GE Aerospace (GE) fair value: what the stock is really worth
As of Oct 22, 2026: fair value (intrinsic value) of GE Aerospace stock $92.26, price $294, upside -68.6%, quality 74 out of 100. Rating: strongly overvalued. Calculated from audited financials with 26 valuation models and 37 quality factors, updated daily.
69 individual criteria per stock, every one traceableSee the method →
Price vs Fair Value
White line = price, green steps = our fair value per fiscal year, dashed = 300-day average. As of Oct 20, 2026.
How to read this chart
60‑month range $37.30 – $381.22 · fair‑value band $67.51 – $136.50 · the $293.54 price screens above the $92.26 fair value. Green steps = our fair value per fiscal year (point-in-time, no hindsight). 1 fiscal year is left out: there the valuation rested on only a fraction of the usual models. Dashed = 300-day average. As of Oct 20, 2026.
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General Electric Company, doing business as GE Aerospace, designs and produces commercial and defense aircraft engines, integrated engine components, electric power, and aircraft systems. The company operates through two segments, Commercial Engines & Services, and Defense & Propulsion Technologies.
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The Commercial Engines & Services segment designs, develops, manufactures, maintenance, repair, and overhaul (MRO) services of jet engines and sale of spare parts for commercial airframes, business aviation, and aeroderivative applications.
The Defense & Propulsion Technologies designs, develops, manufactures, and services jet engines and avionics and power systems for governments, militaries, and commercial airframers, as well as MRO of engines and the sale of spare parts.
This segment also offers aircraft components and systems, such as small turboprop engines, aeroengine mechanical transmissions, turbines, combustors and controls, additive manufacturing, propeller systems, ignition systems, sensors and engine accessories for fixed wing and rotorcraft applications for commercial and military end users under the Avio Aero, Unison, Dowty Propellers, and Colibrium Additive brands.
The company operates in the United States, Europe, Asia, the Americas, the Middle East, and Africa. General Electric Company was incorporated in 1892 and is based in Evendale, Ohio.
Stock analysis
GE Aerospace (GE) currently trades at $293.54, while our model-based Fair Value estimate is $92.26, 68.6% below the price, so the stock looks overvalued today.
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Valuation
Bull case: the Growth Earnings group reads highest at a median of $133.28 per share, and 0 of the 24 models we run sit above the $293.54 price.
Bear case: the Dividend Discount group reads lowest at $13.34, and 24 of the 24 models stay below the price. Data coverage for this calculation is high.
Scenario range: $67.51 (bear) to $136.50 (bull), the price of $293.54 sits above it. Bear and bull are the same models on cautious and optimistic assumptions, a range, not a price target.
Quality & growth
The Quality Score stands at 74/100 (solid quality), in the Industrials sector.
Healthy Growth: Revenue growth appears healthy and is supported by profitability and cash-flow quality.
GE Aerospace reported revenue of $45.9B in FY2025 versus $56.5B in FY2021, a compound −5.1%/yr. Reported net income was $8.7B in FY2025.
Key figures
Market cap $308B Mega · P/E ratio 34.6 · P/S ratio 6.08 · EPS (TTM) $8.48 · Dividend yield 0.6% · Net margin 17.7% · Return on equity 48.2% · Return on assets (EBIT) 3.3%.
Competitive moat
Our AI-assisted moat analysis scores the competitive advantage at 77 out of 100 (medium confidence).
What moves the price
The share trades about 23% below its 52-week high and 8% above its 52-week low, currently below its 200-day average.
For context, the median of 10 Industrials peers we cover trades at −20% fair-value upside, at −69%, GE screens richer than that median.
