Boeing-Innovate Forever

Boeing is an American aerospace company that was founded on 15 July 1916 at Seattle , Washington by William E. Boeing shortly after he developed a single-engine, two-seat seaplane, the B&W.Boeing played a vital role in both the World Wars by developing new airplane for the United States and its allies and purely focused on defence aviation.After the end of the second World War,Boeing heavily employed resources on its commercial aviation division and found great success with the Boeing 707.Seeing this,Boeing finally went public on 2nd January,1962 with an initial price of $0.823.

Boeing currently trades at around 216-218$ with a market cap of 127 BLN $.With the earnings date just around the corner, there is heavy bullish sentiment surrounding the company.Boeing is a behemoth with $100 billion in sales, enjoys a duopoly with Airbus in commercial aviation and ranks as one of the top defence companies supplying the U.S. government. Its 787 Dreamliner is setting flight distance records, and its total backlog equals more than a half decade's worth of production.

With future earnings in the next quarter expected to grow to 21 BLN $,short term gains seem secure.Most financial institutions offer a median target of 275$ with high estimate of 308-310$ and a low estimate of 191$.Boeing has been revising its research and development wing and management top to bottom and has been increasing business efficiency which is seen in heavy cut downs in the operation costs.

The future seems secure as Boeing does not face much competition in its area of commercial aviation and has heavy funding from the US government.It is considered one of the most stable blue chip stocks to invest in by market participants.Recently,Boeing has been surrounded in controversy tho with two fatal crashes surrounding its 737 MAX following which the plane was grounded by the FAA.Boeing is also one of the most affected companies owing to the pandemic as the aviation industry went back to 2008 crisis levels post pandemic which has slowed new orders for Boeing.Despite all this,Boeing stock is reaching pre covid levels of 250-260$ and is continued to grow from there.Boeing is transforming its business model as a whole and is moving more towards the leasing space understanding the reality of cash crunch for airline companies. Development of new aircraft has been halted while current models are being made efficient so that they maximise profitability for airlines.Government funding for the new Air Force One’s and global orders for the C17 Globe-master do show positive signs for the company.