GE Vernova: stock market debut without sparks in New York

(CercleFinance.com) - GE Vernova, the energy company resulting from its demerger from GE, made its debut on the New York Stock Exchange on Tuesday, in the latest stage in the dismantling of the American industrial giant.


After gaining up to 1.7% in early morning trading, the stock is now only up 0.1%, while the S&P 500 index is down around 1%.

GE Vernova expects to generate organic growth in the order of 5% next year, while its adjusted Ebitda margin is expected to be just over 5% this year, rising towards the 10% mark by 2025.

Analysts point out that the company enters the stock market with a cash position of six billion euros, and no debt whatsoever.

The demerger took the form of a distribution of one GE Vernova share for every four GE shares held.

Following the demerger, the shares of the GE industrial conglomerate will be automatically converted into GE Aerospace shares, the remaining company dedicated to aerospace activities.

Headquartered in Cambridge, Massachusetts, GE Vernova has more than 80,000 employees in over 140 countries worldwide. The company supplies technologies, systems and services to the energy sector.

GE HealthCare, GE's former healthcare equipment subsidiary, was floated on the stock exchange at the beginning of January. Since then, it has risen by almost 14%.

Copyright (c) 2024 CercleFinance.com. All rights reserved.