Fair Value models
Bear$67.51Fair Value $92.26Bull$136.50
Price $293.54 · Upside -68.6%
Model ⓘEach model values the company its own way (discounted cash flow, earnings, assets, dividends). The fair value above starts from their evidence-weighted blend, not from a single model. In cyclical trough or peak years, after dilution or a stock split it is adjusted afterwards, so it can sit above or below the models. Based on fiscal year 2025 figures (about 10 months old). Earnings retained since then ($5.53 per share) are deliberately not added.Bear ⓘBear = the cautious scenario: the same model computed with conservative anchors (lower growth, margins and valuation multiples). Together with Bull it frames a plausible valuation range, not a price target.BaseBull ⓘBull = the optimistic scenario: the same model computed with favourable anchors (higher growth, margins and valuation multiples). Together with Bear it frames a plausible valuation range, not a price target. If a model's bull case is above four times its base value, the table shows that limit with a > sign (like the overall Bull above): beyond it no assumption holds.Coverage ⓘCoverage = how well-backed THIS model's estimate is for this stock (0–100): how complete and reliable its input data are, and how well the model fits the company. The final Fair Value is an evidence-weighted blend, so better-evidenced models count more. Green ≥70, amber 50–69, grey below 50.
Growth Quality ⓘGrowth is valuable only when reinvestment earns attractive returns (Aswath Damodaran): sustainable growth depends on return on capital, reinvestment and efficiency. Basis: total company revenue over the periods shown on the cards (3Y/5Y/all years), not per share, so a merger can show up as a growth jump; per-share earnings growth is in the value-creation card.100/100
Revenue growth appears healthy and is supported by profitability and cash-flow quality.
What shareholders gained per year (last 5 years) ⓘWhat the business itself delivers per year: earnings growth per share plus the dividend yield. This is what you get IF the market keeps valuing the stock the same way: it contains no assumption about the market changing its mind. Computed per share, so buybacks count and a merger does not pass as growth. For a company that pays no dividend it is pure earnings growth per share. Period: earnings growth per share as CAGR over the last 5 reported fiscal years (annual statements), plus the current dividend yield. The start value is the median of the three years around the start, so a single crisis year (a pandemic or a write-down) does not distort the rate.
+15.0%
Earnings growth per share plus dividend.
Earnings per share, growth per year+14.4%
Dividend (yield on the price)0.6%
Per share before 2024divided by the spin-off factor 1.253
Pace: 5 vs 10 years ⓘTwo data points, not a trend model: earnings growth per share over the last 5 fiscal years against the last 10. Labelled "steady" when both rates are within 3 percentage points of each other, otherwise picking up or flattening. Shown only when ten years of history exist.14.4% vs 0.9%, picking up
Profit margin 2020 to 2025 ⓘOperating margin then vs now, from reported annual statements. A falling margin after a boom year is the classic peak-earnings signal: the growth rate then leans on an inflated base.1% → 19%
Pace: the 5-year rate starts in 2020 (pandemic)
⚠ Revenue per share shrinking 7.0%/yr over ~10Y (margins intact) ⓘStructural-decline marker: revenue PER SHARE has fallen over the last decade (robust median trend, not a single year). Backtested across 2005 to 2017, such businesses trailed the market by about 2.5 percentage points per year. Display only: it does not change the fair value or the quality score.
Growth Forecast
A lot of optimism in the price
The price assumes more growth than the company has delivered so far and more than analysts expect.
What the price assumes ⓘThis turns our valuation around: instead of asking what the share is worth, it asks what growth the current price requires. It uses the cash the company keeps after all spending (free cash flow), the same discount rate as our models, five years of growth, then slowing evenly to 2 % a year by year ten. Compared with the analysts' sales forecasts extended to the same five years (at least three analysts, for context only, it does not enter the Fair Value): within 3 percentage points counts as "in line" (amber), below that little optimism (green), above that a lot of optimism (red).
+23.7%
Yearly growth needed for the next five years to justify today's price.
What forecasts expect ⓘAnalysts publish sales forecasts for the next two fiscal years. For the years after that, growth slows evenly to 2 % a year by year ten (2 % is the long-run rate our models use). Projected years are marked as such.
+9.4%
Yearly sales growth analysts expect, extended to five years.
After inflation (USA: IMF forecast 2.4% a year to 2030, 3.1% from 2016 to 2025) that is about +20.9% a year for the price and +6.9% for the forecasts.
News mood ⓘNews mood, the average tone of recent news (100 articles), rated against how stocks are usually covered. 🚀 Hype = unusually upbeat · 🙂 Positive = above average · 😐 Neutral = typical · 🙁 Negative = below average · 😨 Very negative = unusually downbeat. It reflects the tone of coverage, not our valuation.Neutral
Recent news coverage is roughly neutral, about typical for how stocks are covered.
