GE Aerospace GE has entered into a maintenance, repair and overhaul (MRO) offload agreement with United Aerospace Maintenance Company (“UAMCO”) in Cyprus to focus on quick turnaround services for CFM LEAP engines.

Based in Larnaca, Cyprus, UAMCO recently received EASA approval for quick-turn maintenance on LEAP-1A engines for Airbus A320neo aircraft and LEAP-1B engines for Boeing 737 MAX aircraft. The company is collaborating with GE Aerospace On-Wing Support to deliver on-wing and near-wing retrofits for the LEAP-1A engine's new reverse bleed system. It has two teams available globally for these installations.

The CFM LEAP engine offers 15% better fuel efficiency and reduced carbon emissions compared with the CFM56, with operators saving up to 20% on fuel costs. With more than 3,500 LEAP-powered aircraft in service, the engine has saved more than 35 million tons of CO2 and set a record for the fastest ramp-up in engine flight hours, exceeding 60 million in just eight years.

This collaboration will help GE Aerospace meet its MRO obligations to CFM within an open ecosystem that includes internal capacity from GE and Safran, and external providers competing for LEAP engine work.

GE’s Zacks Rank

GE currently carries a Zacks Rank #2 (Buy). In the year-to-date period, the company’s shares have gained 59.8% compared with the industry’s 54.1% growth.

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GE Aerospace has been witnessing strength in its businesses, driven by robust demand for commercial engines, propulsion and additive technologies. 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.

Other Stocks to Consider

Other top-ranked companies are discussed below.

Southwest Airlines Co. LUV currently sports a Zacks Rank #1 (Strong Buy). You can see the complete list of today’s Zacks #1 Rank stocks here.

Southwest Airlines delivered a trailing four-quarter average earnings surprise of 111.6%. In the past 60 days, the Zacks Consensus Estimate for LUV's 2024 earnings has increased 222.6%.

SkyWest, Inc. SKYW presently sports a Zacks Rank of 1. The company delivered a trailing four-quarter average earnings surprise of 79.12%.

In the past 60 days, the Zacks Consensus Estimate for SKYW’s 2024 earnings has increased 4.1%.

American Airlines Group Inc. AAL currently carries a Zacks Rank of 2. AAL delivered a trailing four-quarter average earnings surprise of 124.37%.

In the past 60 days, the consensus estimate for American Airlines’ fiscal 2025 earnings has increased 35.5%.

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