WCM Investment Management LLC has reduced its stake in GE Aerospace (NYSE:GE) by 1.4% during the third quarter of 2023. According to a recent filing with the Securities and Exchange Commission (SEC), the firm now holds 2,354,225 shares after selling 34,427 shares. This adjustment signifies that GE Aerospace comprises approximately 1.4% of WCM’s investment portfolio, ranking as its 26th largest holding. As of the latest filing, WCM’s stake in GE Aerospace is valued at around $691.3 million.
A number of institutional investors have also made significant moves regarding their positions in GE Aerospace. Notably, Norges Bank acquired a new stake in the company during the second quarter, investing approximately $3.41 billion. Jennison Associates LLC increased its holdings by 21.5% in the third quarter, bringing their total to 8,430,878 shares valued at $2.54 billion after purchasing an additional 1,494,541 shares.
Vanguard Group Inc. also saw a slight increase, lifting its holdings by 1.6% in the second quarter, now owning 91,989,511 shares worth approximately $23.68 billion. Lazard Asset Management LLC made a remarkable increase of 4,253.7%, acquiring 796,422 shares valued at about $205 million. Geode Capital Management LLC grew its position by 3.1%, now holding 24,113,967 shares valued at approximately $6.18 billion. Overall, institutional investors currently own around 74.77% of GE Aerospace’s stock.
Recent Performance and Market Position
On Tuesday, GE Aerospace shares opened at $308.93, contributing to a market capitalization of $325.86 billion. The company holds a price-to-earnings (P/E) ratio of 37.95 and a beta of 1.40. Financial metrics reveal a one-year low of $159.36 and a high of $332.79. The firm’s 50-day simple moving average stands at $305.67, while the 200-day average is $294.43.
In its most recent earnings report released on January 22, 2023, GE Aerospace announced earnings per share (EPS) of $1.57, surpassing analysts’ expectations of $1.43 by $0.14. The company reported a net margin of 18.98% and a return on equity of 35.52%. Revenue for the quarter reached $11.90 billion, considerably higher than the anticipated $11.27 billion. This performance represents a year-over-year revenue increase of 17.6%.
Additionally, GE Aerospace has set its fiscal year 2026 guidance at $7.10 to $7.40 EPS, with analysts forecasting an EPS of $5.40 for the current fiscal year.
Dividend and Analyst Ratings
The company recently announced a quarterly dividend of $0.36, paid on January 26, 2023, to stockholders of record on December 29, 2022. This equates to an annualized dividend of $1.44 and a yield of 0.5%. The current dividend payout ratio stands at 17.69%.
Recent analyst reports reflect mixed sentiments regarding GE Aerospace. BNP Paribas Exane downgraded its price target from $305.00 to $290.00, assigning an “underperform” rating. Conversely, JPMorgan Chase & Co. raised its price target from $325.00 to $335.00, maintaining an “overweight” rating. Citigroup reiterated a “buy” rating, adjusting their target price to $380.00, while Sanford C. Bernstein reaffirmed an “outperform” rating.
Currently, one analyst has issued a Strong Buy rating, sixteen have given a Buy rating, one has rated it as Hold, and one has classified it as a Sell. The consensus rating reflects a “Moderate Buy” with an average target price of $319.00.
In insider trading, Senior Vice President Russell Stokes sold 8,000 shares on November 19, 2022, at an average price of $297.71, totaling $2.38 million. Following the sale, Stokes retains 150,434 shares valued at approximately $44.79 million.
Overall, GE Aerospace continues to navigate a dynamic market landscape, with a robust institutional backing and a focus on long-term growth.
