GE Aerospace Plummets 2.18% Amid Labor Unrest and Strategic Shifts—What’s Next for the Aviation Giant?

Summary
• Over 600 GE Aerospace workers strike in Ohio and Kentucky, disrupting operations
• $300M equity investment in BETA Technologies for hybrid electric aviation announced
• GE shares trade at 276.12, down 2.18% with intraday range of 271.86–284.32

GE Aerospace’s stock is in freefall as labor strikes and strategic bets collide with market skepticism. The 2.18% intraday drop reflects immediate operational risks from union actions and uncertainty around its $300M partnership with BETA Technologies. With the stock trading near its 52-week low of 159.36, investors are weighing the long-term potential of hybrid electric propulsion against short-term volatility.

Labor Strike and Strategic Partnership Spark Volatility in GE Aerospace Shares
The selloff stems from dual pressures: a UAW-led strike at two critical facilities and the announcement of a high-stakes partnership with BETA Technologies. The strike, involving 600 workers at Evendale (Navy engine production) and Erlanger (parts distribution), threatens supply chain continuity. Meanwhile, the $300M investment in BETA’s hybrid electric turbogenerator, while visionary, introduces execution risk and capital allocation concerns. Short-term traders are pricing in operational disruptions, while longer-term investors debate whether the hybrid electric pivot justifies the near-term pain.

Aircraft Manufacturing Sector Under Pressure as RTX Slides 1.63%—GE Aerospace Faces Dual Headwinds
The broader aircraft manufacturing sector is mixed, with RTX (parent of Pratt & Whitney) down 1.63% on concerns about defense budget constraints. GE’s 2.18% drop outpaces RTX’s decline, reflecting sector-specific risks tied to labor unrest and capital-intensive R&D bets. While RTX’s decline is driven by macroeconomic factors, GE’s move is uniquely tied to operational and strategic catalysts, creating a divergence in sector performance.

Options and ETFs in Focus: Navigating GE’s Volatile Landscape with Strategic Contracts
• MACD: 3.29 (bullish divergence), RSI: 72.09 (overbought), Bollinger Bands: 272.15 (middle band), 200D MA: 216.08 (far below price)

GE’s technicals suggest a short-term bearish bias despite a long-term bullish trend. Key support levels at 275.08 (30D) and 199.09 (200D) are critical. The options chain reveals two high-conviction plays:

• GE20250912C280 (Call, $280 strike, 9/12 expiry):
- IV: 25.42% (moderate), Leverage: 98.46% (high), Delta: 0.39 (moderate), Theta: -0.736 (high time decay), Gamma: 0.0368 (high sensitivity)
- Payoff: At 5% downside (262.31), max(0, 262.31–280) = $0. This call thrives on a rebound above 280, leveraging high gamma for rapid premium gains if the stock stabilizes.

• GE20250912C275 (Call, $275 strike, 9/12 expiry):
- IV: 26.31% (moderate), Leverage: 52.20% (high), Delta: 0.577 (moderate), Theta: -0.977 (high time decay), Gamma: 0.0363 (high sensitivity)
- Payoff: At 5% downside (262.31), max(0, 262.31–275) = $0. This contract balances leverage and delta for a potential bounce from current levels.

Aggressive bulls may consider GE20250912C275 into a rebound above $275, while short-term bears should watch the 271.85 intraday low for a breakdown signal.

Backtest GE Aerospace Stock Performance

Act Now: GE Aerospace at Pivotal Crossroads—Strikes, Partnerships, and Options Define Next Move
GE’s near-term trajectory hinges on resolving the UAW strike and validating its hybrid electric strategy. The 2.18% drop reflects immediate operational risks, but the 52-week high of 284.32 remains within reach if the partnership with BETA gains traction. RTX’s -1.63% decline underscores sector-wide caution, but GE’s unique catalysts demand a tailored approach. Investors should monitor the 271.85 support level and the 9/12 options expiry for directional clarity. Watch for a breakdown below 271.85 or a breakout above 280 to define the next phase.