The Bull Case For GE (GE) Could Change Following Major Middle East Jet Engine Agreements

• In November 2025, Saudia Group, flydubai, and Emirates each announced major agreements with GE Aerospace to supply and service advanced jet engines, including GEnx-1B and GE9X powerplants, for more than 130 Boeing 787 and 777X aircraft, encompassing multi-year maintenance and training commitments.
• These large-scale engine partnerships not only expand GE’s installed base across key global airlines, but also signal confidence in GE Aerospace’s next-generation propulsion technology and its support infrastructure in the Middle East.
• We'll explore how GE Aerospace's multibillion-dollar engine deals with major airlines may influence the company's investment outlook and long-term revenue base.

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General Electric Investment Narrative Recap

To be a GE Aerospace shareholder today, you need to believe that the company can capitalize on persistent demand for next-generation jet engines and sustain its leadership through recurring services revenue, even as it becomes more focused on aerospace. The recent multi-billion dollar engine deals with Saudia Group, Emirates, and flydubai help increase GE’s installed base and service commitments, supporting a key catalyst, expansion of long-term recurring revenue, but do not meaningfully change the central risk of heavy reliance on commercial aviation cycles and product execution in the widebody engine segment. Among recent developments, the Saudia Group agreement is closely linked to current catalysts. By equipping 39 Boeing 787s with GEnx-1B engines and agreeing to localized MRO and training programs, this deal strengthens GE’s presence in a major regional market. The partnership significantly widens the installed base and adds multiyear service revenues, which could help balance the risk associated with volatility in airline demand. But even as these engines enter service, investors should keep in mind that persistent supply chain constraints across GE’s network could suddenly...

Read the full narrative on General Electric (it's free!)

General Electric's outlook points to $50.8 billion in revenue and $9.5 billion in earnings by 2028. Achieving this would require annual revenue growth of 6.9% and a $1.9 billion increase in earnings from the current $7.6 billion.

Uncover how General Electric's forecasts yield a $339.00 fair value, a 14% upside to its current price.

Exploring Other Perspectives

Simply Wall St Community members have submitted 12 fair value estimates for GE stock, ranging from US$198.40 to US$340.29 per share. While opinions on valuation vary, keep in mind GE's growing dependence on aerospace as it executes large engine contracts, something that may bring both upside and execution risk.

Explore 12 other fair value estimates on General Electric - why the stock might be worth as much as 15% more than the current price!

Build Your Own General Electric Narrative

Disagree with existing narratives? Create your own in under 3 minutes - extraordinary investment returns rarely come from following the herd.

• A great starting point for your General Electric research is our analysis highlighting 2 key rewards and 2 important warning signs that could impact your investment decision.
• Our free General Electric research report provides a comprehensive fundamental analysis summarized in a single visual - the Snowflake - making it easy to evaluate General Electric's overall financial health at a glance.

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This article by Simply Wall St is general in nature. We provide commentary based on historical data and analyst forecasts only using an unbiased methodology and our articles are not intended to be financial advice. It does not constitute a recommendation to buy or sell any stock, and does not take account of your objectives, or your financial situation. We aim to bring you long-term focused analysis driven by fundamental data. Note that our analysis may not factor in the latest price-sensitive company announcements or qualitative material. Simply Wall St has no position in any stocks mentioned.

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