AI conclusion: Moderate moat from aerospace pricing power and innovation efficiency is offset by mixed human capital signals and legacy accounting concerns.
Main risk: Cyclical commercial aerospace end markets risk reducing aftermarket demand and hitting revenues despite defense expansion.
GE Aerospace is ramping F110 fighter engine output by 50 percent year over year through targeted manufacturing investments, closer supplier ties and AI to spot supply risks earlier. Defense contracts and production scale are expanding while commercial aftermarket faces pressure. Our models see the stock as overvalued. Will defense momentum add more to results than commercial softness subtracts?
Price, fair value, quality and upside side by side.
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Peer GroupⓘHow this stock ranks against its industry: the green marker is this stock, the band is the typical 25–75% peer range, and the tick is the median.Aerospace & Defense · 235 stocks
Beats the industry median on 6/15 measures
A mixed picture versus its industry peers.
Valuation
Quality Score74 · Top 25%
Fair Value upside−68.6% · Below median
Profitability
Return on equity (12 months)48.2% · Top 25%
Return on assets6.7% · Above median
Net margin (12 months)17.7% · Top 25%
Operating margin (12 months)20.6% · Top 25%
Growth and dividend
Revenue growth (quarter YoY)21.1% · Above median
Dividend yield (12 months)0.6% · Below median
Balance sheet
Debt / equity1.01× · Highest 25%
Valuation Multiplesvs Aerospace & Defense median · lower = cheaper
P/E (12 months)34.6× · Pricier than median
P/B16.48× · Priciest 25%
P/S (12 months)6.08× · Priciest 25%
Price / free cash flow42.4× · Pricier than median
EV/EBITDA27.4× · Pricier than median
PEG4.06× · Priciest 25%
Strength profile in five axes (Snowflake)
This stockSector peers
VALUE (fair-value potential)0· sector 0
FUTURE (revenue growth)100· sector 59
PAST (return on equity)100· sector 38
HEALTH (low debt)50· sector 94
DIVIDEND (yield)11· sector 18
VALUE 0: the price sits above our fair-value range.
For bloggers, editors and developers: paste this into your site or blog (a “Custom HTML” block in WordPress), it shows the current fair value and links back here. Free, plain HTML, and welcome. Full data streams (CSV/JSON) at /developers.
Cite: Fair Value Calculator (2026). "GE Aerospace Fair Value". https://www.fairvalue-calculator.com/stock/GE
Frequently asked questions
Is GE Aerospace (GE) overvalued or undervalued?
As of Oct 20, 2026, our model estimates a fair value of $92.26 versus a price of $293.54, about −69% upside (overvalued).
What is the fair value of GE?
Our model-based fair value for GE Aerospace is $92.26 (as of Oct 20, 2026), built from audited fundamentals. The current price: $293.54.
What is the quality score of GE?
GE Aerospace has a Quality Score of 74/100. It measures business quality (profitability, growth, cash flow, balance-sheet strength, investment discipline, share issuance). Market factors such as price momentum and volatility do not enter the number; they are shown separately in the detail view.
What is the price target for GE Aerospace (GE)?
Our model-based price target is the fair value of $92.26 (as of Oct 20, 2026) from 24 valuation models. Cautious scenario $67.51, optimistic scenario $136.50. It is a calculation from audited fundamentals, not an analyst target.
What is the GE Aerospace stock forecast for 2026?
Our models put fair value at $92.26, about −69% upside versus a price of $293.54 (overvalued). Cautious scenario $67.51, optimistic scenario $136.50. The calculation is refreshed regularly with new filings.
What is the revenue of GE Aerospace (GE)?
GE Aerospace reported trailing-twelve-month revenue of about $50.6B (latest available figure, as of Oct 20, 2026).
Does GE Aerospace pay a dividend?
GE Aerospace currently shows a dividend yield of 0.57% relative to its recent price (as of Oct 20, 2026).
What growth is priced into GE Aerospace (GE)?
For today's price to be fair in a discounted-cash-flow model, GE Aerospace would have to grow free cash flow by +23.7 % per year for five years (discount rate 9.6 %, then slowing evenly to 2 % perpetual growth by year ten). Over the last 5 years revenue grew -9.6 % per year. As of Oct 20, 2026.
What discount rate (WACC) does the fair value of GE use?
