Boeing (NYSE:BA) Stock Price Down 1.5% – Here’s What Happened

Shares of The Boeing Company (NYSE:BA) fell 1.5% on Tuesday. The stock traded as low as $189.33 and last traded at $189.8130. 7,643,805 shares were traded during trading, an increase of 12% from the average session volume of 6,844,951 shares. The stock had previously closed at $192.72.

Trending Headlines about Boeing

Here are the key news stories impacting Boeing this week:

• Positive Sentiment: Large defense contract strengthens Boeing’s long-term pipeline. Lockheed Martin awarded Boeing an approximately $14.7 billion, seven-year contract to scale production of PAC-3 Missile Segment Enhancement seekers. The program is expected to triple output and add jobs, giving Boeing’s defense business greater visibility and diversification from commercial aircraft. Boeing Wins Massive $14.7 Billion Contract From Lockheed Martin For Missile Seekers
• Positive Sentiment: Debt reduction and additional defense opportunities offer potential catalysts. Analysts point to new defense awards and efforts to reduce debt as reasons the investment case is not entirely negative, particularly if Boeing improves production and cash generation. Boeing Down 10.6% in a Month: Is This an Indication to Sell the Stock?
• Neutral Sentiment: Boeing’s roughly $715 billion backlog is a major asset, but not immediate revenue. The orders represent substantial future demand; however, aircraft must still be produced and delivered before Boeing realizes much of the associated revenue and cash. Boeing’s $715 Billion Backlog, Explained
• Negative Sentiment: Execution and financial-quality concerns continue to weigh on BA. Production delays, heavy debt, weak return on invested capital and a reported negative EBITDA figure raise doubts about near-term profitability. These concerns make the backlog less valuable to investors until delivery rates and cash flow improve. Boeing Has Negative EBITDA and Positive Net Income
• Negative Sentiment: Operational and legal headlines add risk. Reports of Boeing aircraft incidents, the grounding of Qatar’s Boeing 747, and a law-firm investigation into potential investor claims contribute to reputational and litigation concerns. Pomerantz Investor Alert

Analyst Upgrades and Downgrades

Several equities analysts have recently weighed in on BA shares. BNP Paribas Exane raised shares of Boeing from an “underperform” rating to an “outperform” rating and lifted their target price for the company from $230.00 to $300.00 in a report on Monday, August 3rd. Argus raised shares of Boeing from a “hold” rating to a “buy” rating and set a $265.00 price objective for the company in a report on Tuesday, August 11th. Sanford C. Bernstein reissued an “outperform” rating on shares of Boeing in a research note on Wednesday, September 30th. Bank of America restated a “buy” rating and set a $270.00 target price on shares of Boeing in a research report on Friday, September 18th. Finally, Weiss Ratings reaffirmed a “sell (d+)” rating on shares of Boeing in a report on Tuesday, July 21st. Two investment analysts have rated the stock with a Strong Buy rating, thirteen have given a Buy rating, five have issued a Hold rating and three have given a Sell rating to the company. According to MarketBeat.com, the stock presently has an average rating of “Moderate Buy” and an average price target of $270.95.

Boeing Trading Down 0.6%

The company has a fifty day moving average of $210.89 and a 200-day moving average of $216.09. The company has a current ratio of 1.14, a quick ratio of 0.33 and a debt-to-equity ratio of 6.77. The company has a market capitalization of $147.89 billion, a price-to-earnings ratio of 80.95 and a beta of 1.26.

Boeing (NYSE:BA) last released its earnings results on Tuesday, July 28th. The aircraft producer reported ($0.76) earnings per share for the quarter, missing the consensus estimate of ($0.34) by ($0.42). Boeing had a net margin of 2.41% and a negative return on equity of 346.82%. The firm had revenue of $24.56 billion during the quarter, compared to analysts’ expectations of $24.26 billion. During the same quarter last year, the business earned ($1.24) EPS. The business’s revenue was up 8.0% compared to the same quarter last year. As a group, equities research analysts anticipate that The Boeing Company will post -0.91 earnings per share for the current fiscal year.

Institutional Investors Weigh In On Boeing

A number of large investors have recently modified their holdings of the business. McAlister Sweet & Associates Inc. grew its position in Boeing by 57.2% during the third quarter. McAlister Sweet & Associates Inc. now owns 45,420 shares of the aircraft producer’s stock worth $8,450,000 after buying an additional 16,531 shares during the period. Integrated Wealth Concepts LLC boosted its stake in shares of Boeing by 16.0% during the 2nd quarter. Integrated Wealth Concepts LLC now owns 42,417 shares of the aircraft producer’s stock worth $9,182,000 after acquiring an additional 5,862 shares in the last quarter. Rakuten Investment Management Inc. grew its holdings in shares of Boeing by 502.3% in the 4th quarter. Rakuten Investment Management Inc. now owns 103,099 shares of the aircraft producer’s stock worth $22,398,000 after acquiring an additional 85,982 shares during the period. Louisiana State Employees Retirement System acquired a new stake in shares of Boeing in the 1st quarter worth approximately $7,961,000. Finally, Patriot Financial Group Insurance Agency LLC increased its stake in Boeing by 103.8% in the 1st quarter. Patriot Financial Group Insurance Agency LLC now owns 11,240 shares of the aircraft producer’s stock valued at $2,237,000 after purchasing an additional 5,726 shares in the last quarter. Hedge funds and other institutional investors own 64.82% of the company’s stock.

About Boeing

The Boeing Company (NYSE: BA) is a global aerospace company that designs, manufactures and supports commercial airplanes, military aircraft, spacecraft and related systems. Its commercial portfolio includes the 737, 787 Dreamliner and 777 families, as well as the 777X program. Boeing sells aircraft to airlines, cargo operators and leasing companies around the world.

Through its defense and space operations, Boeing provides products and services for the U.S. government, allied governments and other institutional customers.