GE Aerospace is a buy with upbeat profit and sales growth expected.Unlock access to InvestingPro for less than $8 a month!The week ahead is expected to be an eventful one as investors assess the outlook for the economy, inflation, interest rates and corporate earnings.
The primary catalyst for GE Aerospace is its third-quarter earnings report, set to be released before the market opens on Tuesday at 6:30AM ET. GE Aerospace stock ended at $192.61 on Friday, not far from a recent peak of $194.80, which was the highest level since May 2008. At current levels, the Evendale, Ohio-based company has a market cap of $210.7 billion.Since its spinoff in April, GE has been on a strong upward trajectory, with its stock up 40%. General Electric split into three separate companies between November 2021 and April 2024, adopting the trade name GE Aerospace after divesting its healthcare and energy divisions.
Several headwinds are weighing on UPS’s performance. One of the most significant challenges is the slowing global economy. As inflation persists and interest rates remain elevated, consumer and business spending has slowed, leading to a drop in package volumes for UPS. The company’s heavy reliance on global trade and shipping means it is particularly vulnerable to these macroeconomic pressures, which have been impacting revenue.