Erste Initiates Buy on GE Vernova; Analysts Set $800 Target and Highlight $150B Backlog
Erste Group initiated coverage of GE Vernova with a Buy rating following its latest earnings, demand acceleration, Prolec acquisition tailwinds and electrification margins. RBC lifted the price target to $800 and Baird upgraded to Outperform, citing a $150 billion backlog for turbines and grid equipment driven by AI demand growth.
1. Analyst Coverage and Ratings
Erste Group initiated coverage on GE Vernova, assigning a Buy rating based on the company’s latest quarterly earnings performance, accelerating demand trends, benefits from the Prolec acquisition and strong electrification margins. Earlier, RBC Capital raised its price target from $761 to $800 and maintained an Outperform stance, while Baird upgraded to Outperform on expectations of an energy infrastructure upcycle and resilient capacity dynamics.
2. Backlog and AI Electricity Demand
GE Vernova holds a $150 billion backlog for turbines and grid equipment, positioning it to capitalize on surging electricity demand driven by AI and data center growth. The backlog reflects multi-year power generation equipment contracts that underpin near-term revenue visibility and support margin expansion in an upcycle scenario.