Boeing (NYSE:BA) Stock Price Down 2.4% – Should You Sell?

The Boeing Company (NYSE:BA) shares fell 2.4% on Thursday . The company traded as low as $197.00 and last traded at $197.0910. Approximately 11,704,060 shares were traded during mid-day trading, an increase of 77% from the average session volume of 6,606,814 shares. The stock had previously closed at $201.96.

Boeing News Roundup

Here are the key news stories impacting Boeing this week:

• Positive Sentiment: NASA is reportedly discussing additional missions for Boeing’s Starliner spacecraft. The vehicle’s return to service could improve confidence in Boeing’s space business and help repair reputational damage from earlier mission problems. NASA in talks for Boeing’s Starliner to handle new missions
• Positive Sentiment: Bank of America reaffirmed its Buy rating and set a $270 price target, arguing that the recent decline following management’s production comments was an overreaction. The firm sees longer-term recovery potential, although it identified labor negotiations as a near-term risk. Boeing selloff overdone despite CEO’s production comments
• Positive Sentiment: The FAA authorized Boeing to sell up to 35 additional 777F freighters after 2028 by waiving applicable emissions rules. The decision provides incremental sales opportunity for the existing freighter program while the 777-8F replacement remains years away. FAA waives emissions rules to let Boeing sell additional 777F freighters
• Positive Sentiment: A new Joint Air-to-Surface Missile framework with Lockheed Martin could expand missile-production opportunities and support defense-sector demand, offering some diversification from Boeing’s commercial-aircraft challenges. Defense ETFs stand to gain as JATM deal is signed
• Neutral Sentiment: Boeing’s large Korean Air commitment strengthens its backlog, but much of the financial benefit is not expected until the 2030s. Investors therefore view it as a long-term demand signal rather than an immediate earnings or cash-flow catalyst. Boeing’s Korean Air deal won’t help earnings until the 2030s
• Negative Sentiment: CEO Kelly Ortberg said 737 MAX production has not stabilized at the targeted 47 aircraft per month because of wing-production bottlenecks. The slower ramp threatens delivery timing, free-cash-flow improvement and Boeing’s ability to meet its recovery targets. Boeing stock skids as CEO warns of further 737 production delays
• Negative Sentiment: Investors also remain concerned about 787 production headwinds, engine and certification issues, a further delay to 777X certification, and uncertainty surrounding potential China orders. These issues could postpone earnings and cash-flow recovery despite Boeing’s strong backlog.

Wall Street Analysts Forecast Growth

Several equities research analysts recently commented on BA shares. BNP Paribas Exane upgraded shares of Boeing from an “underperform” rating to an “outperform” rating and lifted their price target for the stock from $230.00 to $300.00 in a research note on Monday, August 3rd. Cantor Fitzgerald lowered shares of Boeing to a “neutral” rating in a research report on Tuesday, August 11th. Btg Pactual set a $260.00 price objective on Boeing in a report on Tuesday, July 14th. Royal Bank Of Canada reduced their price target on shares of Boeing from $275.00 to $265.00 and set an “outperform” rating for the company in a research report on Wednesday, July 29th. Finally, Weiss Ratings reaffirmed a “sell (d+)” rating on shares of Boeing in a research note on Tuesday, July 21st. One analyst has rated the stock with a Strong Buy rating, thirteen have given a Buy rating, six have issued a Hold rating and three have issued a Sell rating to the stock. According to MarketBeat.com, Boeing currently has an average rating of “Moderate Buy” and an average target price of $272.45.

Boeing Trading Up 0.7%

The company has a debt-to-equity ratio of 6.77, a current ratio of 1.14 and a quick ratio of 0.33. The business’s 50-day moving average price is $216.12 and its 200 day moving average price is $218.27. The firm has a market capitalization of $156.80 billion, a price-to-earnings ratio of 85.88 and a beta of 1.21.

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 negative return on equity of 346.82% and a net margin of 2.41%.The company had revenue of $24.56 billion during the quarter, compared to the consensus estimate of $24.26 billion. During the same period in the previous year, the firm posted ($1.24) EPS. Boeing’s revenue for the quarter was up 8.0% on a year-over-year basis. On average, equities analysts forecast that The Boeing Company will post -0.91 earnings per share for the current fiscal year.

Institutional Inflows and Outflows

A number of hedge funds have recently bought and sold shares of the company. Highland Investment Advisors LLC bought a new stake in shares of Boeing in the 2nd quarter worth approximately $26,000. 1 North Wealth Services LLC bought a new stake in shares of Boeing during the 4th quarter worth $27,000. Wealth Preservation Advisors LLC raised its position in shares of Boeing by 66.7% during the fourth quarter. Wealth Preservation Advisors LLC now owns 125 shares of the aircraft producer’s stock worth $27,000 after purchasing an additional 50 shares during the period. Strategic Wealth Advisors LLC acquired a new position in shares of Boeing in the 2nd quarter valued at $27,000. Finally, Bell Investment Advisors Inc acquired a new stake in Boeing during the 2nd quarter worth about $29,000. 64.82% of the stock is owned by institutional investors and hedge funds.

Boeing Company Profile

The Boeing Company is a global aerospace company that designs, manufactures and services commercial airplanes, military aircraft, satellites, space systems and other aerospace products. Its principal business areas include commercial airplanes, defense and security, and aftermarket services that support aircraft operations throughout their life cycles.

Boeing’s commercial portfolio includes the 737, 767, 777 and 787 families of jetliners, while its defense and space operations provide products and services for the U.S.