NYSE:BA

Stock Analysis Report

Executive Summary

The Boeing Company, together with its subsidiaries, designs, develops, manufactures, sales, services, and supports commercial jetliners, military aircraft, satellites, missile defense, human space flight and launch systems, and services worldwide.

Snowflake

Fundamentals

Established dividend payer with reasonable growth potential.


Similar Companies

Share Price & News

How has Boeing's share price performed over time and what events caused price changes?


Latest Share Price and Events


Market Performance


7 Day Return

-9.2%

BA

-0.4%

US Aerospace & Defense

0.07%

US Market


1 Year Return

-3.7%

BA

8.9%

US Aerospace & Defense

8.9%

US Market

Return vs Industry: BA underperformed the US Aerospace & Defense industry which returned 8.9% over the past year.

Return vs Market: BA underperformed the US Market which returned 8.9% over the past year.


Shareholder returns

BAIndustryMarket
7 Day-9.2%-0.4%0.07%
30 Day-11.2%-1.9%-0.3%
90 Day-6.8%0.8%-1.6%
1 Year-1.6%-3.7%11.0%8.9%11.3%8.9%
3 Year160.4%142.4%57.1%48.3%46.3%36.8%
5 Year209.9%172.6%90.2%71.9%62.1%44.3%

Price Volatility Vs. Market

How volatile is Boeing's share price compared to the market and industry in the last 5 years?


Simply Wall St News

Valuation

Is Boeing undervalued compared to its fair value and its price relative to the market?

39.8%

Undervalued compared to fair value


Share Price vs. Fair Value

Below Fair Value: BA ($337) is trading below our estimate of fair value ($560.18)

Significantly Below Fair Value: BA is trading below fair value, but not by a significant amount.


Price To Earnings Ratio

PE vs Industry: BA is poor value based on its PE Ratio (38.5x) compared to the Aerospace & Defense industry average (22.1x).

PE vs Market: BA is poor value based on its PE Ratio (38.5x) compared to the US market (17.8x).


Price to Earnings Growth Ratio

PEG Ratio: BA is poor value based on its PEG Ratio (1x)


Price to Book Ratio

PB vs Industry: BA has negative assets, so we can't compare its PB Ratio to the US Aerospace & Defense industry average.


Next Steps

Future Growth

How is Boeing forecast to perform in the next 1 to 3 years based on estimates from 21 analysts?

36.7%

Forecasted annual earnings growth


Earnings and Revenue Growth Forecasts


Analyst Future Growth Forecasts

Earnings vs Savings Rate: BA's forecast earnings growth (36.7% per year) is above the savings rate (2.7%).

Earnings vs Market: BA's earnings (36.7% per year) are forecast to grow faster than the US market (14.5% per year).

High Growth Earnings: earnings are expected to grow significantly over the next 3 years.

Revenue vs Market: BA's revenue (11.2% per year) is forecast to grow faster than the US market (7.2% per year).

High Growth Revenue: BA's revenue (11.2% per year) is forecast to grow slower than 20% per year.


Earnings per Share Growth Forecasts


Future Return on Equity

Future ROE: BA's Return on Equity is forecast to be low in 3 years time (17.1%).


Next Steps

Past Performance

How has Boeing performed over the past 5 years?

14.7%

Historical annual earnings growth


Earnings and Revenue History


Past Earnings Growth Analysis

Earnings Trend: BA's earnings have grown by 14.7% per year over the past 5 years.

Accelerating Growth: BA's has had negative earnings growth over the past year, so it can't be compared to its 5-year average.

Earnings vs Industry: BA had negative earnings growth (-49.1%) over the past year, making it difficult to compare to the Aerospace & Defense industry average (10.5%).


Return on Equity

High ROE: BA's liabilities exceed its assets, so it is difficult to calculate its Return on Equity.


Return on Assets

ROA vs Industry: BA's Return on Assets is below or equal to the Aerospace & Defense industry average last year.


Return on Capital Employed

ROCE Improving: BA has not improved its Return on Capital Employed over the past 3 years.


Next Steps

Financial Health

How is Boeing's financial position?


Financial Position Analysis

Short Term Liabilities: BA has negative shareholder equity, which is a more serious situation than short term assets not covering short term liabilities.

Long Term Liabilities: BA has negative shareholder equity, which is a more serious situation than short term assets not covering long term liabilities.


