Boeing Set For Improved Deliveries And Production Rates, Goldman Sachs Analyst Says
Portfolio Pulse from Lekha Gupta
Goldman Sachs analyst Noah Poponak has given a positive outlook for Boeing (NYSE:BA), expecting improved deliveries and production rates. Boeing is projected to achieve 43 deliveries in June, with a significant portion being newly produced 737 MAX aircraft. The company is focusing on product quality and plans to gradually increase output later in the year. Poponak has set a price target of $243 for Boeing, citing a 5.0% FCF yield on projected 2025 free cash flow per share. Boeing has also entered into an agreement to purchase Spirit AeroSystems Holdings (NYSE:SPR) at a 30% premium. Investors can gain exposure to Boeing through IShares U.S. Aerospace & Defense ETF (BATS:ITA) and Invesco Aerospace & Defense ETF (NYSE:PPA).
July 03, 2024 | 5:59 pm
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POSITIVE IMPACT
Goldman Sachs analyst Noah Poponak expects Boeing to achieve 43 deliveries in June, with a focus on product quality and gradual production ramp-up. The analyst has set a price target of $243, citing a 5.0% FCF yield on projected 2025 free cash flow per share.
The positive outlook on deliveries and production rates, along with a high price target, is likely to boost investor confidence in Boeing. The focus on product quality and gradual ramp-up aligns with strategic goals, supporting a positive short-term impact.
CONFIDENCE 85
IMPORTANCE 90
RELEVANCE 100
POSITIVE IMPACT
Investors can gain exposure to Boeing through IShares U.S. Aerospace & Defense ETF, which includes Boeing in its portfolio.
Positive news for Boeing is likely to have a favorable impact on ETFs that include Boeing in their portfolio, such as IShares U.S. Aerospace & Defense ETF.
CONFIDENCE 75
IMPORTANCE 70
RELEVANCE 50
POSITIVE IMPACT
Investors can gain exposure to Boeing through Invesco Aerospace & Defense ETF, which includes Boeing in its portfolio.
Positive news for Boeing is likely to have a favorable impact on ETFs that include Boeing in their portfolio, such as Invesco Aerospace & Defense ETF.
CONFIDENCE 75
IMPORTANCE 70
RELEVANCE 50
POSITIVE IMPACT
Boeing has entered into an agreement to purchase Spirit AeroSystems Holdings at $37.25 a share, a 30% premium to Spirit’s closing stock price on February 29.
The acquisition at a 30% premium is likely to positively impact Spirit AeroSystems' stock price in the short term as it reflects a significant valuation uplift.
CONFIDENCE 80
IMPORTANCE 85
RELEVANCE 80