GE Vernova's stock price fell sharply after it raised its full-year revenue guidance, indicating that companies that sell equipment to data centers are facing increasing pressure to meet the market's extremely high expectations
GE Vernova's stock price fell sharply after it raised its full-year revenue guidance, indicating that companies that sell equipment to data centers are facing increasing pressure to meet the market's extremely high expectations. The company now expects full-year revenue of $45.5 billion to $46.5 billion (up $1 billion) and maintains its adjusted earnings before interest, taxes, depreciation, and amortization (EBITDA) margin forecast unchanged. The stock fell 8.7% in New York, its biggest one-day drop since December. Investors' expectations before the earnings report are too high, coupled with the "relatively modest" increase in revenue guidance and unchanged profit margin forecasts, this may limit the room for stock price gains in the short term.