Debt to Equity History and Analysis

Debt Level: BA has negative shareholder equity, which is a more serious situation than a high debt level.

Reducing Debt: BA's has negative shareholder equity, so we do not need to check if its debt has reduced over time.

Debt Coverage: BA's debt is well covered by operating cash flow (50.5%).

Interest Coverage: BA's interest payments on its debt are well covered by EBIT (10.2x coverage).


Balance Sheet

Inventory Level: BA has a high level of physical assets or inventory.

Debt Coverage by Assets: BA has negative shareholder equity (liabilities exceed assets) therefore debt is not covered by short term assets.


Next Steps

Dividend

What is Boeing's current dividend yield, its reliability and sustainability?

2.44%

Current Dividend Yield


Dividend Yield vs Market

company2.4%marketbottom25%1.4%markettop25%3.7%industryaverage1.9%forecastin3Years2.7%

Current dividend yield vs market & industry


Stability and Growth of Payments

Notable Dividend: BA's dividend (2.44%) is higher than the bottom 25% of dividend payers in the US market (1.45%).

High Dividend: BA's dividend (2.44%) is low compared to the top 25% of dividend payers in the US market (3.68%).

Stable Dividend: BA's dividends per share have been stable in the past 10 years.

Growing Dividend: BA's dividend payments have increased over the past 10 years.


Current Payout to Shareholders

Dividend Coverage: At its current payout ratio (85.9%), BA's payments are covered by earnings.


Future Payout to Shareholders

Future Dividend Coverage: BA's dividends in 3 years are forecast to be well covered by earnings (42.6% payout ratio).


Next Steps

Management

What is the CEO of Boeing's salary, the management and board of directors tenure and is there insider trading?

3.6yrs

Average management tenure


CEO

Dennis Muilenburg (55yo)

4.3yrs

Tenure

US$23,392,187

Compensation

Mr. Dennis A. Muilenburg has been the Chief Executive Officer of The Boeing Company since July 2015 and served as its Chairman since March 1, 2016 until October 2019. Mr. Muilenburg has been the President  ...


CEO Compensation Analysis

Compensation vs. Market: Dennis's total compensation ($USD23.39M) is about average for companies of similar size in the US market ($USD11.18M).

Compensation vs Earnings: Dennis's compensation has increased by more than 20% whilst company earnings have fallen more than 20% in the past year.


Management Age and Tenure

3.6yrs

Average Tenure

53yo

Average Age

Experienced Management: BA's management team is considered experienced (3.6 years average tenure).


Board Age and Tenure

9.3yrs

Average Tenure

64.5yo

Average Age

Experienced Board: BA's board of directors are considered experienced (9.3 years average tenure).


Insider Trading

Insider Buying: Insufficient data to determine if insiders have bought more shares than they have sold in the past 3 months.


Recent Insider Transactions

SellUS$3,488,88613 Feb 19
J. Luttig
EntityIndividual
Role
Senior Key Executive
Executive VP and Counselor & Senior Advisor to the Board of Directors
Shares8,500
Max PriceUS$410.95
SellUS$5,032,93812 Feb 19
Kevin McAllister
EntityIndividual
Shares12,637
Max PriceUS$398.27
SellUS$1,750,35031 Oct 18
Diana Sands
EntityIndividual
Role
Chief Administrative Officer
Senior Vice President for Office of Internal Governance & Administration
Shares5,000
Max PriceUS$350.07

Ownership Breakdown


Management Team

  • Greg Smith (52yo)

    CFO and Executive VP of Enterprise Performance & Strategy

    • Tenure: 7.7yrs
    • Compensation: US$8.68m
  • Mike Luttig (65yo)

    Executive VP and Counselor & Senior Advisor to the Board of Directors

    • Tenure: 0yrs
    • Compensation: US$7.81m
  • Greg Hyslop (60yo)

    CTO and Senior VP of Boeing Engineering

    • Tenure: 3.3yrs
    • Compensation: US$8.57m
  • Dennis Muilenburg (55yo)

    CEO, President & Director

    • Tenure: 4.3yrs
    • Compensation: US$23.39m
  • Andy Ward (48yo)

    Chief Investment Officer

    • Tenure: 10.2yrs
  • Leanne Caret (52yo)

