services revenue and modest defense margin expansion. Management expects margin expansion from 2028 as GE9X pressures ease and LEAP services mature. A Jefferies analyst also questioned the GE9X certification timeline. Culp said that upgraded mid-seal engines have been delivered to Boeing since August, with certification targeted by year-end 2026, subject to Federal Aviation Administration approval. Culp described the planned acquisition of Consolidated Precision Products as a way to expand critical casting capacity and accelerate cooling and durability improvements. He stressed that the supplier would continue serving other industry customers. In defense, Ghai highlighted a five-year F414 support contract worth up to $2.9 billion and a backlog exceeding $30 billion. He expects high-single-digit Defense and Propulsion Technologies revenue growth in 2027. Culp also highlighted progress on the F143 missile engine and XA102 adaptive-cycle engine programs. The company continues investing more than $3 billion annually in research and development. Culp repeatedly centered management's priorities on safety, quality, delivery and cost, in that order. Supplier performance, shop productivity and engine durability remain important to supporting airline customers. Management's outlook hinges on converting demand into deliveries and services revenues while managing GE9X costs, fuel-price pressure and supply constraints. GE currently has a Zacks Rank #2 (Buy), reflecting a favorable earnings-estimate-revision signal for the near term. Its Value Score of D indicates weaker value characteristics, while its Growth Score of C represents a middle-range assessment of growth prospects. You can see the complete list of today's Zacks #1 Rank (Strong Buy) stocks here. The Momentum Score of F indicates unfavorable price-momentum characteristics, while the composite VGM Score of F reflects a weak combination of value, growth and momentum factors. These scores temper the favorable Rank signal. The Zacks Rank can change as analysts revise earnings estimates following the reported results. 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 Aerospace (GE) : Free Stock Analysis Report This article originally published on Zacks Investment Research (zacks.com). Zacks Investment Research

- Elon Musk's space company reported its first quarterly profit since going public in June, driven mainly by growth in its superintelligence segment. - Netflix stock tanked nearly 6% in overnight trading after its forecast disappointed markets; 3M stock closed nearly 6% up after beating Wall Street estimates and raising its full-year outlook. - Markets will now turn to earnings from Meta, Tesla, IBM and AT&T, slated to report results on Wednesday. U.S. stock futures were mixed in the overnight session late Tuesday as markets await a slew of technology company earnings this week and SpaceX posted stellar third-quarter (Q3) results. As of 10:56 p.m. EDT, Nasdaq-100 futures climbed more than 1%, and S&P 500 futures gained 0.35%. Dow futures, however, slipped about 0.01%. See what 10M+ investors are talking about. Get the Stocktwits Daily Rip for what retail is watching right now, free to your inbox On Tuesday, the three benchmark indexes closed mixed. The Nasdaq Composite closed 0.02% lower, but the Dow Jones Industrial Average added more than 500 points, closing up more than 1%. The S&P 500 climbed 0.28% at close. Index | Move | Close Dow Jones Industrial Average | 1.02% | 52,495.88 S&P 500 | 0.28% | 7,712.57 Nasdaq Composite | -0.02% | 26,424.82 Earnings from marquee names, including SpaceX (SPCX) and Netflix Inc. (NFLX) dominated the narrative on Tuesday. Elon Musk's space company reported its first quarterly profit since going public in June, driven primarily by growth in its superintelligence segment. SpaceX reported Q3 revenue of $14.58 billion, surging past estimates of $13 billion, and earnings per share of $0.35 against an expected $0.13. AI-related revenue came in at $7.56 billion, surpassing Starlink's print for the first time, partly due to the company's August acquisition of Cursor and additions to cloud service deals. Musk hinted that $1 trillion in revenue in 2028 could be on the cards, even as he downplayed a potential combination of SpaceX and Tesla (TSLA), despite creating special committees of independent directors to explore the possibility. Deepwater Asset Management's Gene Munster put the odds of a merger within two years at 95%, saying in a post on X, "The stars are lining up for Elon to fully realize his vision of $SPCX being a vertical AI company, with the odds of a $TSLA merger increasing." Energy stocks, including Bloom Energy (BE), Oklo (OKLO) and NuScale Power (SMR), among others, climbed in the overnight session after Musk said that power and cooling infrastructure were the actual constraints on growing "superintelligence" rather than semiconductors, boosting sentiment for the stocks amid the AI boom. Meanwhile, Netflix and 3M Co. (MMM) also posted quarterly prints on Tuesday. NFLX stock tanked nearly 5% overnight after its forecast disappointed markets, while MMM stock closed nearly 6% up after beating Wall Street estimates and raising its full-year outlook. Markets will now turn to earnings from Meta Platforms Inc. (META), Tesla Inc. (TSLA), International Business Machines Corp. (IBM), and AT&T, Inc. (T), which are slated to report on Wednesday. Christian Mueller-Glissmann, head of asset allocation at Goldman Sachs Research, reportedly