Here's Why GE Vernova Stock Soared Last Month
Key takeaways
- GEV GE Vernova (NYSE: GEV) stock rose by 21.3% in June, according to data from S&P Global Market Intelligence.
- As a reminder, GE Vernova isn't a typical AI data center buildout play.
- In 2009, a "Double Down" signal flashed for a little-known chipmaker called Nvidia.
GEV GE Vernova (NYSE: GEV) stock rose by 21.3% in June, according to data from S&P Global Market Intelligence. It's an impressive move, but it doesn't relate to any kind of update from the company itself. Instead, it comes down to a combination of events that support the bullish case for the company and encourage investors to pencil in higher long-term earnings and cash flow for the company
As a reminder, GE Vernova isn't a typical AI data center buildout play. It's not a company that tends to generate the bulk of its earnings from its equipment sales. Instead, its core product of gas power turbines (increasingly being used to generate power for AI data centers) tends to generate a long-term stream of revenue and income from higher-margin services under long-term agreements signed with equipment sales.
Missed Nvidia in 2009? This Rare Signal Is Flashing Again. In 2009, a "Double Down" signal flashed for a little-known chipmaker called Nvidia. For the first time in years, that same "Total Conviction" signal is flashing for a company 1/100th the size of Nvidia. Continue »