Our models discount GE Aerospace at 9.6 %: a base by market capitalisation (mega), damped by beta 1.37, country premium for USA. The same rate applies in all 26 models.
What is a reverse DCF?
A reverse DCF turns the usual calculation around. Instead of deriving a value from assumptions, it takes today's price as given and asks: what free-cash-flow growth would a company have to deliver for exactly this price to be fair? The result is not a forecast but the expectation already priced in. For GE Aerospace that is +23.7 % per year a year over ten years, using the same discount rate (9.6 %) and the same formula as our fair value.
How much growth has GE Aerospace (GE) delivered so far?
Over the past 5 years revenue at GE Aerospace grew -9.6 % a year. The price currently implies +23.7 % per year free-cash-flow growth a year. Comparing the two shows how much confidence is in the price: if it demands more than has been delivered, the business has to accelerate for the maths to work.
How fast is the sector of GE Aerospace (GE) growing?
The median revenue growth in the sector is +7.5 % a year. That is the yardstick for the growth priced into GE Aerospace (+23.7 % per year a year): it shows whether the expectation is within the usual range or beyond it.
What is the free cash flow yield of GE Aerospace (GE)?
The free-cash-flow yield on the price is 2.36 %: that much free cash flow GE Aerospace produces per unit of market value. When it exceeds the discount rate of our models (9.6 %), the business already earns more than its cost of capital demands, and the price needs little additional growth.
What is the intrinsic value of GE Aerospace (GE)?
Intrinsic value and fair value mean the same thing: what the business is worth on its numbers, independent of the share price. For GE Aerospace it is $92.26 per share (as of Oct 20, 2026), against a price of $293.54. It is the blended result of 24 valuation models (cash flow, earnings, asset, dividend).
Is GE Aerospace stock overvalued or undervalued in 2026?
As of Oct 20, 2026, GE trades above its calculated fair value: price $293.54, fair value $92.26, a gap of about −69% (overvalued). The calculation is refreshed with each new quarterly report, so the verdict can change during the year.
Is fair value the same as the market price of GE?
No. The price is what the market pays today ($293.54); the fair value is what the company's own numbers justify ($92.26). For GE Aerospace the two are $201.28 per share apart. That gap is exactly why we show both numbers side by side.
How much is GE Aerospace worth?
The market values GE Aerospace at about $308B (market capitalisation, as of Oct 20, 2026). Per share that is $293.54; our models calculate a fair value of $92.26 per share.
What do the bullish and bearish scenarios say about GE?
Our models span a range for GE Aerospace: cautious scenario $67.51, base $92.26, optimistic $136.50 per share (as of Oct 20, 2026, price $293.54). The range comes from different growth and margin assumptions, not from analyst opinions.
What is the P/E ratio of GE?
GE Aerospace trades at a price-to-earnings ratio of 34.6 (as of Oct 20, 2026). A P/E on its own says little: it compares the price with ONE year of profit, while our fair value of $92.26 is built from several models across several years. Other multiples: PEG 4.1, P/B 16.5, P/S 6.1, EV/EBITDA 27.4.
What is the PEG ratio of GE?
The PEG ratio of GE Aerospace is 4.06 (P/E divided by earnings growth, as of Oct 20, 2026). That is above 1, so the growth is already paid for in the price.
How solid is the balance sheet of GE Aerospace (GE)?
Balance-sheet figures for GE Aerospace (as of Oct 20, 2026): return on equity 48.2%, debt of 1.01 per unit of equity. They feed the Quality Score of 74/100, which measures business quality independently of the share price.
How far is GE from its 52-week high?
GE Aerospace trades at $293.54, about 23% below its 52-week high of $381.22 and 8% above the low of $272.91 (as of Oct 22, 2026). Distance from the high says nothing about value: that is what the fair value of $92.26 is for.
Which stocks are comparable to GE Aerospace?
From the same area (Industrials) we also value RTX Corporation, Lockheed Martin Corporation, General Dynamics Corporation, Howmet Aerospace Inc, among others. Each of them has its own fair-value calculation on this site using the same models, so the comparison is like for like.
Is GE Aerospace stock attractive at the current price?
