Boeing Profitability Analysis

BA Stock  USD 179.84  2.69  1.47%   
Considering the key profitability indicators obtained from Boeing's historical financial statements, The Boeing may not be well positioned to generate adequate gross income at the present time. It has a very high chance of underperforming in April. Profitability indicators assess Boeing's ability to earn profits and add value for shareholders.
 
Net Loss  
First Reported
1989-06-30
Previous Quarter
-1.6 B
Current Value
-23 M
Quarterly Volatility
1.3 B
 
Oil Shock
 
Dot-com Bubble
 
Housing Crash
 
Credit Downgrade
 
Yuan Drop
 
Covid
At present, Boeing's Price To Sales Ratio is projected to increase slightly based on the last few years of reporting. The current year's Price Sales Ratio is expected to grow to 2.13, whereas Operating Cash Flow Sales Ratio is forecasted to decline to 0.07. At present, Boeing's Non Operating Income Net Other is projected to increase significantly based on the last few years of reporting. The current year's Interest Income is expected to grow to about 3.1 B, whereas Accumulated Other Comprehensive Income is forecasted to decline to (10.8 B).
Current ValueLast YearChange From Last Year 10 Year Trend
Return On Equity0.120.1289
Significantly Down
Very volatile
For Boeing profitability analysis, we use financial ratios and fundamental drivers that measure the ability of Boeing to generate income relative to revenue, assets, operating costs, and current equity. These fundamental indicators attest to how well The Boeing utilizes its assets to generate profit and value for its shareholders. The profitability module also shows relationships between Boeing's most relevant fundamental drivers. It provides multiple suggestions of what could affect the performance of The Boeing over time as well as its relative position and ranking within its peers.
  
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Is Boeing's industry expected to grow? Or is there an opportunity to expand the business' product line in the future? Factors like these will boost the valuation of Boeing. If investors know Boeing will grow in the future, the company's valuation will be higher. The financial industry is built on trying to define current growth potential and future valuation accurately. All the valuation information about Boeing listed above have to be considered, but the key to understanding future value is determining which factors weigh more heavily than others.
Quarterly Earnings Growth
(0.68)
Earnings Share
(3.67)
Revenue Per Share
128.415
Quarterly Revenue Growth
0.102
Return On Assets
0.0059
The market value of Boeing is measured differently than its book value, which is the value of Boeing that is recorded on the company's balance sheet. Investors also form their own opinion of Boeing's value that differs from its market value or its book value, called intrinsic value, which is Boeing's true underlying value. Investors use various methods to calculate intrinsic value and buy a stock when its market value falls below its intrinsic value. Because Boeing's market value can be influenced by many factors that don't directly affect Boeing's underlying business (such as a pandemic or basic market pessimism), market value can vary widely from intrinsic value.
Please note, there is a significant difference between Boeing's value and its price as these two are different measures arrived at by different means. Investors typically determine if Boeing is a good investment by looking at such factors as earnings, sales, fundamental and technical indicators, competition as well as analyst projections. However, Boeing's price is the amount at which it trades on the open market and represents the number that a seller and buyer find agreeable to each party.

Boeing Working Capital vs. Total Asset Fundamental Analysis

Comparative valuation techniques use various fundamental indicators to help in determining Boeing's current stock value. Our valuation model uses many indicators to compare Boeing value to that of its competitors to determine the firm's financial worth.
The Boeing is number one stock in total asset category among related companies. It is number one stock in working capital category among related companies reporting about  0.10  of Working Capital per Total Asset. The ratio of Total Asset to Working Capital for The Boeing is roughly  10.19 . The current year's Net Working Capital is expected to grow to about 17.9 B. The current year's Change In Working Capital is expected to grow to about 4.3 B. Comparative valuation analysis is a catch-all model that can be used if you cannot value Boeing by discounting back its dividends or cash flows. This model doesn't attempt to find an intrinsic value for Boeing's Stock . Still, instead, it compares the stock's price multiples to a benchmark or nearest competition to determine if the stock is relatively undervalued or overvalued. The reason why the comparable model can be used in almost all circumstances is due to the vast number of multiples that can be utilized, such as the price-to-earnings (P/E), price-to-book (P/B), price-to-sales (P/S), price-to-cash flow (P/CF), and many others. The P/E ratio is the most commonly used of these ratios because it focuses on the Boeing's earnings, one of the primary drivers of an investment's value.