said in a note that this earnings season could help stocks rise as the year winds down. "Near term there might be more volatility due to [AI] concerns, Middle East tensions and midterm elections, but we think earnings support with lighter positioning and lower valuations should help equities into year-end," he wrote, according to a CNBC report. Meanwhile, tensions between the U.S. and Iran remained high. U.S. Defense Secretary Pete Hegseth said the country was prepared to take more military action against Iran if President Donald Trump ordered it. U.S. Secretary of State Marco Rubio told the media that a peace deal with Iran seemed extremely difficult and that the U.S. would continue to exert economic pressure until Tehran stopped attacks on commercial ships in the Strait of Hormuz. Iranian Foreign Minister Abbas Araghchi said that the critical waterway would remain closed until the U.S. accepts Tehran's conditions, even as indirect talks between the two countries continue through Pakistan and Qatar. Oil prices soared amid the ongoing tensions. Brent crude futures were trading at $110.24 a barrel, up more than 1%, while WTI crude futures traded at $99.05 per barrel. SpaceX (SPCX): The rocket company's shares were on retail radar after its Q3 results beat Wall Street expectations. Super Micro Computer Inc. (SMCI): The technology stock rallied about 17% in overnight trading late Tuesday after it reported preliminary financial figures for the quarter ending Sept. 30 that were significantly higher than Wall Street expectations. Netflix Inc. (NFLX): The streaming giant drew retail attention after posting a bottom-line beat on its Q3 results, but a soft outlook weighed on investor sentiment. GE Aerospace (GE): The company was on the retail radar after beating third-quarter estimates and raising its 2026 outlook. Among ETFs tracking benchmark indexes, the SPDR S&P 500 ETF (SPY) and the Invesco QQQ Trust (QQQ) climbed overnight, while the SPDR Dow Jones Industrial Average ETF Trust (DIA) was flat. Meanwhile, U.S. long-dated Treasury yields continued above 5%. At the time of writing, the 10-year U.S. Treasury yield was 5.127%, and the 30-year Treasury yield was 5.439%. The iShares 20+ Year Treasury Bond ETF (TLT) was down 0.34% amid 'neutral' sentiment. Asian markets opened mixed on Wednesday, with South Korea's KOSPI and Japan's Nikkei 225 trading in the green territory at the time of writing, while China's SSE Composite and Australian stocks traded lower. For updates and corrections, email newsroom[at]stocktwits[dot]com. Aashika Suresh has no position in any of the stocks mentioned in this article. StockTwits' news team content is for informational purposes only and is not intended as investment advice. For more, see our editorial policy. This article was originally published on StockTwits. Related: - CAPR Stock on Track For Worst Month Since July AdCom Vote On Deramiocel As November FDA Decision Nears - SKYD Surges After Media Baron John Malone Predicts $8–10B SpaceX Investment - Meta Reportedly Hit With $25B Penalty in New Mexico Over Cambridge Analytica Deception

The market expects GE Vernova (GEV) to deliver a year-over-year increase in earnings on higher revenues when it reports results for the quarter ended September 2026. This widely-known consensus outlook is important in assessing the company's earnings picture, but a powerful factor that might influence its near-term stock price is how the actual results compare to these estimates. The earnings report, which is expected to be released on October 28, might help the stock move higher if these key numbers are better than expectations. On the other hand, if they miss, the stock may move lower. While the sustainability of the immediate price change and future earnings expectations will mostly depend on management's discussion of business conditions on the earnings call, it's worth handicapping the probability of a positive EPS surprise. This the energy business spun off from General Electric is expected to post quarterly earnings of $4.03 per share in its upcoming report, which represents a year-over-year change of +145.7%. Revenues are expected to be $12.1 billion, up 21.4% from the year-ago quarter. The consensus EPS estimate for the quarter has been revised 3.32% lower over the last 30 days to the current level. This is essentially a reflection of how the covering analysts have collectively reassessed their initial estimates over this period. Investors should keep in mind that an aggregate change may not always reflect the direction of estimate revisions by each of the covering analysts. Price, Consensus and EPS Surprise Estimate revisions ahead of a company's earnings release offer clues to the business conditions for the period whose results are coming out. This insight is at the core of our proprietary surprise prediction model -- the Zacks Earnings ESP (Expected Surprise Prediction). The Zacks Earnings ESP compares the Most Accurate Estimate to the Zacks Consensus Estimate for the quarter; the Most Accurate Estimate is a more recent version of the Zacks Consensus EPS estimate. The idea here is that analysts revising their estimates right before an earnings release have the latest information, which could potentially be more accurate than what they and others contributing to the consensus had predicted earlier. Thus, a positive or negative Earnings ESP reading theoretically indicates the likely deviation of the actual earnings from the consensus