GE Vernova (GEV) Stock Soars on AI Energy Boom-UBS Targets $614

GE Vernova Inc. (NYSE:GEV) is one of the 10 AI Stocks Investors Are Watching This Week. On July 8, UBS initiated coverage of the stock with a “Buy” rating and $614 price target.

According to the firm, the wind turbine maker is set to grow backed by booming electricity demand from data centers and a limited supply environment. These will help drive pricing power and long-term growth.

The firm analyst believes that GE Vernova’s compound earnings growth is likely to be 70% over five years, which is the bank’s highest estimate across covered companies. This estimate is driven by AI-related energy needs and long equipment lead times that back pricing.

According to the analyst, GE Vernova is 25% into its earnings growth for this cycle, and its profit could grow three times bigger by 2030.

“While valuation is high, we believe it is sustainable.”

GE Vernova Inc. (NYSE:GEV) is a global energy company and a soaring AI stock driven by the demand for energy to power artificial intelligence technology.

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.

READ NEXT: 10 Trending AI Stocks on News and Ratings and Top 10 AI Stocks in the Spotlight.

Disclosure: None.