    Executive Vice President

    • Tenure: 3.6yrs
    • Compensation: US$10.73m
  • Diana Sands (53yo)

    Senior Vice President for Office of Internal Governance & Administration

    • Tenure: 3.6yrs
    • Compensation: US$5.14m
  • Maurita Sutedja

    Vice President of Investor Relations

    • Tenure: 2.1yrs
  • Ted Colbert (45yo)

    Chief Information Officer and Senior VP of Information Technology & Data Analytics

    • Tenure: 5.9yrs
  • Jenette Ramos (53yo)

    Senior Vice President of Manufacturing

    • Tenure: 2.3yrs

Board Members

  • Larry Kellner (60yo)

    Independent Director

    • Tenure: 8yrs
    • Compensation: US$371.00k
  • Mike Zafirovski (65yo)

    Independent Director

    • Tenure: 15yrs
    • Compensation: US$346.00k
  • Art Collins (71yo)

    Independent Director

    • Tenure: 12.6yrs
    • Compensation: US$366.00k
  • Ed Liddy (73yo)

    Independent Director

    • Tenure: 9.3yrs
    • Compensation: US$315.00k
  • Ron Williams (70yo)

    Independent Director

    • Tenure: 8.8yrs
    • Compensation: US$361.00k
  • Dave Calhoun (61yo)

    Non-Executive Chairman & Lead Director

    • Tenure: 0yrs
    • Compensation: US$355.11k
  • Susan Schwab (64yo)

    Independent Director

    • Tenure: 9.7yrs
    • Compensation: US$346.00k
  • Lynn Good (59yo)

    Independent Director

    • Tenure: 4.2yrs
    • Compensation: US$315.00k
  • Edmund Giambastiani (70yo)

    Independent Director

    • Tenure: 10yrs
    • Compensation: US$325.63k
  • Dennis Muilenburg (55yo)

    CEO, President & Director

    • Tenure: 4.3yrs
    • Compensation: US$23.39m

Company Information

The Boeing Company's company bio, employee growth, exchange listings and data sources


Key Information

  • Name: The Boeing Company
  • Ticker: BA
  • Exchange: NYSE
  • Founded: 1916
  • Industry: Aerospace and Defense
  • Sector: Capital Goods
  • Market Cap: US$189.633b
  • Shares outstanding: 562.71m
  • Website: https://www.boeing.com

Number of Employees


Location

  • The Boeing Company
  • 100 North Riverside Plaza
  • Chicago
  • Illinois
  • 60606
  • United States

Listings

TickerExchangePrimary SecuritySecurity TypeCountryCurrencyListed on
BASWX (SIX Swiss Exchange)YesCommon SharesCHCHFJan 1968
BANYSE (New York Stock Exchange)YesCommon SharesUSUSDJan 1968
BOELSE (London Stock Exchange)YesCommon SharesGBUSDJan 1968
BA *BMV (Bolsa Mexicana de Valores)YesCommon SharesMXMXNJan 1968
BCODB (Deutsche Boerse AG)YesCommon SharesDEEURJan 1968
BAWBAG (Wiener Boerse AG)YesCommon SharesATEURJan 1968
BCOXTRA (XETRA Trading Platform)YesCommon SharesDEEURJan 1968
BASNSE (Santiago Stock Exchange)YesCommon SharesCLUSDJan 1968
BOEIENXTBR (Euronext Brussels)YesCommon SharesBEUSDJan 1968
BABASE (Buenos Aires Stock Exchange)CEDEAR (3 REP 1 USD5)ARARSMar 2000
BOEI34BOVESPA (Bolsa de Valores de Sao Paulo)BDR EACH REPR 1 COM SHSBRBRLAug 2012

Biography

The Boeing Company, together with its subsidiaries, designs, develops, manufactures, sales, services, and supports commercial jetliners, military aircraft, satellites, missile defense, human space flight a ...


Company Analysis and Financial Data Status

All financial data provided by Standard & Poor's Capital IQ.
DataLast Updated (UTC time)
Company Analysis2019/10/22 23:32
End of Day Share Price2019/10/22 00:00
Earnings2019/06/30
Annual Earnings2018/12/31


Unless specified all financial data is based on a yearly period but updated quarterly. This is known as Trailing Twelve Month (TTM) or Last Twelve Month (LTM) Data. Learn more here.