GE Aerospace (GE) will report its fourth quarter 2025 financial results on Thursday, January 22. Despite favorable industry conditions and strong demand, shares of GE Aerospace have been relatively subdued in recent months, gaining 3.3% over the past three months.
The company’s results during the first nine months of 2025 reflect solid growth. Adjusted revenue increased 21% year-on-year (y-o-y), while operating margins increased 140 basis points, reflecting both volume growth and operational efficiencies. Adjusted earnings per share (EPS) jumped nearly 46%, highlighting the company’s strong operating leverage. Free cash flow reached $5.9 billion and GE Aerospace ended the third quarter with a backlog of $175 billion, providing a strong foundation for future revenue growth.
Continued momentum in GE’s business will enable the company to post strong growth in the fourth quarter. Furthermore, from a technical point of view, the stock does not appear to be overexploited. GE Aerospace’s 14-day relative strength index (RSI) is 59.55, well below the 70 level typically associated with overbought conditions. This indicates that stocks have room to rise if Q4 results and forward guidance come in better than expected.
Derivatives markets expect a muted reaction to the earnings release. The options price implies a post-earnings move of about 4.6% in either direction for contracts expiring on January 23, which is broadly in line with the stock’s average earnings-related move over the past four quarters. Note that GE Aerospace shares fell 2.9% following the previous results announcement.
As GE Aerospace prepares to release its fourth-quarter earnings report, the company appears well-positioned to continue its momentum throughout the year. Its business benefits from a large installed base of aircraft engines, strong demand for after-sales services and a regular resumption of engine deliveries. These factors will continue to support both revenue growth and profitability.
On the revenue side, strength is expected across GE Aerospace’s core operating segments. The Commercial Engines and Services business remains a key driver, supported by higher service revenue and improved equipment sales. As more engines pass through maintenance, repair and overhaul facilities, the demand for service and spare parts has increased significantly, allowing the company to capitalize on higher volumes and favorable pricing terms. At the same time, increased engine deliveries add further momentum.
