What Are Analysts’ Recommendations for Boeing Stock?



Analyst views

According to a Reuters consensus, out of the 25 analysts tracking Boeing (BA) stock, 24% (six analysts) have a “strong buy” recommendation on the stock and 28% (seven analysts) tracking the stock have a “buy” recommendation.

Nine analysts (36%) have a “hold” rating, and the remaining 12% (three analysts) have a “sell” rating. None of the analysts have a “strong sell” rating on the stock.

As can be seen from the graph above, the number of analysts tracking the stock has risen in January. Three analysts started coverage during the month, with one recommending a “strong buy,” one a “buy,” and one a “sell rating.”

Most analysts have maintained their recommendations since Boeing’s 3Q16 results. Standpoint Research is the only firm to have downgraded its rating on the stock from a “buy” rating to a “sell.” None of the firms have upgraded their rankings on the stock.

Article continues below advertisement

Target price

Boeing’s (BA) consensus 12-month target price is $161.05, which indicated a 2.1% return potential on January 18, 2017. This target price is significantly higher than the target of $99.80 after its 3Q16 earnings. Currently, Boeing has the highest target price of $192.00, while the lowest target price is $100.00.

Boeing is the largest commercial jet manufacturer in the United States and the world’s second-largest manufacturer after Airbus. It’s also the second-largest defense contractor in the US after Lockheed Martin (LMT). Boeing is followed by Raytheon (RTN), General Dynamics (GD), and Northrop Grumman (NOC).

Boeing forms ~5.4% of the Dow Jones Industrial Average ETF’s (DIA) portfolio.

In the next few articles, we’ll discuss what led to these recommendations, helping investors judge whether analysts are being optimistic or conservative on the stock. We’ll also help you understand what may be priced into the stock.


More From Market Realist