Investment Thesis
GE Aerospace is a focused aviation pure-play delivering double-digit growth on the back of commercial engine deliveries, aftermarket strength, and military programs. Lean execution, pricing power, and a $120B+ service backlog support multi-year margin expansion.
- Narrowbody Cycle: LEAP engine deliveries scale with Airbus and Boeing production recovery while shop visits climb.
- Defense Upside: Engine upgrades for the F-35 and next-gen bomber platforms add durable growth visibility.
- Lean Transformation: Simplified operations post spin-offs unlock free cash flow for buybacks and R&D.