GE Aerospace on Thursday forecast a stronger profit for the year after its fourth-quarter earnings exceeded Wall Street estimates as strong travel demand amid persistent shortages of new aircraft bolstered sales of its high-margin parts and services.

GE Aerospace reported Q4 results early Thursday as clear a buy point. Engines, services and defense revenues all climbed.

GE Aerospace (NYSE:GE) shares are trading higher premarket on Thursday after it reported fourth-quarter adjusted revenue growth of 16% year-over-year to $9.879 billion and GAAP revenue of $10.812 billion.

GE Aerospace's stock is surging 6.8% after its upbeat earnings report, and was heading for the highest close since October 2007. The company, formerly known as General Electric u

GE Aerospace (GE) is set to announce Q4 earnings, with analysts focused on engine deliveries, margins, and aftermarket growth outlook.

GE Aerospace appears well on its way to accomplishing a goal it set during its launch as a standalone company last year.

GE Aerospace plans to step up returns to shareholders this year. The maker of aircraft engines on Thursday said it plans to buy back $7 billion worth of stock in 2025 and to raise its dividend by 30%, subject to board approval.

GE Aerospace is forecast to report nearly $35 billion in annual sales for 2024, clearing the way fo be the region’s next Fortune 500.

Shares of industrial and transportation companies rose after strong earnings. GE Aerospace soared after the maker of plane engines, formerly known as General Electric, posted fourth-quarter earnings ahead of Wall Street targets and boosted its dividend.

In Commercial Engines and Services, revenue climbed 19% to $7.65 billion, above the FactSet consensus of $7.32 billion, amid expanded shop visits, higher spare parts and prices. Orders soared 49.8% to $12.95 billion, with growth in both services and equipment.

U.S. stocks rose to a record as Wall Street regained some of the momentum that catapulted it to 57 all-time highs last year.