How Long Would You Wait For GE Aerospace Stock To Come Back

GE Aerospace (GE) stock trades at about $329.50, about 14% below the $381.22 high it set inside the past year, and most of the decline is recent. It has fallen 12.7% over the past month. In July the company raised its 2026 guidance across the board.

Why Is GE Aerospace Falling After Raising Its Own Guidance?

Its own numbers went the other way from the share price. Revenue rose 24% in the second quarter of 2026. What it still cannot do is ship everything it has sold.

Its spare parts delinquencies, shipments held up by material availability, grew 20% sequentially in that quarter. The CEO called the constraint a matter of supply rather than demand. The first units of its GE9X engine are also its most expensive to build, and management expects losses on that program to peak in 2028. The demand is banked and the profit on it arrives late.

Is GE Aerospace Actually Growing More Slowly?

It is. Revenue over the trailing twelve months is $50.64 billion, up 21.7% year over year, against a three-year average growth rate of 26.2%. Its operating margin over those same twelve months is 18.7%, a shade above its own three-year average of 18.2%.

What has not slowed is how much of the work is already sold. Its commercial services backlog stands at roughly $170 billion, and the engines already off wing plus the planned removals for the third quarter of 2026 give demand visibility exceeding the full-year shop visit guide by over 40%. GE Aerospace is paid to maintain engines it sold years ago, so the revenue arrives when those engines come off wing. None of that has stopped the stock falling hard when the market does.

How Far Has GE Aerospace Fallen When The Market Broke?

Across the 15 market shocks it has traded through since 2007, the stock fell an average of 22% peak to trough, against 16% for the S&P 500 over the same windows. It still behaves that way. In the 2025 US Tariff Shock it fell 21% while the index fell 19%. The deepest of the 15 was the 2008-2009 Global Financial Crisis, an 81% peak-to-trough fall.

An 81% drawdown takes about 8% off everything you own if the position is a tenth of your portfolio, and about 16% if it is a fifth. Depth is only half of it. Across the shocks it has recovered from, the median wait back from the low has been about 3 months. The slowest was about 82 months after the 2016-2017 Trump Reflation Bond Selloff, a shock that ran from September 2016 to June 2017 and took the stock down 7.1%.

So this is a stock that falls further than the market, typically takes about a quarter to climb back from its low, but once spent nearly seven years recovering after a prolonged downturn followed an initial single-digit shock. Work sold years in advance argues against a repeat of 2008. It argues nothing at all about the clock. If the fall is what tempts you, our screen for fallen names ranks them on whether the fundamentals support a recovery.

Could You Sit Out A Recovery That Slow?

Three months of waiting is one thing. Eighty-two is another. The honest answer depends on how much of your money sits in this one name, and on what else falls in the same month.

Almost nobody settles that question one stock at a time. Since its inception, our rule-based High Quality Portfolio has outperformed its benchmark, a blend of three major indices.