Back to top

Image: Bigstock

GE and BETA Partner to Strengthen Hybrid Electric Aviation Capabilities

Read MoreHide Full Article

Key Takeaways

  • GE Aerospace and BETA partner to create a hybrid electric turbogenerator for AAM use.
  • The deal combines GE's CT7 and T700 engine expertise with BETA's PMG technology.
  • GE Aerospace plans a $300M investment in BETA and will gain a board seat.

GE Aerospace (GE - Free Report) recently entered into a partnership and equity investment agreement with BETA Technologies Inc. (“BETA”), pending regulatory approval. The collaboration aims to advance the development of hybrid electric aviation by pairing BETA’s strong innovation capabilities with GE’s industry expertise.

Based in South Burlington, VT, BETA is engaged in producing, designing and offering electric aircraft, propulsion systems, components and charging solutions to operators across the globe. BETA develops advanced technologies that support safe and cost-efficient operations across the cargo, logistics, defense, passenger and medical end markets.

Inside the Headlines

This deal is in sync with GE Aerospace’s goal of boosting the development of hybrid electric propulsion systems. This partnership is built on BETA’s proficiency in permanent magnet electric generators (PMGs) with GE’s leadership in engine solutions.

Per the latest deal, the two companies will focus on creating a hybrid electric turbogenerator for Advanced Air Mobility (AAM) applications. It will be intended for vertical take-off and landing (VTOL) aircraft, upcoming BETA aircraft models and other possible uses. The collaboration will leverage GE’s strong innovation capabilities and expertise in CT7 and T700 engines, along with BETA’s proficiency in advanced PMG systems. This will enable both companies to develop a hybrid electric turbogenerator that offers customers greater range, payload and enhanced engine performance.

Also, subject to regulatory conditions, GE Aerospace is expected to invest $300 million in BETA. The company will have the right to appoint a director to BETA’s board.

GE’s Zacks Rank & Price Performance

The company currently sports a Zacks Rank #1 (Strong Buy). GE Aerospace is benefiting from a growing installed base and higher utilization of engine platforms, driven by strong momentum and growth across the commercial and defense sectors. Rising U.S. & international defense budgets, geopolitical tensions, positive airline and airframer dynamics and robust demand for commercial air travel augur well for the company.

In the past six months, the company’s shares have gained 41.6% compared with the industry’s 23.3% growth.

Zacks Investment Research
Image Source: Zacks Investment Research

Other Stocks to Consider

Some other top-ranked companies are discussed below:

Howmet Aerospace Inc. (HWM - Free Report) currently carries a Zacks Rank #2 (Buy). You can see the complete list of today’s Zacks #1 Rank stocks here.

HWM delivered a trailing four-quarter average earnings surprise of 7.1%. In the past 60 days, the Zacks Consensus Estimate for Howmet’s 2025 earnings has increased 2.9%.

Textron Inc. (TXT - Free Report) currently carries a Zacks Rank of 2. TXT delivered a trailing four-quarter average earnings surprise of 4.9%.

In the past 60 days, the Zacks Consensus Estimate for Textron’s 2025 earnings has increased 0.3%.

Crane Company (CR - Free Report) presently carries a Zacks Rank of 2. The company delivered a trailing four-quarter average earnings surprise of 7.5%.

In the past 60 days, the consensus estimate for CR’s 2025 earnings has increased 4%.


See More Zacks Research for These Tickers


Normally $25 each - click below to receive one report FREE:


GE Aerospace (GE) - free report >>

Textron Inc. (TXT) - free report >>

Crane Company (CR) - free report >>

Howmet Aerospace Inc. (HWM) - free report >>

Published in