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| Comapny name |
: |
Boeing Co |
| Share |
: |
BA |
Analysis date |
: |
27-Oct-2007 |
| Stock exchange |
: |
NYSE |
Rating |
: |
5/9 |
|
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| 1 |
History of Consistently Increasing EPS, Sales & Cash Flow. |
| |
1) EPS has increased consistently over 5 years? |
No |
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2) Sales has increased Consistently over 5 years? |
No |
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3) Cash Flow has increased consistently over 5 years? |
Yes |
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4) What is the historical/projected EPS growth rate?
|
12.70% |
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|
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| 2 |
Sunstainable Competitive Advantage |
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1) The company has a sustainable competitive advantage? |
Yes |
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The Boeing Company is a major aerospace and defense corporation. Boeing is the largest global aircraft manufacturer by revenue, the second largest by deliveries and the second-largest aerospace and defense contractor in the world.
Boeing has long been one of the world’s largest civil aircraft companies. In 2006, it took 55% of global commercial aircraft orders. The largest exporter in the United States, Boeing’s stock is a component of the Dow Jones Industrial Average. |
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| 3 |
Future Growth Drivers |
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1) The company has future growth drivers in place? |
Yes |
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Yes, the Boeing 787 Dreamliner is the most successful launch in commercial airplane history. The 787 is sold out from 2008 to 2012. |
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| 4 |
Conservative Debt |
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1) The company has Long Term Debt <3x Net Profit? |
No |
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2) Long-Term Debt is $
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8,157.00 million |
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3) Net Profit is $
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2,215.00 million |
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| 5 |
High & Consistent ROE and ROA |
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1) The company has ROE>12-15% over 5 years? |
No |
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2) The company has ROA>7% over 5 years? |
No |
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| 6 |
Low CAPEX for Maintenance of Current Operations? (Not a key criterion) |
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1) The business requires low CAPEX for maintenance of Current operations? |
No |
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2) Is ( Free Cash Flow/Sales Revenue )>5%? |
Yes |
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|
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| 7 |
Management is Holding/Buying the Stock |
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1) Key Management has not been selling large Proportion of company stock? |
Yes |
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| 8 |
The Stock Price is Selling at a Discount (High Margin of Safety) |
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1) Current operating cash flow/EPS
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$7,499.00 million (Cash flow) |
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2) Projected Earnings Growth Rate
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12.70% |
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3) Number of shares outstanding
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787 million |
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4) Intrinsic Value
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$143.55 |
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5) Share price is below intrinsic value? |
Yes |
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| 9 |
Stock Price is Consolidating or on an Uptrend |
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1) Stock price breaking out of consolidating |
No |
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2) Stock price at a dip on a uptrend |
No |
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3) Stock price above 20 or 50 day moving average |
No |
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