GE Aerospace: Strong 2Q26 Beat & Raise

Research evidence excerpt

GE Aerospace: Strong 2Q26 Beat & Raise

Update

July 16, 2026 11:49 AM GMT

Morgan Stanley & Co. LLCMGE Aerospace | North America Kristine T Liwag

Equity Analyst

Strong 2Q26 Beat & Raise Kristine.Liwag@morganstanley.comJason T Holcomb +1 212 761-2980

Research Associate

Jason.Holcomb@morganstanley.com +1 212 761-5592

Reaction to earnings Justin M Lang

Unchanged Modest upside Modest revision higher Justin.Lang@morganstanley.com +1 212 761-6251

Impact to our thesis Financial results versus consensus Direction of next 12-month Gabrielle Knafelman

consensus EPS

Source: Company data, Morgan Stanley Research Gaby.Knafelman@morganstanley.com +1 212 761-4838

Shaina C Zuber

GE Reports Adj. EPS of $2.02, above Consensus by 8.8% and above MSe by 9.7% Research Associate

Shaina.Zuber@morganstanley.com +1 212 761-6353

GE reported Adj. EPS of $2.02, above consensus of $1.86 of 8.8% and above MSe of

GE Aerospace (GE.N, GE US)

$1.84 by 9.7%. The bottom-line beat was driven by a strong topline (~7% above

Aerospace | United States of America

cons) and business segment operating margin (~24.8% vs. MSe / cons. of ~23.7% /

Stock Rating Overweight

~24.2%). The top-line beat was fairly equally driven by CES and DPT, with CES Industry View Attractive

revenue 6.4% above consensus and 5.9% above MSe and DPT revenue 7.7% above Price target $400.00

Shr price, close (Jul 14, 2026) $353.73

consensus and 6.8% above MSe. Strength in CES was driven by record internal shop Mkt cap, curr (mm) $371,882

visit output in the quarter and engine deliveries up 31% in the first half, including 52-Week Range $382.80-254.82

LEAP deliveries up 41%. GE also beat on margin in both segments. GE increased its

2026 outlook for revenue growth, operating profit, adj. EPS, and FCF. GE now

expects y/y adj.