Boeing Working Capital vs. Total Asset

Total Asset is everything that a business owns. It is the sum of current and long-term assets owned by a firm at a given time. These assets are listed on a balance sheet and typically valued based on their purchasing prices, not the current market value.

Boeing

Total Asset

 = 

Tangible Assets

+

Intangible Assets

 = 
137.01 B
Total Asset is typically divided on the balance sheet on current asset and long-term asset. Long-term is the value of company property and other capital assets that are expected to be useable for more than one year. Long term assets are reported net of depreciation. On the other hand current assets are assets that are expected to be sold or converted to cash as part of normal business operation.
Working Capital is a measure of company efficiency and operating liquidity. The working capital is usually calculated by subtracting Current Liabilities from Current Assets. It is an important indicator of the firm ability to continue its normal operations without additional debt obligations. .

Boeing

Working Capital

 = 

Current Assets

-

Current Liabilities

 = 
13.45 B
Working Capital can be positive or negative, depending on how much of current debt the company is carrying on its balance sheet. In general terms, companies that have a lot of working capital will experience more growth in the near future since they can expand and improve their operations using existing resources. On the other hand, companies with small or negative working capital may lack the funds necessary for growth or future operation. Working Capital also shows if the company has sufficient liquid resources to satisfy short-term liabilities and operational expenses.

Boeing Working Capital Comparison

Boeing is currently under evaluation in working capital category among related companies.

Boeing Profitability Projections

The most important aspect of a successful company is its ability to generate a profit. For investors in Boeing, profitability is also one of the essential criteria for including it into their portfolios because, without profit, Boeing will eventually generate negative long term returns. The profitability progress is the general direction of Boeing's change in net profit over the period of time. It can combine multiple indicators of Boeing, where stable trends show no significant progress. An accelerating trend is seen as positive, while a decreasing one is unfavorable. A rising trend means that profits are rising, and operational efficiency may be rising as well. A decreasing trend is a sign of poor performance and may indicate upcoming losses.
Last ReportedProjected for 2024
Accumulated Other Comprehensive Income-10.3 B-10.8 B
Operating Income-773 M-734.4 M
Income Before Tax-2 B-1.9 B
Total Other Income Expense Net-1.2 B-1.2 B
Net Loss-2.2 B-2.1 B
Income Tax Expense-237 M-225.2 M
Net Loss-4.4 B-4.2 B
Net Loss-2.2 B-2.1 B
Non Operating Income Net Other1.2 B1.3 B
Interest Income2.9 B3.1 B
Net Interest Income-2.5 B-2.3 B
Change To Netincome1.4 B1.1 B
Net Income Per E B T 1.11  0.60 

Boeing Profitability Driver Comparison

Profitability drivers are factors that can directly affect your investment outlook on Boeing. Investors often realize that things won't turn out the way they predict. There are maybe way too many unforeseen events and contingencies during the holding period of Boeing position where the market behavior may be hard to predict, tax policy changes, gold or oil price hikes, calamities change, and many others. The question is, are you prepared for these unexpected events? Although some of these situations are obviously beyond your control, you can still follow the important profit indicators to know where you should focus on when things like this occur. Below are some of the Boeing's important profitability drivers and their relationship over time.

Boeing Profitability Trends

Boeing profitability trend refers to the progression of profit or loss within a business. An upward trend means that Boeing's profit has generally increased over time, and a downward profitability trend means profits are declining. Recognizing problems early in profitability trends allows investors to address revenue and cost issues in advance. Investors and analysts usually monitor three types of profitability trends: gross, operating, and net. Gross profit is the difference between revenue and costs of goods sold. Operating profit is Boeing's gross profit minus its overhead. After you account for other unusual revenue, expenses, and costs, you get net profit. Gross profit trends are often a good indicator of future profitability. If you have high gross profit margins, you have a better chance to cover overhead and make money.

Boeing Profitability Drivers Correlations

One of the toughest challenges investors face today is learning how to quickly synthesize and read into endless financial statements and information provided by the company, SEC reporting, and various external parties. Understanding the correlation between Boeing different financial indicators related to revenue and profit generation helps investors identify and prioritize their investing strategies towards Boeing in a much-optimized way. Analyzing correlations between profit drivers that are directly associated with dollar figures is the most effective way to break down Boeing's future profitability.

Use Boeing in pair-trading

One of the main advantages of trading using pair correlations is that every trade hedges away some risk. Because there are two separate transactions required, even if Boeing position performs unexpectedly, the other equity can make up some of the losses. Pair trading also minimizes risk from directional movements in the market. For example, if an entire industry or sector drops because of unexpected headlines, the short position in Boeing will appreciate offsetting losses from the drop in the long position's value.

