Scott Strazik Sends Gev Stock Down 10.6% in May
gev stock fell 10.6% in May after CEO Scott Strazik warned that some data center power projects are running into more local and regulatory hurdles. The drop came even as GE Vernova kept reporting intense demand for its gas power equipment. For investors, the key issue is whether the company can turn that demand into projects on time.
Strazik flags data center pushback
Scott Strazik said at the Bernstein Strategic Decisions Conference in late May that “more U.S. states are beginning to push back against new data centers because of factors such as severe grid strain and subsequent electricity rate hikes.” He also said some customers are struggling to advance and complete projects because of mounting local and regulatory hurdles.
10.6% was enough to erase part of a run that had left GE Vernova shares up 255% in the one year through April 2026. The stock’s move in May and further losses in June show how quickly the market is re-pricing execution risk when growth depends on a long queue of large energy projects.
263 billion dollars of backlog
$263 billion was GE Vernova’s total backlog in the first quarter, and the company also said its gas power equipment backlog and slot reservation agreements rose from 83 gigawatts to 100 gigawatts. Management expected those agreements to cross 110 gigawatts by the end of the year, while 2026 revenue growth was projected at 18% at the midpoint.
20% to 25% upfront is required for slot reservation agreements, which means customers have to commit real capital before a turbine is built. GE Vernova said production lines are full for years because of artificial intelligence data centers, and customers seeking a new natural gas turbine today face a waiting list stretching to 2029.
2029 slots and 2030 demand
2029 is already the near-term marker for turbine buyers, with utility providers securing manufacturing slots for 2029 and 2030 right now. That keeps the order book strong, but it also makes any delay in permitting or local approvals more costly for projects that are supposed to feed power-hungry data centers.
Late April 2026 set up the tension: GE Vernova raised its 2026 guidance after a 71% surge in first-quarter orders. The May share decline suggests the market is focusing less on demand and more on whether the company can actually move those orders through a tighter regulatory process. For holders of gev stock, the path from backlog to revenue now runs through state approvals, utility planning, and delivery timing.
