GE Vernova Stock Fell 11% in a Day. Here's What I Think It Could Be Worth by 2030.
2026-10-24 20:42
•Daniel Sparks •The Motley Fool
•••• •• Axe Cap view
GE Vernova’s 11% Drop: Overblown or Opportunity?
Despite a sharp one-day decline, GE Vernova’s order book and fundamentals look solid, but the stock might be fairly valued for now.
GE Vernova’s sudden 11% drop last week raised eyebrows, yet the company’s $176 billion backlog and steady margin improvement tell a more measured story. The stock trades at around 19 times EBITDA for 2028, which is not cheap, and the projected 7% annual return signals modest upside from current levels. For local investors eyeing energy plays, the rand’s reaction to global energy cycles tends to give Sasol a sharper direct readout than a US-listed turbine supplier. That said, the 30% slide from June suggests some profit-taking or valuation recalibration rather than fundamental damage. If you want to lean in, waiting for a pullback near $740 could improve your entry yield closer to 10% annually. Be cautious though: if global energy demand spikes faster than assumed or inflation drives input costs higher, margins might surprise on the downside. this is just our opinion and not financial advice
Watch GE Vernova from the sidelines for now—consider buying on dips near $740 to aim for a better return. For South African exposure to energy, keep Sasol on your radar instead.
- GE Vernova (GEV)
- Sasol
- USD/ZAR
- Valuation remains high despite backlog
- Input cost inflation hurting margins
6/10
GE Vernova shares fell 11% on October 22, 2026, and are now trading 30% below their June peak at around $825. Despite the decline, the company's backlog has grown to $176 billion with strong demand for gas turbines. An analyst projects the stock could reach approximately $1,100 by late 2030 based on management's targets, representing about 7% annual returns. However, the analyst suggests waiting for a price around $740 to achieve a more attractive 10% annual return.
Our take is based on reporting first published by The Motley Fool.