estimate. However, the model's predictive power is significant for positive ESP readings only. A positive Earnings ESP is a strong predictor of an earnings beat, particularly when combined with a Zacks Rank #1 (Strong Buy), 2 (Buy) or 3 (Hold). Our research shows that stocks with this combination produce a positive surprise nearly 70% of the time, and a solid Zacks Rank actually increases the predictive power of Earnings ESP. Please note that a negative Earnings ESP reading is not indicative of an earnings miss. Our research shows that it is difficult to predict an earnings beat with any degree of confidence for stocks with negative Earnings ESP readings and/or Zacks Rank of 4 (Sell) or 5 (Strong Sell). For GE Vernova, the Most Accurate Estimate is higher than the Zacks Consensus Estimate, suggesting that analysts have recently become bullish on the company's earnings prospects. This has resulted in an Earnings ESP of +5.47%. On the other hand, the stock currently carries a Zacks Rank of #3. So, this combination indicates that GE Vernova will most likely beat the consensus EPS estimate. Analysts often consider to what extent a company has been able to match consensus estimates in the past while calculating their estimates for its future earnings. So, it's worth taking a look at the surprise history for gauging its influence on the upcoming number. For the last reported quarter, it was expected that GE Vernova would post earnings of $3.17 per share when it actually produced earnings of $2.47, delivering a surprise of -22.08%. Over the last four quarters, the company has beaten consensus EPS estimates two times. An earnings beat or miss may not be the sole basis for a stock moving higher or lower. Many stocks end up losing ground despite an earnings beat due to other factors that disappoint investors. Similarly, unforeseen catalysts help a number of stocks gain despite an earnings miss. That said, betting on stocks that are expected to beat earnings expectations does increase the odds of success. This is why it's worth checking a company's Earnings ESP and Zacks Rank ahead of its quarterly release. Make sure to utilize our Earnings ESP Filter to uncover the best stocks to buy or sell before they've reported. GE Vernova appears a compelling earnings-beat candidate. However, investors should pay attention to other factors too for betting on this stock or staying away from it ahead of its earnings release. Among the stocks in the Zacks Alternative Energy - Other industry, GE Vernova (GEV), is soon expected to post earnings of $4.03 per share for the quarter ended September 2026. This estimate indicates a year-over-year change of +145.7%. This quarter's revenue is expected to be $12.1 billion, up 21.4% from the year-ago quarter. The consensus EPS estimate for GE Vernova has been revised 3.3% lower over the last 30 days to the current level. However, a higher Most Accurate Estimate has resulted in an Earnings ESP of +5.47%. When combined with a Zacks Rank of #3 (Hold), this Earnings ESP indicates that GE Vernova will most likely beat the consensus EPS estimate. Over the last four quarters, the company surpassed consensus EPS estimates two times. Stay on top of upcoming earnings announcements with the Zacks Earnings Calendar. 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 Vernova Inc. (GEV) : Free Stock Analysis Report This article originally published on Zacks Investment Research (zacks.com). Zacks Investment Research

NEW YORK, Oct. 21, 2026 /PRNewswire/ -- Equity Insider News Commentary - Three of the largest names in U.S. aerospace and defense reported third-quarter results on Tuesday, and all three raised their full-year guidance. Two of them reported record backlogs, including a $340 billion order book at one contractor that counts $164 billion of defense work. The reports open a busy stretch for the sector, with two more major contractors scheduled to report over the next eight days, and they land against a backdrop of rising defense commitments from NATO allies and a record U.S. budget request, even as Washington operates on a stopgap funding bill. Active Companies from around the markets with current developments this week include: RTX Corporation (NYSE: RTX), Northrop Grumman Corporation (NYSE: NOC), GE Aerospace (NYSE: GE), Lockheed Martin Corporation (NYSE: LMT), L3Harris Technologies, Inc. (NYSE: LHX). The spending story starts with the targets governments have set. At the 2025 NATO Summit in The Hague, Allies committed to investing 5% of GDP annually on defence by 2035, with at least 3.5% of GDP going to core defence requirements. In Washington, the president's fiscal year 2027 budget request came in at $1.5 trillion, which the Pentagon described in April as the largest request in history, and it seeks funding to expand production capacity and build stockpiles for Patriot, Terminal High Altitude Area Defense and precision strike missiles, among other weapons. A request is not an appropriation. For now, the government is funded by a continuing resolution signed on September 2 that runs through December 11, and according to the Congressional Research Service, the measure bars the Department of Defense from using that funding to accelerate production rates above those sustained with fiscal year 2026 funds. That puts more weight on the contracts companies already hold, and on the backlogs those contracts build, as this earnings season unfolds. Investors did not treat Tuesday's three reports the