Investing.com -- GE Vernova Inc. shares fell as much as 5% on Wednesday before recovering to trade down about 2.7% as of 11AM, after Chief Executive Officer Scott Strazik expressed caution about data center and wind energy projects at a Bernstein conference.

Strazik noted growing resistance to data center projects at the state level. "You're seeing more and more states that are certainly pushing back. And we do have customers that are struggling to get projects across the line," he said at the conference.

The CEO added that despite these challenges, the company does not anticipate issues with its existing commitments. "But at the same time, with pretty much every customer we're working with, we look at the scatter plot of all the potential projects versus the realization rate they're planning and the equipment they're planning or have already secured from us, and we don't see any risk in the fulfillment of our backlog from those dynamics," Strazik said.

Regarding wind energy, Strazik pointed to economic uncertainty as a barrier to converting potential projects into orders. "The pipeline is very significant, but it's very hard to convert the wind pipeline to orders while there's a lot of economic uncertainty on things like tariffs," he said.

The company expects to ship 1,500 wind turbines in 2026, "but I don't think you can project or expect those orders until there's clarity on tariffs in the US," Strazik added.