Boeing (NYSE:BA) Stock Price Down 6.8% – Here’s What Happened

Shares of The Boeing Company (NYSE:BA) were down 6.8% during trading on Monday. The company traded as low as $184.01 and last traded at $184.6630. 17,829,702 shares were traded during trading, an increase of 165% from the average session volume of 6,728,088 shares. The stock had previously closed at $198.07.

Boeing News Roundup

Here are the key news stories impacting Boeing this week:

• Positive Sentiment: The U.S. Navy selected Boeing to develop its next-generation F/A-XX sixth-generation fighter in a contract valued at more than $20 billion for the full-scale development phase. The aircraft is intended to replace the Navy’s F/A-18 Super Hornets, giving Boeing a major new multiyear defense program and a second significant fighter win this year. Boeing chosen by U.S. navy to develop next-generation fighter jet
• Positive Sentiment: The award reinforces a revival of Boeing’s role in U.S. military aircraft production and improves the visibility of its defense backlog. It also came at the expense of Northrop Grumman, Boeing’s main competitor for the program. Boeing wins US Navy’s next-generation fighter contract
• Positive Sentiment: Ethiopian Airlines is expected to sign an agreement for 10 Boeing freighters, providing another potential commercial-aircraft order and supporting demand for Boeing’s cargo portfolio. Ethiopian Airlines to sign agreement with Boeing for 10 freighters
• Positive Sentiment: UBS reiterated its Buy rating, arguing that Boeing’s recent selloff had priced in near-term setbacks while assigning limited value to potential normalized earnings and future free-cash-flow improvement. Boeing shares rebound as UBS calls selloff overdone

Wall Street Analyst Weigh In

BA has been the topic of a number of research analyst reports. The Goldman Sachs Group cut Boeing from a “buy” rating to a “hold” rating in a report on Tuesday, August 11th. Jefferies Financial Group lowered Boeing from a “buy” rating to a “neutral” rating in a research note on Monday. Barclays downgraded shares of Boeing from an “equal weight” rating to an “underweight” rating in a research report on Tuesday, August 11th. UBS Group reaffirmed a “buy” rating on shares of Boeing in a research report on Tuesday. Finally, Citigroup lowered shares of Boeing from a “buy” rating to a “sell” rating in a research report on Tuesday, August 11th. Two equities research analysts have rated the stock with a Strong Buy rating, twelve have given a Buy rating, six have assigned a Hold rating and three have issued a Sell rating to the company. According to MarketBeat, the company currently has a consensus rating of “Moderate Buy” and an average target price of $270.95.

Boeing Price Performance

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 company’s 50-day simple moving average is $213.55 and its 200-day simple moving average is $216.82. The company has a market cap of $148.58 billion, a price-to-earnings ratio of 81.38 and a beta of 1.21.

Boeing (NYSE:BA) last posted its earnings results on Tuesday, July 28th. The aircraft producer reported ($0.76) EPS for the quarter, missing analysts’ consensus estimates of ($0.34) by ($0.42). The firm had revenue of $24.56 billion for the quarter, compared to analyst estimates of $24.26 billion. Boeing had a negative return on equity of 346.82% and a net margin of 2.41%.The company’s revenue for the quarter was up 8.0% on a year-over-year basis. During the same period in the previous year, the firm posted ($1.24) earnings per share. On average, equities research analysts anticipate that The Boeing Company will post -0.91 EPS for the current year.

Institutional Investors Weigh In On Boeing

Several institutional investors and hedge funds have recently made changes to their positions in the company. Highland Investment Advisors LLC acquired a new stake in Boeing during the second quarter worth about $26,000. 1 North Wealth Services LLC bought a new position in shares of Boeing during the fourth quarter worth about $27,000. Wealth Preservation Advisors LLC grew its position in Boeing by 66.7% in the 4th 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 last quarter. Strategic Wealth Advisors LLC acquired a new stake in Boeing in the 2nd quarter valued at approximately $27,000. Finally, Bell Investment Advisors Inc bought a new stake in Boeing during the 2nd quarter valued at $29,000. 64.82% of the stock is owned by institutional investors and hedge funds.

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.