same way. Northrop Grumman shares rose 4.57% to $534.00 and RTX gained 0.64% to $193.34, while GE Aerospace fell 3.67% to $299.87 even after raising its guidance, according to Stock Analysis data. A raised forecast does not guarantee a higher share price, and the chart can show how investors are leaning before the next headline lands. Readers who want to learn to read those signals can get the free Knowledge is Power guide from Stock Preachers at equity-insider.com/. In other industry developments and happenings in the market this week include: RTX Corporation (NYSE: RTX) RTX reported third-quarter sales of $25.0 billion, up 11% from a year earlier and up 12% organically, and adjusted EPS of $2.26, up 33%, a figure that includes $0.25 from IEEPA cost recovery. Its backlog reached $340 billion, including $164 billion of defense, and during the quarter it was awarded Tomahawk and AMRAAM multi-year undefinitized production contracts. RTX raised its 2026 outlook for adjusted sales to $97.0 billion to $97.5 billion, up from $95.0 billion to $96.0 billion, and for adjusted EPS to $7.65 to $7.75, up from $7.10 to $7.25. "Demand for our products remains robust with over $81 billion of new commercial and defense awards, resulting in a record backlog of $340 billion," said RTX Chairman and CEO Chris Calio. Northrop Grumman Corporation (NYSE: NOC) Northrop Grumman reported third-quarter sales of $11.1 billion, up 7%, and diluted EPS of $7.89. Net awards totaled $16.4 billion for a book-to-bill ratio of 1.5x, and backlog totaled $109.6 billion. The company raised its 2026 guidance for MTM-adjusted EPS to $29.35 to $29.75, from $28.60 to $29.10, and for segment operating income to $4.94 billion to $5.04 billion, from $4.85 billion to $5.00 billion. "In a complex world with the growing need for solutions that scale and perform, our customers continue to turn to Northrop Grumman, and we are delivering with urgency and innovation," said Kathy Warden, chair, chief executive officer and president of Northrop Grumman. GE Aerospace (NYSE: GE) GE Aerospace reported third-quarter total orders of $19.0 billion, up 49%, adjusted revenue of $13.3 billion, up 18%, and adjusted EPS of $2.25, up 36%. Its Defense & Propulsion Technologies segment booked orders of $4.3 billion, up 18%, on revenue of $3.5 billion, up 7%, and signed a contract worth up to $2.9 billion to provide ongoing support for the F414 engines powering the U.S. Navy's F/A-18 and EA-18G fleets. The company raised its 2026 guidance for adjusted EPS to $8.00 to $8.10, from $7.65 to $7.85, and for free cash flow to $9.1 billion to $9.4 billion, from $8.9 billion to $9.2 billion. "We delivered strong results this quarter as solid demand drove orders up 49%, with strength in commercial services up 23%, total revenue up 18% and EPS up 36%," said GE Aerospace Chairman and CEO H. Lawrence Culp, Jr. Lockheed Martin Corporation (NYSE: LMT) Lockheed Martin will publish its third-quarter results before the market opens on Thursday, October 22, followed by a webcast at 8:30 a.m. ET. In its second-quarter report in July, the company posted a record backlog of $230 billion, inclusive of the multi-year contract to produce THAAD interceptors, and raised its 2026 outlook for sales to approximately $79.75 billion to $81.75 billion, from $77.5 billion to $80.0 billion, and for diluted EPS to approximately $29.95 to $30.65, from $29.35 to $30.25. "We are delivering on our strategy, achieving a higher trajectory for our business and giving us confidence to raise our full year financial guidance," Lockheed Martin Chairman, President and CEO Jim Taiclet said in July. L3Harris Technologies, Inc. (NYSE: LHX) L3Harris will release its third-quarter results before the market opens on Thursday, October 29, with an earnings call at 10:30 a.m. ET. In its second-quarter report in July, the company posted orders of $7.3 billion and a book-to-bill of 1.2x that increased backlog to a record $42 billion, and it raised its 2026 guidance for revenue to $23.2 billion to $23.7 billion, from $23 billion to $23.5 billion, and for EPS to $11.80 to $12.00, from $11.40 to $11.60. "Our purpose-built portfolio and focus on execution drove outstanding second quarter results," said Christopher Kubasik, Chairman and CEO of L3Harris, in July. Defense stocks moved in both directions on Tuesday's reports, and two more contractors are still to come. Learn to read the setups behind moves like these with the free Stock Preachers guide, plus The Roadmap market reports, at equity-insider.com/. Contact Information: equity-insider.com Media Contact: [email protected] DISCLAIMER: Nothing in this publication should be considered as personalized financial advice. We are not licensed under securities laws to address your particular financial situation. No communication by our employees to you should be deemed as personalized financial advice. Please consult a licensed financial advisor before making any investment decision. This is not a paid advertisement and is neither an offer nor recommendation to buy or sell any security. We hold no investment licenses and are thus neither licensed nor qualified to provide investment advice. The content in this report or email is not provided to any individual with a view toward their individual circumstances. This article is independent news commentary. Equity Insider is wholly owned and operated by Market Equities Limited ("MEL"), a company incorporated under the laws of Ireland. 