Boeing Pair Trading

The Boeing Pair Trading Analysis

The ability to find closely correlated positions to Boeing could be a great tool in your tax-loss harvesting strategies, allowing investors a quick way to find a similar-enough asset to replace Boeing when you sell it. If you don't do this, your portfolio allocation will be skewed against your target asset allocation. So, investors can't just sell and buy back Boeing - that would be a violation of the tax code under the "wash sale" rule, and this is why you need to find a similar enough asset and use the proceeds from selling The Boeing to buy it.
The correlation of Boeing is a statistical measure of how it moves in relation to other equities. This measure is expressed in what is known as the correlation coefficient, which ranges between -1 and +1. A perfect positive correlation (i.e., a correlation coefficient of +1) implies that as Boeing moves, either up or down, the other security will move in the same direction. Alternatively, perfect negative correlation means that if Boeing moves in either direction, the perfectly negatively correlated security will move in the opposite direction. If the correlation is 0, the equities are not correlated; they are entirely random. A correlation greater than 0.8 is generally described as strong, whereas a correlation less than 0.5 is generally considered weak.
Correlation analysis and pair trading evaluation for Boeing can also be used as hedging techniques within a particular sector or industry or even over random equities to generate a better risk-adjusted return on your portfolios.
Pair CorrelationCorrelation Matching

Use Investing Themes to Complement your Boeing position

In addition to having Boeing in your portfolios, you can quickly add positions using our predefined set of ideas and optimize them against your very unique investing style. A single investing idea is a collection of funds, stocks, ETFs, or cryptocurrencies that are programmatically selected from a pull of investment themes. After you determine your investment opportunity, you can then find an optimal portfolio that will maximize potential returns on the chosen idea or minimize its exposure to market volatility.

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Long/short ETFs Theme
ETF themes focus on helping investors to gain exposure to a broad range of assets, diversify, and lower overall costs. The Long/short ETFs theme has 21 constituents at this time.
You can either use a buy-and-hold strategy to lock in the entire theme or actively trade it to take advantage of the short-term price volatility of individual constituents. Macroaxis can help you discover thousands of investment opportunities in different asset classes. In addition, you can partner with us for reliable portfolio optimization as you plan to utilize Long/short ETFs Theme or any other thematic opportunities.
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When determining whether Boeing offers a strong return on investment in its stock, a comprehensive analysis is essential. The process typically begins with a thorough review of Boeing's financial statements, including income statements, balance sheets, and cash flow statements, to assess its financial health. Key financial ratios are used to gauge profitability, efficiency, and growth potential of The Boeing Stock. Outlined below are crucial reports that will aid in making a well-informed decision on The Boeing Stock:
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Note that the Boeing information on this page should be used as a complementary analysis to other Boeing's statistical models used to find the right mix of equity instruments to add to your existing portfolios or create a brand new portfolio. You can also try the Aroon Oscillator module to analyze current equity momentum using Aroon Oscillator and other momentum ratios.

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When running Boeing's price analysis, check to measure Boeing's market volatility, profitability, liquidity, solvency, efficiency, growth potential, financial leverage, and other vital indicators. We have many different tools that can be utilized to determine how healthy Boeing is operating at the current time. Most of Boeing's value examination focuses on studying past and present price action to predict the probability of Boeing's future price movements. You can analyze the entity against its peers and the financial market as a whole to determine factors that move Boeing's price. Additionally, you may evaluate how the addition of Boeing to your portfolios can decrease your overall portfolio volatility.
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To fully project Boeing's future profitability, investors should examine all historical financial statements. These statements provide investors with a comprehensive snapshot of the financial position of Boeing at a specified time, usually calculated after every quarter, six months, or one year. Three primary documents fall into the category of financial statements. These documents include Boeing's income statement, its balance sheet, and the statement of cash flows.
Potential Boeing investors and stakeholders can use historical trends found within financial statements to determine how well the company is positioned for the future. Although Boeing investors may work on each financial statement separately, they are all related. The changes in Boeing's assets and liabilities, for example, are also reflected in the revenues and expenses that we see on Boeing's income statement, which results in the company's gains or losses. Cash flows can provide more information regarding cash listed on a balance sheet but not equivalent to net income shown on the income statement. Please read more on our technical analysis and fundamental analysis pages.