New York, Jan 26, 2026, 12:05 p.m. (ET) — Regular session
- Shares of GE Aerospace traded near $294 by midday, after a choppy opening to the session.
- JPMorgan raised its price target for GE Aerospace to $335, keeping an “overweight” rating in place.
- Traders are zeroed in on tariff risks, waiting for Boeing’s next update on 737 production plans.
Shares of GE Aerospace (NYSE:GE) nudged up 0.04% to $294.00 on Monday, with the stock swinging between $290.67 and $298.72. JPMorgan raised its price target to $335 from $325 and kept its “overweight” rating, betting the shares will outperform. (MarketScreener)
The stock remains off balance after plunging post-earnings last week. Investors reacted strongly to guidance that leaves little wiggle room. GE projects adjusted profit in 2026 between $7.10 and $7.40 per share, with low double-digit growth in adjusted revenue. This growth hinges on demand for higher-margin parts and services. The company also posted a fourth-quarter adjusted profit of $1.57 per share on $11.87 billion in adjusted revenue. (Reuters)
Tariffs continue to weigh heavily, with executives debating just how much of the higher costs they can absorb before customers push back. “Everyone has been working through the last eight months on how to navigate the new trade environment,” said GE CEO Larry Culp. The U.S. Supreme Court may weigh in as soon as February on the legality of certain tariffs imposed under emergency powers, fueling uncertainty for companies tangled in complex global supply chains. (Reuters)
Airbus CEO Guillaume Faury warned employees that the industrial environment is “sown with difficulties,” highlighting trade tensions causing “significant collateral damage, logistically and financially,” in a letter Reuters obtained. He singled out the sharpest engine disruptions coming from Pratt & Whitney and CFM engines — the latter a GE Aerospace and Safran joint venture. Airbus plans to report its results on Feb. 19. (Reuters)
That’s key for GE, where jet engines are a long-term play. The bulk of the money comes after delivery, with airlines cycling engines through maintenance and buying spare parts. A drop in aircraft production can quickly shift the revenue balance.
Yet, the aftermarket boost to earnings is stirring friction with customers. Airlines complain about skyrocketing maintenance expenses, tight spare parts availability, and long repair wait times. Culp pushed back on the engine pricing criticism, pointing to the company’s $3 billion annual R&D spend aimed at enhancing durability and supporting customers. (Reuters)
GE announced it will pay a quarterly dividend of $0.36 per share on Monday. (GE Aerospace)
Boeing’s earnings report on Tuesday will draw attention, especially for clues on how quickly it can ramp up 737 MAX production—a key driver for demand in CFM’s LEAP engines. Bernstein’s Doug Harned described the goal of 42 jets per month as “not a major challenge.” On the other hand, BNP Paribas analyst Matthew Akers noted investors will be looking for free cash flow exceeding $10 billion to justify the bullish outlook. (Reuters)
