Here's Why GE Vernova Stock Popped Higher Today (Hint: It's Artificial Intelligence Related)
Key Points
Earnings reports and order momentum at AI-related companies indicate more orders coming for GE Vernova's gas turbines.
The company's customers are willing to pay upfront to secure gas turbine equipment in the future.
- 10 stocks we like better than Ge Vernova ›
GE Vernova (NYSE: GEV) shares popped higher by 5.3% as of 3:30 p.m. today. The move comes as the investment thesis for AI infrastructure stocks was strengthened by reports coming from companies with heavy exposure to data center spending.
GE Vernova and the AI infrastructure market
As readers already know, GE Vernova's gas turbine equipment demand is booming, and its backlog is growing so high (up to $150 billion at the end of the year) that the company can sign up customers on slot reservation agreements (SRAs) whereby data center customers are willing to pay upfront to secure production slots for future gas turbines to power data centers. It's an indication of just how thirsty hyperscalers are for power for data centers that service AI-application growth.
Where to invest $1,000 right now? Our analyst team just revealed what they believe are the 10 best stocks to buy right now, when you join Stock Advisor. See the stocks »
As such, when two high-profile companies (both with earlier-cycle sales than GE Vernova) report excellent updates, it's understandable that GE Vernova stock pops in sympathy.
Vertiv and Aehr Test Systems
Vertiv's power and cooling solutions tend to be early cycle as they help build the physical infrastructure that provides the backbone to a data center. The company released its fourth-quarter earnings report today and announced a book-to-bill ratio of 2.9 times, and management forecast organic sales growth of 27% to 29% in 2026.
Image source: Getty Images.
Aehr Test Systems makes test equipment for the semiconductor market, and in this case, for AI processors used in data centers. When semiconductor companies want to start testing the quality and reliability of the chips they are making, they order from Aehr. The good news today is that its lead customer has placed an initial order for test equipment for its "next-generation, significantly higher-power AI processor used in data center training and inference applications."
It's an indication of ongoing demand, and, just as with Vertiv's orders, its orders tend to be relatively early cycle when compared with GE Vernova. As such, investors are penciling in demand for GE Vernova's gas turbine equipment down the line, which is typically installed to complete the data center.
Should you buy stock in Ge Vernova right now?
Before you buy stock in Ge Vernova, consider this:
The Motley Fool Stock Advisor analyst team just identified what they believe are the 10 best stocks for investors to buy now… and Ge Vernova wasn’t one of them. The 10 stocks that made the cut could produce monster returns in the coming years.
Consider when Netflix made this list on December 17, 2004... if you invested $1,000 at the time of our recommendation, you’d have $443,353!* Or when Nvidia made this list on April 15, 2005... if you invested $1,000 at the time of our recommendation, you’d have $1,155,789!*
Now, it’s worth noting Stock Advisor’s total average return is 920% — a market-crushing outperformance compared to 196% for the S&P 500. Don't miss the latest top 10 list, available with Stock Advisor, and join an investing community built by individual investors for individual investors.
See the 10 stocks »
*Stock Advisor returns as of February 11, 2026.
Lee Samaha has no position in any of the stocks mentioned. The Motley Fool has positions in and recommends Ge Vernova and Vertiv. The Motley Fool has a disclosure policy.
Recommended Articles
