In the latest trading session, Boeing (BA) closed at $224.12, marking a -2.45% move from the previous day. This move lagged the S&P 500's daily loss of 0.94%. On the other hand, the Dow registered a loss of 0.83%, and the technology-centric Nasdaq decreased by 1.02%.
Shares of the airplane builder have depreciated by 1.41% over the course of the past month, underperforming the Aerospace sector's gain of 7.13%, and the S&P 500's loss of 1.3%.
The investment community will be paying close attention to the earnings performance of Boeing in its upcoming release. On that day, Boeing is projected to report earnings of -$0.5 per share, which would represent a year-over-year decline of 2.04%. Meanwhile, the Zacks Consensus Estimate for revenue is projecting net sales of $21.82 billion, up 11.9% from the year-ago period.
For the full year, the Zacks Consensus Estimates project earnings of $0.57 per share and a revenue of $96.58 billion, demonstrating changes of +105.36% and +7.96%, respectively, from the preceding year.
It is also important to note the recent changes to analyst estimates for Boeing. These recent revisions tend to reflect the evolving nature of short-term business trends. As a result, we can interpret positive estimate revisions as a good sign for the business outlook.
Our research reveals that these estimate alterations are directly linked with the stock price performance in the near future. To benefit from this, we have developed the Zacks Rank, a proprietary model which takes these estimate changes into account and provides an actionable rating system.
The Zacks Rank system, spanning from #1 (Strong Buy) to #5 (Strong Sell), boasts an impressive track record of outperformance, audited externally, with #1 ranked stocks yielding an average annual return of +25% since 1988. Over the last 30 days, the Zacks Consensus EPS estimate has moved 6.74% lower. At present, Boeing boasts a Zacks Rank of #3 (Hold).
Looking at its valuation, Boeing is holding a Forward P/E ratio of 402.05. This indicates a premium in contrast to its industry's Forward P/E of 26.42.
The Aerospace - Defense industry is part of the Aerospace sector. This industry, currently bearing a Zacks Industry Rank of 83, finds itself in the top 34% echelons of all 250+ industries.
The Zacks Industry Rank evaluates the power of our distinct industry groups by determining the average Zacks Rank of the individual stocks forming the groups. Our research shows that the top 50% rated industries outperform the bottom half by a factor of 2 to 1.
Make sure to utilize Zacks.com to follow all of these stock-moving metrics, and more, in the coming trading sessions.
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The Boeing Company (BA): Free Stock Analysis ReportThis article originally published on Zacks Investment Research (zacks.com).
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