The data as of Oct 20, 2026: price $293.54, calculated fair value $92.26 (−69%), Quality Score 74/100, from 24 models. Whether that fits your horizon and risk tolerance is your call. We provide the calculation, not investment advice.
How is the fair value of GE calculated?
We run GE Aerospace through 24 models from four families: discounted cash flow, earnings models, asset and balance-sheet models, and dividend models. Every model gets the same audited fundamentals; the result is the weighted average of $92.26, with the spread shown as a cautious and an optimistic scenario.
Is it still worth investing in stocks now?
The global stock market currently sits 13.2 % above its aggregate fair value. GE Aerospace itself currently trades above fair value. An expensive market is no reason to stay out and no reason to buy everything at once: keep a broad savings plan running, buy single stocks only with money you can do without, and hold part of your money liquid while the market is high. The full picture including sectors is on is it worth investing now.
What is the share price of GE Aerospace (GE)?
The closing price on Oct 22, 2026 was $293.54. Our model-based fair value is $92.26, about −69% upside (overvalued). We carry closing prices from our data provider, not a live tick.
What should I pay attention to with GE Aerospace right now?
A high-quality business (quality 74/100), yet the market already pays well above fair value. Quality at a full price, with little margin of safety. The price sits above even our optimistic bull case ($136.50). The favourable scenario is already priced in. A fairly wide model range ($67.51 to $136.50) leaves room in how you read the outcome.
Where does the earnings growth of GE Aerospace (GE) come from?
Earnings per share at GE Aerospace grew −2.4 % a year from 2014 to 2025. Broken into its drivers: revenue per share −10.3 %, EBIT margin +3.2 %, tax rate −1.6 %, residual (interest, one-offs) +7.2 %. The four rates multiply to the earnings growth rate, they do not add up. Start and end are three-year averages so a single exceptional year does not distort the result.
Key figures of GE Aerospace
How large is the market capitalisation of GE Aerospace (GE)?
The market capitalisation of GE Aerospace is $308B. The stock-market value of the whole company: share price times number of shares. It is what the market asks for the entire business today.
What is the P/S ratio of GE Aerospace (GE)?
The price-to-sales ratio of GE Aerospace is 6.08 (last twelve months). Price to sales: market value relative to yearly revenue. Useful when profit is thin or distorted.
What are the earnings per share of GE Aerospace (GE)?
Earnings per share at GE Aerospace are $8.48 (price ÷ EPS = P/E 34.6). Earnings per share over the last twelve months: total profit spread across every single share.
What is the dividend yield of GE Aerospace (GE)?
The dividend yield of GE Aerospace is 0.6% (payout 19.6%). Yearly dividend relative to the share price. 3% pays 3 per 100 invested. Below: how much of profit is used for it.
What is the net margin of GE Aerospace (GE)?
The net margin of GE Aerospace is 17.7% (last twelve months). How much of every unit of revenue ends up as profit. 10% means 10 cents of profit per dollar of sales.
What is the return on equity of GE Aerospace (GE)?
The return on equity (ROE) of GE Aerospace is 48.2% (last twelve months). Profit relative to shareholders' equity, how efficiently the company works with its owners' money.
What is the EBIT return on assets of GE Aerospace (GE)?
On an EBIT basis the return on assets of GE Aerospace is 3.3% (avg 5y). Operating profit (EBIT) relative to everything the company owns, as a multi-year average. It describes the business model rather than one good or bad year.
What is the operating margin of GE Aerospace (GE)?
The operating margin of GE Aerospace is 20.6% (last twelve months). Profit from the core business (before interest and taxes) relative to revenue.
How fast is revenue growing at GE Aerospace (GE)?
Revenue at GE Aerospace is growing +21.1% versus a year earlier (3y avg −15.7%). How much revenue grew versus a year earlier (YoY). The 3-year average next to it puts the single year in context.
How fast are earnings growing at GE Aerospace (GE)?
Earnings per share at GE Aerospace are growing +19.4% versus a year earlier. How much earnings per share grew versus a year earlier.
How much net debt does GE Aerospace (GE) carry?
The net debt of GE Aerospace is $8.1B (fiscal year 2025, ≈ 1.1 yrs of FCF). Debt minus cash on hand. The note shows how many years of free cash flow could in theory pay it off.
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Broad data
Oct 20, 2026