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- Price change for GE Aerospace stock in last 6 months: 5% - $GE Stock Price as of Oct. 20: $300 - 52-Week High: $389 - $GE Stock Price Target: $391 __Now Live: Discover how much upside your favorite stocks could have using TIKR's new Valuation Model (It's free)__>>> GE Aerospace (GE:NYSE) shares fell about 4% on Tuesday, even after a strong Q3. - Adjusted earnings came in at $2.25 per share, well above the $2.02 Wall Street expected. - The business is growing fast, and total revenue rose 18% and came in at $13.29 billion against expectations of $12.88 billion - Operating profit jumped 30%, and margins hit 22.5%, up 220 basis points. - Orders surged 49%, and free cash flow topped $2 billion. Commercial engines and services led the way as revenue in the unit rose 21% to $10.34 billion, while spare parts revenue grew more than 20%. The company also raised its 2026 earnings forecast for the second time this year. It now expects $8.00 to $8.10 per share, up from $7.65 to $7.85, above the $7.92 analysts expected. So why did GE Aerospace stock drop? The new forecast points to a softer Q4. It implies earnings of about $1.87 to $1.97 per share, below the $2.04 analysts expected. TD Cowen said that works out to about 6% below Wall Street estimates for earnings per share. Costs are also on investors' minds. GE expects an extra $300 million profit headwind in 2027, which comes from ramping up GE9X engines for Boeing's delayed 777X. See analysts' growth forecasts and price targets for GE Aerospace stock (It's free) >>> Investors are looking past the big Q3 beat and focusing on what comes next. The weaker Q4 outlook and higher 2027 costs are weighing on GE Aerospace stock today. Higher fuel prices are another worry. Airlines are cutting costs and capacity after the Iran war disrupted oil shipping routes, while fewer flights could eventually mean less demand for repairs and spare parts. But the demand picture still looks solid for now. Airlines are holding on to their aircraft and engines waiting for repairs are up 20% since the start of the year. GE also has a backlog of more than $170 billion and expects commercial services revenue to grow at a low-double-digit pace in 2027. In short, the market sees the quarter as strong but the near-term path as bumpier. Investors will watch whether fuel costs start to cut into flying and repair demand. For now, GE Aerospace stock is reacting to the outlook rather than the results. *__Estimate a company's fair value instantly (Free with TIKR) >>>__* TIKR lets you forecast the future price of any stock in less than a minute. Just enter a few assumptions into TIKR's valuation model and see what GE stock could be worth. Start from Wall Street consensus estimates, or adjust the inputs to reflect your own view of the business. It's free to use. Value GE Aerospace for free→

GE Aerospace GE) delivered record Q3 results on Tuesday, as strong commercial engine demand and robust aftermarket services fueled double-digit revenue and earnings growth. The aerospace giant also raised its full-year guidance across the board, highlighting continued strength in commercial aviation and defense spending. That said, GE shares came under pressure following the report as investors weighed the company's premium valuation and concerns about the sustainability of its growth. With GE Aerospace benefiting from a robust order backlog and improving profitability, let's examine whether the post-earnings pullback presents an attractive buying opportunity. Image Source: Zacks Investment Research GE Aerospace reported record adjusted Q3 earnings of $2.25 per share, climbing nearly 36% year over year and topping the Zacks Consensus Estimate of $2.02 by more than 11%. Quarterly adjusted revenue increased 18% to a peak of $13.29 billion, comfortably exceeding expectations of $12.65 billion by 5%. GAAP revenue rose 16% to $14.12 billion. More encouraging, total orders surged 49% to $18.99 billion, reflecting exceptionally strong demand for commercial engines and services. Meanwhile, adjusted operating profit jumped 30% to $3 billion, with operating margins expanding 220 basis points to 22.5%. However, free cash flow declined 14% to $2 billion. Still, it's noteworthy that GE Aerospace has now exceeded sales estimates for eight straight quarters and beaten earnings expectations for 16 consecutive quarters, posting an average EPS surprise of 11.13% over its last four reports. Image Source: Zacks Investment Research GE Aerospace's Commercial Engines & Services (CES) division remained its primary growth driver, with revenue increasing 21% to $10.34 billion. Commercial services revenue rose 17%, supported by stronger maintenance activity, with LEAP engine-related shop visits continuing to accelerate. Notably, GE's engine business benefits from its relationship with Boeing BA) and Airbus EADSY), as its CFM International joint venture with Safran supplies LEAP engines for popular narrowbody aircraft, including the Boeing 737 MAX and Airbus A320neo families. GE also secured substantial new engine commitments during the Farnborough International Airshow this summer, including a landmark agreement with Indian airline IndiGo covering more than 1,000 LEAP-1A engines. Plus, GE's Defense & Propulsion Technologies business benefited from solid demand, with segment orders increasing 18% to $4.27 billion. Management's increased full-year guidance provided further evidence of GE's strong underlying