GE Vernova Inc. GEV is expected to report third-quarter 2026 results on Oct. 28, before market open.
The Zacks Consensus Estimate for earnings is pegged at $4.03 per share, indicating year-over-year growth of 145.73%. The Zacks Consensus Estimate for revenues is pinned at $12.1 billion, indicating an increase of 21.4% from the year-ago reported figure.
Image Source: Zacks Investment Research
GEV’s Earnings Surprise History
The company beat on earnings in two of the trailing four quarters and missed in the other two, delivering an average surprise of 74.03%.
Image Source: Zacks Investment Research
What Our Quantitative Model Predicts
Our proven model predicts an earnings beat for GE Vernova this time around. The combination of a positive Earnings ESP and a Zacks Rank #1 (Strong Buy), 2 (Buy) or 3 (Hold) increases the odds of an earnings beat, which is the case here as you will see below.
Earnings ESP: The company’s Earnings ESP is +5.47%. You can uncover the best stocks to buy or sell before they’re reported with our Earnings ESP Filter.
Zacks Rank: Currently, the company carries a Zacks Rank #3. You can see the complete list of today's Zacks #1 Rank stocks here.
Other Stocks Worth a Look
Some other stocks in the same industry that have the combination of factors indicating an earnings beat are Ormat Technologies ORA and Sempra SRE. Ormat Technologies and Sempra have an Earnings ESP of +29.41% and +2.25%, respectively. Both Ormat Technologies and Sempra hold a Zacks Rank #3 at present.
Factors That Might Have Impacted GEV’s Q3 Performance
GE Vernova is well positioned to benefit from rising electricity consumption, increasing data-center capacity, and investments in power infrastructure. In the second quarter of 2026, the company’s backlog increased $13 billion sequentially to $176 billion, providing substantial revenue visibility for future quarters.
Gas Power equipment backlog and slot reservation agreements also increased to 116 GW, with management targeting at least 125 GW by year-end 2026. For the third quarter, the company’s planned annualized gas turbine output run rate of 20 GW represents an important opportunity to convert strong demand into revenues and support further backlog growth.
Electrification remains a key growth driver as data centers require additional electricity capacity, reliable power distribution, and stronger transmission infrastructure. Sustained demand for transformers, switchgear and grid equipment likely supported third-quarter order activity, while strengthening prospects for revenue growth.
On Aug. 26, 2026, GE Vernova announced its new GL316c 420 kV, 63 kA circuit breaker, which uses a carbon dioxide and oxygen gas mixture instead of sulfur hexafluoride (SF???). The product expands the company’s GRiDEA portfolio and provides utilities with an alternative designed to meet demanding high-voltage transmission requirements while reducing reliance on SF???, a potent greenhouse gas. The launch strengthens GE Vernova’s offering in grid modernization and lower-emission electrical equipment, potentially creating additional commercial opportunities as transmission operators upgrade infrastructure.
GE Vernova’s Wind segment remains a potential drag on its overall performance, particularly because the U.S. market for new onshore wind equipment remains soft. Although the company reported improving profitability in its onshore wind services business, weaker demand for new equipment could limit order growth and weigh on segment performance during the quarter. Management was also monitoring the impact of Section 232 tariffs on wind development, which could affect project economics and delay purchasing decisions. Consequently, the improvement in services may not fully offset weakness in new turbine equipment demand. For the third quarter of 2026, management expects Wind revenues to decline at a low-double-digit rate year over year, primarily due to lower Onshore equipment deliveries.
GEV Stock Price Performance
In the past three months, the stock has lost 18.2% compared with the industry’s decline of 13.9%.
Image Source: Zacks Investment Research
GEV Stock Trading at a Premium
GE Vernova is currently trading at a premium compared to its industry on a forward 12-month P/E basis.
Image Source: Zacks Investment Research
GEV Stock Returns Higher Than Its Industry
The company’s trailing 12-month return on equity (ROE) of 42.42% is higher than the industry average of 8.28%. ROE, a profitability measure, reflects how effectively a company utilizes its shareholders’ funds to generate income.
Image Source: Zacks Investment Research
Investment Thesis
GE Vernova has a balanced investment profile. Demand is supported by a broad electricity cycle tied to grid upgrades, electrification, data centers, reliability and energy security, giving the company better revenue visibility than a typical equipment supplier.
Trade policies and tariffs remain risks for GE Vernova because its operations depend on international manufacturing, global supply chains and customers making long-term infrastructure investment decisions. The company specifically highlighted tariff uncertainty affecting wind development, while its regulatory and risk disclosures identify tariffs and product costs as factors that could influence future performance.
End Note
GE Vernova could have benefited from rising electricity demand, data-center expansion, grid investments, and growing demand for gas turbines and advanced electrical equipment. However, weak U.S. onshore wind demand and tariff uncertainty could have delayed projects and weighed on its Wind segment.
Investors already holding the stock may continue to do so and benefit from earnings growth and strong ROE. However, given its premium valuation, new investors may prefer to wait for a more attractive entry point.
Zacks' Research Chief Names "Stock Most Likely to Double"
Our team of experts has just released the 5 stocks with the greatest probability of gaining +100% or more in the coming months. Of those 5, Director of Research Sheraz Mian highlights the one stock set to climb highest.
Of course, all our elite picks aren't winners, but this one could far surpass earlier Zacks' Stocks Set to Double like D-Wave Quantum, which shot up +680.1%.
Free: See Our Top Stock And 4 Runners UpWant 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
Sempra (SRE): Free Stock Analysis Report
Ormat Technologies, Inc. (ORA): Free Stock Analysis Report
This article originally published on Zacks Investment Research (zacks.com).