NEW YORK, Jan 9, 2026, 11:48 EST — Regular trading
- GE Vernova shares were little changed after Baird downgraded the stock to Neutral
- Analysts cited tougher competition and the risk that new turbine supply pressures pricing
- Attention shifts to Jan. 28 results, with orders, margins and cash flow in focus
GE Vernova (GEV) shares added 0.3% to $630.53 in late morning trading on Friday after Baird downgraded the power-equipment maker and lowered its price target to $649 from $816. Baird analyst Ben Kallo said worries about power capacity oversupply were “shifting sentiment” on the stock. 1
The move matters because GE Vernova has turned into a crowded trade tied to booming electricity demand from artificial intelligence and other data-heavy uses, squeezing supplies of grid equipment and gas turbines. In December, the company forecast 2026 revenue of $41 billion to $42 billion and raised its buyback plan to $10 billion, pointing to strong power demand. 2
Baird is less focused on the next few quarters than on what happens once supply catches up. GE Vernova sees as much as 20 gigawatts of annual heavy-duty turbine capacity by mid-2026 — gigawatts are a measure of power generation capacity — and Baird put total heavy-duty capacity across GE Vernova, Siemens and Mitsubishi Heavy Industries at close to 60 GW. The firm also said pricing for “bookings,” or new orders, could face pressure as that added capacity arrives, with the stock trading at about 30 times consensus 2026 EBITDA, a common measure of operating profit before interest, taxes, depreciation and amortization. 3
It’s a jolt compared with what investors heard at the stock’s December investor day, when GE Vernova touched a record high after it raised its outlook. “The company’s investor day fired on all cylinders,” William Blair analyst Jed Dorsheimer said then, and he noted turbine production slots were sold out through 2028. RBC Capital, for its part, said the outlook still left room for “further outperformance.” 4
The stock is still working through Thursday’s slide. GE Vernova fell 5.12% to close at $628.40 for a second straight decline, and finished the session about 14% below its 52-week high of $731 set in December. Volume came in above its recent daily average, hinting some fast money is starting to rotate out. 5
Still, it’s tough to put a clock on the downside, and that’s why traders are getting twitchy. Baird pitched its call as a near-term pause, not a hit to the long-term story, saying it would “move to the sidelines near term” as competition headlines mount and oversupply worries start to bite. 6
Next on the calendar is Jan. 28, when GE Vernova reports fourth-quarter and full-year results and hosts a webcast at 7:30 a.m. ET. Investors will be watching for any change in order intake, pricing and cash generation, along with hints on whether turbine supply is about to get ahead of demand. 7
