What's Going On With Boeing's Stock?

Boeing Company BA shares are trading lower Friday, and the stock is down more than 5% over the past five days. Here's a look at what to know. 

What To Know:

Boeing shares continue moving lower on downward momentum as the company faces ongoing scrutiny of its safety and quality standards. 

A new whistleblower, former Boeing engineer Sam Salehpour, came forward with claims that the fuselage sections on 787 Dreamliners are improperly fastened together and could break apart mid-flight. The U.S. Senate Permanent Subcommittee on Investigations will hold a hearing next Wednesday to examine Boeing’s safety culture, including Salehpour’s claims.

Multiple analysts have lowered price targets on Boeing with JP Morgan analyst Seth Seifman lowering the price target from $230 to $210 and B of A Securities lowering its price target from $210 to $190 on Friday. 

Related News: What’s Going On With Ginkgo Bioworks Stock?

BA Stock Prediction 2024:

When buying a stock for a longer time horizon, it is important for investors to assess where they think the stock is headed in the future.

When mapping a stock's future trajectory, investors should consider factors including the future earnings expectations and expected performance against a benchmark.

Boeing's revenue has grown at an average rate of 0.4% annually over the past 5 years. The average 1-year price target from analysts is $237.52, representing an expected 37.8% upside in 2025.

While past performance is not a guarantee of future results, investors should also look at a stock's historical performance when compared to both a benchmark index and the company's peers. Shares of Boeing have seen an annualized return of -11.43%, under-performing the S&P500 index by 19.42%. This compares to 8.92% growth in the overall Industrials sector. Boeing has a beta of 1.26.

BA Price Action: According to Benzinga Pro, Boeing shares are down 0.76% at $172.12 at the time of publication Friday. 

Image: Martin Herfurt from Pixabay