earnings momentum. GE now expects adjusted revenue growth of 19%-20% in 2026, compared with its previous high-teens forecast. More importantly, adjusted EPS guidance increased to $8.00-$8.10, up from the previous projection of $7.65-$7.85 and ahead of Wall Street's forecast of $7.91 (Current Qtr below). At the midpoint, this implies approximately 26% earnings growth from 2025's adjusted EPS of $6.37. Image Source: Zacks Investment Research GE also raised its adjusted operating profit forecast to $10.9-$11 billion and increased its expected free cash flow to $9.1-$9.4 billion. Looking ahead to 2027, management anticipates low-double-digit commercial services growth, supported by a commercial services backlog exceeding $170 billion. This provides meaningful revenue visibility as GE continues to benefit from an expanding global aircraft fleet, increasing engine utilization, and long-term maintenance requirements. Despite its impressive operating performance, GE Aerospace stock has struggled to maintain momentum in 2026 and is now down roughly 3% year-to-date. This has noticeably trailed the broader market's 12% gain, although the Zacks Aerospace-Defense Market has experienced a steeper decline of -13%. The stagnant YTD performance reflects concerns about supply-chain constraints, higher costs, and potentially slowing commercial aftermarket growth. Even so, GE shares are still sitting on gains of nearly 180% in the last three years, which has impressively outpaced the benchmark S&P 500's 89% and the Aerospace-Defense Market's 23%. Image Source: Zacks Investment Research At current levels, GE trades at over 35X forward earnings, representing a notable premium to the S&P 500 and the Zacks Aerospace-Defense industry's average of 23X. Although GE's strong commercial engine growth and expanding aftermarket services business help justify its elevated valuation, the premium leaves less room for any operational missteps. Image Source: Zacks Investment Research GE Aerospace's record Q3 results, raised guidance, and substantial order growth reinforce its position as a leading commercial aircraft engine manufacturer. While near-term supply-chain challenges and a premium valuation remain concerns, the stock's recent pullback presents a potentially attractive entry point for long-term investors looking to capitalize on sustained commercial aviation demand and increasing aftermarket services revenue. Keeping that in mind, GE stock currently sports a Zacks Rank #2 (Buy), reflecting favorable earnings estimate revisions that could continue following its strong Q3 report. 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 Aerospace (GE) : Free Stock Analysis Report The Boeing Company (BA) : Free Stock Analysis Report Airbus SE - Unsponsored ADR (EADSY) : Free Stock Analysis Report This article originally published on Zacks Investment Research (zacks.com). Zacks Investment Research

This article first appeared on GuruFocus. - Total Revenue: Up 18% year-over-year in Q3 2026; year-to-date revenue up 23%. - Orders: Up 49% in Q3; CES orders up 58%, DPT orders up 18%; year-to-date orders up 49%. - Operating Profit: $3 billion, up 30%; year-to-date operating profit growth of $1.5 billion, or 22%. - Operating Margin: 22.5%, up 220 basis points year-over-year. - EPS: $2.25, up 36%; year-to-date EPS growth of 28%. - Free Cash Flow: $2 billion in Q3; year-to-date $6.7 billion, up 13%, with 105% conversion. - CES Revenue: Up 21% (sixth consecutive quarter of at least 20% growth); services up 17%, internal shop visit revenue up 12%, spare parts up over 20%, equipment revenue up 38%. - CES Profit: $2.9 billion, up 21%; margins of 27.9%. - CES Engine Deliveries: Up 8%, including LEAP up 5%; widebody deliveries up over 50%, GEnx shipments nearly doubled. - DPT Revenue: Up 7%; defense and systems up 5%, propulsion and additive technologies up 10%. - DPT Profit: Up 8%; margins up 20 basis points to 13.7%. - DPT Orders/Backlog: Orders up 18%; defense book-to-bill of 1.0 in the quarter and 1.5 year-to-date; backlog over $30 billion, up over $5 billion since start of year. - Total Backlog: Over $170 billion. - Corporate Costs: Lower by about $160 million from timing of accruals and cost management initiatives. - Tax Rate: Roughly flat at around 15% in Q3; full-year outlook of around 16%. - R&D and CapEx: Over $3 billion in annual R&D over $1 billion in CapEx. - 2026 Revenue Guidance: Raised to 19%20% growth (from high teens); CES low 20s, DPT low double-digits. - 2026 Operating Profit Guidance: Raised to $10.9 billion$11 billion; CES $10.5 billion$10.6 billion; DPT $1.6 billion$1.7 billion. - 2026 EPS Guidance: Raised to $8.00$8.10, up $0.30 at the midpoint. - 2026 Free Cash Flow Guidance: Raised to $9.1 billion$9.4 billion, up $200 million, reflecting above 100% conversion. - Warning! GuruFocus has detected 3 Warning Sign with GE. - Is GE fairly valued? Test your thesis with our free DCF calculator. Release Date: October 20, 2026 For the complete transcript of the earnings call, please refer to the full earnings call transcript. - Orders surged 49% with Commercial Engines and Services (CES) up 58%, indicating strong demand across the business. - Revenue grew 18% with CES up 21% and Defense and Propulsion Technologies (DPT) up 7%, driving operating profit up 30% and EPS up 36%. - Free cash flow exceeded $2 billion in the quarter, with year-to-date conversion at 105%, reflecting strong cash generation. - Backlog exceeds $170 billion, providing