In a quarterly disclosure filed on August 14, 2026, it was revealed that Terry Smith's renowned fund, Fundsmith, established a new stake in GE Vernova during the second quarter. The filing, which reflects holdings as of June 30, 2026, showed the acquisition of 409,835 shares, valued at approximately $481.50 million. This new position constitutes 3.53% of Fundsmith's reported portfolio.
In his semi-annual letter, Terry Smith detailed the rationale, highlighting GE Vernova's role in building and servicing essential gas turbines and grid equipment. He emphasized the company's competitive advantage, stemming from the high switching costs of energy infrastructure and proprietary technology that locks in customers for long-term service contracts. The letter also pointed to a significant $163 billion order backlog and future growth driven by grid modernization and the power demands of AI data centers.