GE Vernova Backlog Hits 50 GW; Wells Fargo Sees 2028 Margin Upside

On May 20, Wells Fargo reaffirmed its Overweight rating and price target of $474 for GE Vernova Inc. (NYSE:GEV).

According to the firm’s analysis, GEV’s heavy-duty gas turbine (HDGT) products are in high demand, and the company is expected to sell out of its entire capacity this year.

GE Vernova Backlog Hits 50 GW; Wells Fargo Sees 2028 Margin Upside

Wells Fargo asserts that, due in part to recent agreements with Duke Energy and NRG Energy totaling about 5.5 GW, GEV has secured a total of 50 GW in orders and slot reservation agreements scheduled after Q1 2025. Consequently, roughly 43.3 GW of GEV’s 55.5 GW backlog is expected to be delivered between 2026 and 2028.

Additionally, the firm anticipates that by the end of the third quarter of 2025, GE Vernova Inc. (NYSE:GEV) will have secured an additional 12.7 GW of orders. Based on industry data and management commentary, this estimate indicates that the majority of the slots for 2026 and 2027 have already been reserved, alongside more than half of the capacity for 2028. Moreover, Wells Fargo believes that GEV may be able to boost 2028 Power EBITDA margins above the projected 16.9% if it can book the remaining 12.7 GW at high prices over the next five months. The firm determines that its price target would increase by about $8 per share for every 1% increase in the Power Segment margin post-2028.

While we acknowledge the potential of GEV to grow, our conviction lies in the belief that some AI stocks hold greater promise for delivering higher returns and have limited downside risk.  If you are looking for an AI stock that is more promising than GEV and that has 100x upside potential, check out our report about the cheapest AI stock.

Read More: 10 Best Stocks to Buy According to the Bill & Melinda Gates Foundation Trust and 15 Best Stocks to Buy According to Jim Simons’ Renaissance Technologies.

Disclosure: None.