Is GEV a good stock to buy? We came across a bullish thesis on GE Vernova Inc. on Nikhs’s Substack. In this article, we will summarize the bulls’ thesis on GEV. GE Vernova Inc.’s share was trading at $1,038.74 as of May 25th. GEV’s trailing and forward P/E were 30.35 and 37.04 respectively according to Yahoo Finance.
GE Vernova Inc., an energy company, engages in the provision of various products and services that generate, transfer, orchestrate, convert, and store electricity in the United States, Europe, Asia, the Middle East, and Africa. GEV delivered a strong first quarter that reinforced the thesis that the AI infrastructure buildout is creating a prolonged power equipment shortage, positioning the company as one of the key beneficiaries of rising electricity demand from hyperscalers and data centers. The company reported exceptional momentum with orders rising 71% organically to $18.3 billion, revenue increasing 16% to $9.3 billion, and free cash flow reaching $4.8 billion, exceeding all of 2025 free cash flow generation.
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Backlog expanded to $163 billion while Gas Power backlog and slot reservations reached 100 GW, with customers already reserving production capacity for 2030 and 2031, highlighting the scarcity value of GE Vernova’s manufacturing footprint and installed base. Pricing on new turbine orders is running 10-20% above late 2025 levels, creating a future revenue stream at significantly better economics.
The biggest shift in the thesis is the growing importance of Electrification, which booked $2.4 billion of data center equipment orders in the quarter, surpassing all of 2025 levels. Management increasingly views Electrification as a platform business spanning substations, transformers, grid software, storage, and energy management systems, giving GE Vernova an integrated offering that few Western competitors can replicate.
Beyond near-term scarcity, the long-term opportunity lies in the company’s expanding installed base, as every turbine shipped can generate decades of high-margin recurring service revenue. While Wind remains a drag, the bull case centers on Electrification scaling, services compounding, and AI-driven power demand persisting long enough for GE Vernova to build a much larger annuity-like earnings base, potentially supporting further upside beyond the stock’s move from $780 to around $1,150.
Previously, we covered a bullish thesis on Quanta Services, Inc. (PWR) by Bulls On Parade in May 2025, which highlighted the company’s role in AI-driven grid modernization, data center electrification, and power infrastructure expansion supported by strategic acquisitions and strong backlog growth. PWR’s stock price has appreciated by approximately 147.43% since our coverage. Nikhs shares a similar view but emphasizes GE Vernova Inc.’s (GEV) turbine scarcity, Electrification platform scaling, and recurring long-term services revenue opportunity.
