Highly Regarded

Is GE Aerospace (GE) Stock Undervalued or Overvalued?

Trailing-twelve-month multiples vs Industrials sector peers in our coverage

In Line TTM fundamentals · sector averages from covered peers

GE trades at 46.5× TTM earnings — roughly in line with its Industrials sector average of 53.8×.

The Numbers

P/E (TTM)

46.5×

Sector avg: 53.8×

P/S (TTM)

8.7×

Sector avg: 3.4×

Market Cap

$397.04B

EPS (TTM): $8.14

Revenue (TTM)

$45.85B

Net income: $8.70B

Industrials Peer Comparison

How GE's multiples stack up against sector peers we cover. Click any peer for its own valuation breakdown.

Stock Price P/E (TTM)
GE This page $378.56 46.5×
CAT $969.62 49.8×
BA $234.50 94.6×
UPS $110.00 17.0×

Is the Multiple Justified?

July 6, 2026

GE Aerospace trades at a P/E of 46.7x, a slight discount to the Industrials sector average of 52.0x. The company reported a strong first quarter in 2026, with orders surging 87% and adjusted revenue increasing 29% year-over-year. Commercial Engines & Services revenue grew 34%, driven by robust demand and a 43% increase in total engine deliveries. GE Aerospace expects mid-teens revenue growth in this segment for 2026 and projects a 25% compounded annual growth rate for LEAP engine shop visits through 2030. While adjusted operating profit rose 18%, margins dipped slightly to 21.8% in Q1 2026. The slight discount may be influenced by the broader industrial sector's valuation, even as GE Aerospace demonstrates strong operational momentum and a significant backlog.

Sources

Frequently Asked Questions

Is GE overvalued or undervalued?
On trailing-twelve-month earnings, GE trades at 46.5x versus a Industrials sector average of 53.8x in our coverage — a 13.5% discount. Whether that's justified depends on growth, margins, and risk; see the context above.
What does the P/E ratio tell you?
Price-to-earnings compares a company's share price with its per-share profits. A higher multiple means investors pay more per dollar of earnings — often for faster expected growth — while a lower one can signal slower growth or higher perceived risk.
Why compare against the sector average?
Valuation multiples vary structurally between industries — software typically trades richer than banks or energy. Comparing GE with its own Industrials peers is more informative than comparing against the whole market.
Is a cheap stock automatically a good buy?
No. A discount can be justified by weak growth or elevated risk (a "value trap"), and a premium can be earned by quality and consistency. Valuation is one input — pair it with the fundamentals and the AI context on this page.

Methodology

Multiples are computed from trailing-twelve-month fundamentals (from company filings) and the latest share price: P/E is price ÷ diluted EPS, and P/S is market cap ÷ revenue. Sector averages use the Industrials names in our 50-stock coverage with positive earnings — a deliberately like-for-like, if imperfect, benchmark.

Stocks with negative trailing earnings are compared on price-to-sales instead. Multiples update with prices and fundamentals; AI context refreshes weekly.

Not Financial Advice

This page is for education and information only. Indicators are mechanical calculations, AI commentary can contain errors, and nothing here is a recommendation to buy or sell any security. Do your own research and consider consulting a qualified financial advisor. See our full disclaimer.

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Same question, Industrials peers

BA CAT UPS