Seaport Research Partners initiated coverage on GE Aerospace with a Buy rating and a $375 price target, arguing that recent weakness in the aerospace giant’s shares presents an attractive entry point for investors betting on a longer-lasting aviation aftermarket boom.
The brokerage said investor sentiment around GE Aerospace has turned "neutral to negative" despite strong fundamentals, with the stock down about 1.7% year-to-date compared with a gain of more than 9% for the S&P 500. Seaport believes concerns that the aerospace aftermarket cycle is nearing a peak are premature.
Analyst Richard Safran argued that airlines are likely to keep older aircraft in service for longer because production ramps at Boeing and Airbus may continue to lag demand. That dynamic, Seaport said, should sustain demand for GE’s lucrative maintenance and spare-parts business well into the next decade.
The firm forecast aerospace aftermarket revenue growth above 10% annually through 2030, topping Wall Street expectations of roughly 9%. It also said GE remains in the "early innings" of a prolonged original-equipment production cycle that has not yet been fully priced into the stock.
Seaport expects GE’s defense business to provide another growth driver, citing rising geopolitical tensions and increased military aircraft production. The note said higher operational tempos tied to the Iran conflict could boost near-term aftermarket demand, while long-term defense production programs may support sustained growth.
The brokerage projected adjusted earnings per share of $7.55 for 2026, $8.67 for 2027 and $10.25 for 2028, with the 2028 forecast sitting well above consensus expectations of $9.80. It also estimated 2028 free cash flow per share of $10.90, compared with consensus near $10.07.
Seaport said GE’s heavy investment in research and development including roughly $1.58 billion spent in 2025 gives the company a sustainable competitive advantage over rivals such as RTX Corporation and Rolls-Royce Holdings.