significant visibility and supporting expectations for low double-digit services growth in 2027. - FLIGHT DECK initiatives drove operational improvements, including reduced LEAP engine turnaround time by two weeks and nearly zero LEAP AOGs. - Spare parts delinquency increased sequentially despite improved material availability, indicating ongoing supply chain challenges. - CFM56 retirement rates are trending lower than expected, which may delay aftermarket growth and impact long-term service revenue. - GE9X certification timing remains uncertain, with FAA approval not expected until end of 2026, creating potential headwinds. - Inflation partially offset margin gains, and pricing pressures may persist in a dynamic macroeconomic environment. - LEAP shop visit revenue per visit is only half that of CFM56, limiting near-term aftermarket profitability as the fleet matures. Q: With fuel prices elevated and airline profitability under pressure, how does GE Aerospace view the next couple of years for its services business? A: CEO Larry Culp acknowledged the environment is dynamic but emphasized GE's close relationship with airlines and its operational supportLEAP AOGs are near zero, turnaround times are improving, and departures grew 1% in Q3 with widebody strength. He noted shop parking lots are up 20% year-to-date, removal rates are steady, and parked aircraft/retirements declined sequentially, signaling airlines are preparing for recovery. Combined with a growing installed base (LEAP and NX roughly doubling over five years), work scope expansion, pricing, and a $170+ billion backlog, Culp expressed confidence in low double-digit services growth in 2027, though he remains mindful of headline pressures. Q: Can you characterize internal shop visit revenue growth in the widebody portfolio this quarter, and was anything specific holding back stronger growth? A: CFO Rahul Ghai said widebody shop visit demand remains very strong, with single-digit retirements all year for GE90 and NX, strong departures, and growing work scopesespecially GE90 transitioning from first to second shop visits (70% of the fleet hasn't had a second visit) and NX moving from quick turns to first shop visits. Overall shop visit revenue growth was partly offset by customer mix skewing toward long-term service agreements versus time-and-material contracts, and by LEAP's early-stage fleet (though LEAP volume was up 40%). Widebody specifically performed very well. Q: CES service orders didn't decline sequentially despite delinquency build and macro concernsshould we expect delinquencies to play a role, and does your 2027 low double-digit outlook assume a burndown? A: Ghai noted CES orders rose 23% year-over-year (accelerating from 22% in Q2) and grew sequentially, with spare parts growing faster than total services across CFM56 and LEAP. About 95% of Q4 revenue is in backlog, supporting a ~$0.5 billion raise to the full-year services guide, mostly from incremental spare parts. Delinquency rose slightly despite better material availability due to strong demand. Culp added that operationally the team aims to bring delinquency down while growing backlog to meet customer lead-time expectations, and he's hopeful progress continues into 2027. Q: On widebody equipment, did Q3 benefit from GE9X timing around mid-seal certification, and where is the GEnx production ramp relative to Boeing's 787 deliveries? A: Culp said GE has delivered GE9X engines with the upgraded mid-seal to Boeing since August and is targeting FAA certification by end-2026, with over 1,300 engines on order and strong airline enthusiasm for the 777X. Ghai said GEnx deliveries more than doubled year-over-year (up over 60% year-to-date), with more than 50 engines delivered to Boeing in the quarter and monthly improvement through July-September. Boeing has 30+ ship sets on and off wing, and engine inventory has grown as engine deliveries outpaced aircraft deliveries; GE is confident in supporting Boeing's path to rate 10. Q: Order growth this year significantly outpaces the 2027 sales outlookhow should investors think about the relationship between orders and sales, including shop visits? A: Ghai explained that much of the order growth is CFM56 far-term sales, with retirements now expected at 1.5%-2% versus 2%-3% earlier and 3%-4% originally. Shop visits for next year are trending toward the higher end (~2,400), LEAP spare parts revenue continues growing, and orders typically convert to revenue in six to nine monthsthough conversion has lengthened amid supply chain constraints. Services orders (+30% YTD) and revenue (+26% YTD) are converging. With a $170+ billion backlog, most first-half 2027 engines already in the shop, and removals expected up more than 10% year-over-year, GE raised its 2027 outlook to low double-digit growth. Q: Are you seeing changes in customer behaviormore price sensitivity or lower work scopesfor incremental engines beyond the backlog given high oil prices? A: Culp pointed to indicators beyond reported backlog: a strong spare parts order book, steady engine parking lots awaiting induction, and sequentially lower parked aircraft and retirements in Q3suggesting airlines are navigating short-term pressures while preparing for a more stable environment, a lesson from COVID. Ghai added that widebody work scopes are increasing given few retirements and long expected fleet lives; CFM56 work scopes are driven by life-limited parts with little change; and LEAP work scopes will