GE Vernova Valuation: Assessing the Stock's Fair Value After an 86% Yearly Rally

GE Vernova's stock has risen 86% this year, driven by steady earnings growth and a robust year-to-date return. Analysts expect earnings to reach $5.8 billion by September 2028, with a fair value of $681.43, modestly above the current share price of $631.32. However, soft European demand and ongoing losses in the wind division pose risks to the optimistic valuation path. The stock trades on a high price-to-earnings ratio of 100.5x, which may not be sustainable in the long term.