Jim Cramer Believes "GE Vernova Can Continue to Grind Higher"

GE Vernova Inc. (NYSE:GEV) is one of the stocks listed in our article, Jim Cramer recently discussed these 10 S&P 500 stocks. Expressing bullishness on the company, Cramer stated:

“Finally, in fifth place for the first half of the year, we’ve got GE Vernova, Cramer fave, the power business that was spun off by the old General Electric about 15 months ago. This stock was up 61% in the first half of the year, and it’s given you a more than 250% gain since it started independently trading in April of last year. Now, GE Vernova’s got a couple of things going for it. First, they make turbines for power plants, which makes this another huge beneficiary of the AI data center theme because we’re desperate for new power generation in this country that turns natural gas into power.

Second, as Vernova CEO, Scott Strazik told us when he came on the show in late April, his company could see some real benefits from trade tensions. Just like Boeing’s planes, GE Vernova’s turbines are big-ticket items. They cost tens of millions of dollars each. People say they’re about $50 million on average. The Trump administration wants a lot of countries to reduce their trade surpluses with the United States, and buying a bunch of natural gas turbines is an easy way to make that happen.

I’ve liked GE Vernova since before it was spun out of GE, and I see no reason to turn bearish now. Sure, the stock’s expensive, trading at roughly 72 times this year’s earnings estimates, which is why a couple of analysts have downgraded it, from Buy to Hold in recent weeks. But the scale of the opportunities is enormous, and the story seems almost tailor-made for this moment. Look, over time, I bet GE Vernova can continue to grind higher. Count me as a buyer for the trust.”

GE Vernova (NYSE:GEV) offers technologies and services focused on electricity generation, conversion, storage, and management. The company’s portfolio covers gas, nuclear, wind, solar, and grid solutions. The company delivers hardware and software designed to support the entire energy cycle, from production to consumption.

While we acknowledge the potential of GEV as an investment, we believe certain AI stocks offer greater upside potential and carry less downside risk. If you’re looking for an extremely undervalued AI stock that also stands to benefit significantly from Trump-era tariffs and the onshoring trend, see our free report on the best short-term AI stock.

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