grow as the fleet matures (LEAP shop visit revenue per visit is about half CFM56's). Overall, work scopes are expected to increase next year on both narrowbody and widebody. Q: CFM56 retirement rates have come in well below prior expectationshow do you think about retirements from here, and can they snap back quickly? A: Culp noted CFM56 remains a young fleettwo-thirds haven't seen a second shop visitand historically ~85% of near-term volume comes from engines under 20 years old, while retirements typically kick in beyond 20 years. Retirements are trending below the ~2% expected this year, and GE prudently assumes a step-up in 2027, yet it still raised CFM56 shop visit expectations to ~2,400. Ghai added that POWERGEN offers both a potential technical solution and at minimum spare parts sales, creating an incremental CFM56 revenue stream not factored into prior 2028 guidance. Q: Can you walk through the puts and takes for 2027 margins, including the GE9X ramp and DPT growth? A: Culp said GE will provide fuller 2027 guidance in January, noting the company will exceed its 2028 cash outlook in 2026 and come close to its 2028 profit outlook this year. Ghai said low double-digit services growth implies ~$3.5-$4 billion of revenue growth with services margins roughly flat (LEAP growth offset by other product lines), DPT high single-digit growth with slight margin expansion, and OE growing faster than services. GE9X losses represent about a $300 million year-over-year headwind in 2027 as volume grows but unit costs decline. Overall, 2027 margins should hold in line with 2026, with expansion expected in 2028 and beyond as the For the complete transcript of the earnings call, please refer to the full earnings call transcript.

GE Aerospace (GE) came out with quarterly earnings of $2.25 per share, beating the Zacks Consensus Estimate of $2.02 per share. This compares to earnings of $1.66 per share a year ago. These figures are adjusted for non-recurring items. This quarterly report represents an earnings surprise of +11.39%. A quarter ago, it was expected that this industrial conglomerate would post earnings of $1.86 per share when it actually produced earnings of $2.02, delivering a surprise of +8.6%. Over the last four quarters, the company has surpassed consensus EPS estimates four times. GE, which belongs to the Zacks Aerospace - Defense industry, posted revenues of $13.29 billion for the quarter ended September 2026, surpassing the Zacks Consensus Estimate by 4.99%. This compares to year-ago revenues of $11.31 billion. The company has topped consensus revenue estimates four times over the last four quarters. The sustainability of the stock's immediate price movement based on the recently-released numbers and future earnings expectations will mostly depend on management's commentary on the earnings call. GE shares have added about 1.1% since the beginning of the year versus the S&P 500's gain of 12.4%. While GE has underperformed the market so far this year, the question that comes to investors' minds is: what's next for the stock? There are no easy answers to this key question, but one reliable measure that can help investors address this is the company's earnings outlook. Not only does this include current consensus earnings expectations for the coming quarter(s), but also how these expectations have changed lately. Empirical research shows a strong correlation between near-term stock movements and trends in earnings estimate revisions. Investors can track such revisions by themselves or rely on a tried-and-tested rating tool like the Zacks Rank, which has an impressive track record of harnessing the power of earnings estimate revisions. Ahead of this earnings release, the estimate revisions trend for GE was favorable. While the magnitude and direction of estimate revisions could change following the company's just-released earnings report, the current status translates into a Zacks Rank #2 (Buy) for the stock. So, the shares are expected to outperform the market in the near future. You can see the complete list of today's Zacks #1 Rank (Strong Buy) stocks here. It will be interesting to see how estimates for the coming quarters and the current fiscal year change in the days ahead. The current consensus EPS estimate is $2.02 on $13.42 billion in revenues for the coming quarter and $7.91 on $50.66 billion in revenues for the current fiscal year. Investors should be mindful of the fact that the outlook for the industry can have a material impact on the performance of the stock as well. In terms of the Zacks Industry Rank, Aerospace - Defense is currently in the top 36% of the 250 plus Zacks industries. Our research shows that the top 50% of the Zacks-ranked industries outperform the bottom 50% by a factor of more than 2 to 1. Another stock from the same industry, Draganfly Inc. (DPRO), has yet to report results for the quarter ended September 2026. This company is expected to post quarterly loss of $0.19 per share in its upcoming report, which represents a year-over-year change of -5.6%. The consensus EPS estimate for the quarter has remained unchanged over the last 30 days. Draganfly Inc.'s revenues are expected to be $3.16 million, up 101.3% from the year-ago quarter. 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 Aerospace (GE) : Free Stock Analysis Report Draganfly Inc. (DPRO) : Free Stock Analysis Report This article originally published on Zacks Investment Research (zacks.com). Zacks Investment Research