Inside Larry Culp’s playbook for fixing GE

U.S. Energy Secretary Chris Wright stated Venezuela's oil production could more than double in the coming years due to investments from U.S. and international companies, including Chevron, Eni, ONGC, GeoPark, and GE Vernova. This increase is expected to lower crude prices, though refining capacity remains a bottleneck for gasoline and diesel prices. Additionally, a separate agreement grants a U.S. company, NABEP, a 100-year lease on 17 Venezuelan oil fields with 65 billion barrels of reserves.

GE Aerospace won a US Defense Innovation Unit contract to advance a liquid-fueled hypersonic test bed, part of the Hypersonic and High-Cadence Airborne Testing Capabilities (HyCAT) program. The project, called Derecho, aims for a 2028 flight test and will integrate a booster and cruiser for full system testing. GE Aerospace's ramjet technology will be demonstrated in flight for the first time.

GE Aerospace (GE), a $355.4B aerospace company, has outperformed the Nasdaq Composite over the past year, with shares up 22.1% and Q2 2026 revenue rising 24% to $12.64B. The company raised its full-year EPS and operating profit forecasts, driven by strong commercial aerospace demand. Analysts rate GE a 'Strong Buy' with a mean price target of $396.73, an 18.5% premium to current levels.

General Electric (GE) secured a $2.87B contract from the U.S. Department of Defense for logistics support of F414 engine components used in Navy aircraft. The five-year contract, with no option periods, will be executed primarily in Lynn, Massachusetts. Initial funding of $198.22M is allocated, with $148.67M obligated at the time of award. The contract is expected to run through August 2031.

Chevron, ONGC, GE Vernova, Eni, and GeoPark are finalizing energy deals in Venezuela, bringing foreign investment into oilfields and power infrastructure. New contracts allow companies to export crude and receive proceeds directly. Chevron seeks additional blocks in the Orinoco Belt and Monagas. ONGC plans to invest $200 million in the San Cristobal field. Venezuela aims to rebuild its industry with foreign capital.

GE Aerospace and Kratos Defense secured a U.S. Air Force contract for the F143-ZZ-100 engine, expanding GE's defense portfolio. The deal supports GE's long-term cash generation but is not large enough to impact near-term performance. Analysts project $63.2B revenue and $11.7B earnings by 2029, an 18% upside from current prices, though some remain cautious about decarbonization risks and high debt levels.