GE Vernova Inc. (GEV) shares climbed 6.10% in after-hours trading Tuesday, hitting $663.43, after the company laid out an aggressive multi-year growth plan that significantly exceeded previous expectations.
What's Driving the Rally
At its 2025 Investor Update event, GE Vernova delivered a series of announcements that explain why investors are excited. The energy giant said its 2025 revenue guidance of $36 billion to $37 billion is tracking toward the higher end, then introduced 2026 revenue guidance of $41 billion to $42 billion. But the real headline: the company now expects to hit $52 billion in annual revenue by 2028, a substantial jump from its prior forecast of $45 billion.
"At GE Vernova, we are in the early chapters of an incredible value creation opportunity with a stronger financial trajectory ahead," said Scott Strazik, CEO of GE Vernova.
"Electric power will be critical to unlocking economic growth in the decades ahead and we are well-positioned with our large installed base and platform of advanced solutions to serve this growing, long-cycle market."
The Numbers Behind the Momentum
GE Vernova's business pipeline is expanding rapidly. The company has signed 18 GW of gas turbine contracts quarter-to-date and expects to reach 80 GW of combined slot reservation agreements and backlog by year-end. The total backlog is projected to swell from $135 billion to $200 billion by the end of 2028.
Free cash flow expectations also got a major upgrade. The company now anticipates at least $22 billion of cumulative free cash flow from 2025 to 2028, up sharply from a prior outlook of at least $14 billion.
"We are executing efficiently, and there is more to come as we enter 2026 with significant momentum," Strazik added.
Shareholder Returns Get a Boost
GE Vernova doubled its quarterly dividend to 50 cents per share, payable in the first quarter of 2026. The board also authorized an increase to its share repurchase program, raising it to $10 billion from $6 billion previously.
Looking beyond 2028, the company said it's positioned to deliver "substantially higher" returns, driven by its growing equipment and services backlog, more profitable gas power services revenue, and expanded investments in AI, robotics, and automation.
