01.02.2025 15:05:00

Every GE Aerospace Investor Should Keep an Eye on This Number

There are plenty of metrics that GE Aerospace (NYSE: GE) investors should keep an eye on in 2025, but the key one is the operating margin for its commercial engines and services (CES) segment.Based on 2024 numbers, the CES segment produces 6.6 times the profit of the company's other segment, defense & propulsion technologies (DPT), and its operating profit margin guides the company's bottom line. Here's what to look out for.It's essential to understand the dynamics of the CES margin. The business model in the model commercial airplane engine market typically involves selling engines at a loss (the so-called "negative engine margin"), then making money over decades of providing aftermarket parts and services for those engines.Continue readingWeiter zum vollständigen Artikel bei MotleyFool

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