General Electric Stock: AI Momentum Drives GE Vernova Surge

General Electric Stock in the Spotlight: Definition and Current Context

General Electric stock, especially after the spin-off of GE Vernova, has become a focal point for investors seeking exposure to the intersection of industrial innovation and the surging demand for electricity driven by artificial intelligence (AI). As of September 21, 2025, GE Vernova’s stock has soared over 300% since its NYSE debut in April 2024, making it the second-best performer in the S&P 500, according to Cryptopolitan. This article unpacks the factors behind this momentum and what it means for both new and seasoned market participants.

AI Demand Fuels GE Vernova’s Unprecedented Growth

The primary catalyst behind General Electric stock’s recent performance is the explosive growth in electricity demand from AI data centers. CEO Scott Strazik highlighted in March 2024 that the timing for GE Vernova’s launch was “perfect,” as AI’s energy needs are expected to climb sharply through the decade. This prediction is now materializing, with Wall Street analysts maintaining a bullish outlook and setting average price targets around $686.68—about 10% above recent closing prices.

GE Vernova’s gas turbine business is a standout, with all production sold out through 2028 and a 55-gigawatt backlog as of June 2025. Orders in Q2 2025 tripled compared to the same period in 2024, and the company is ramping up annual turbine output from 48 units in 2024 to 80 by 2026. Service revenue is also robust, with 70% of gas power income coming from maintaining over 7,000 installed turbines. The gas service backlog reached $56 billion by the end of 2024, reflecting strong utility investment in upgrading existing infrastructure.

Grid and Nuclear Segments: Strategic Expansion and Revenue Targets

Beyond gas, General Electric stock is benefiting from surging demand for grid equipment. Transformers and switchgears are sold out through 2028, with a $24 billion backlog in Q2 2025—up nearly 40% year-over-year. Data center operators alone placed $500 million in electric gear orders in the first half of 2025, with expectations to reach $1 billion by year-end.

Nuclear energy is another growth pillar. GE Vernova is targeting $2 billion in annual nuclear revenue by the mid-2030s, driven by small modular reactor construction and upgrades to 65 existing reactors using GE technology. The first small modular reactor is under construction in Ontario, with another planned in Tennessee. The company aims to add five gigawatts of nuclear capacity in the U.S. by restarting shuttered sites and modernizing current assets.

Challenges and Risks: Wind Segment Struggles Amid Policy Shifts

Despite these successes, not all segments of General Electric stock are thriving. The wind power unit reported a $588 million loss in 2024, an improvement from the previous year but still a drag on overall performance. High interest rates, technical issues with turbine blades, and shifting U.S. policy on permits and tariffs—especially following recent political changes—have led to major project delays and cost overruns. Offshore wind projects like Vineyard Wind and Dogger Bank are facing setbacks, and the company has signaled it will not pursue similar projects without significant changes in industry economics.

These challenges underscore the importance of diversification within GE Vernova’s portfolio and the need for ongoing innovation and risk management as the energy landscape evolves.

Market Data and Financial Health: A Snapshot

As of September 2025, GE Vernova’s financial position is robust. The company’s cash reserves doubled to $8 billion by the end of 2024, with plans to reach $14 billion by 2028. Revenue is projected to climb from $35 billion in 2024 to $45 billion in 2028, supported by strong order backlogs and recurring service income. These figures highlight why General Electric stock remains a top pick for investors seeking exposure to the energy sector’s transformation.

Further Exploration: How to Stay Ahead with General Electric Stock

For those interested in tracking General Electric stock and the broader energy transition, staying informed about sector trends, regulatory developments, and technological breakthroughs is crucial. Bitget provides up-to-date market insights and secure trading solutions for users looking to participate in the evolving landscape of energy and AI-driven growth. Explore more on Bitget to access real-time data, educational resources, and advanced trading tools tailored for both beginners and professionals.