Previous articles on this site were bullish on Boeing (NYSE: BA), the world’s largest airline.
That positive outlook has proven to be accurate as Boeing is up for the last week, month, quarter, six months, and year of market action. For 2014, Boeing has risen slightly. Over the last year of market action, however, Boeing has soared by nearly 40 percent.
There is much to make it appear as if Boeing will continue to ascend.
Earnings-per-share growth is on a bullish upswing. Growth investors should like that trajectory!. Wall Street expects earnings-per-share growth to be higher over the next five years than it has been this year and for the last five years. Much of the new growth for Boeing will be in China and other emerging market nations. That is particularly true for the medium range Boeing 737, which was designed for the Chinese market. There are many other Asian cities in that market for regional flights, too. Boeing also projects strong demand for the 777, which is a long-range airliner.
That is a very bullish outlook.
Income investors should like the dividend framework for the company. At present, the average dividend for a member of the Standard & Poor’s 500 Index (NYSE: SPY) is under 2 percent. For Boeing, the dividend yield is 2.15 percent. There is plenty of cash to support the commitment of the management of the company to increase the dividend. That firmly held position from the management is very reassuring for long term investors. When the dividend amount is increased, investors get a raise.
Boeing is now trading for around $36 a share.
The mean analyst target price for Boeing over the next year of market action is $153.91 a share. The high this year for Boeing is $142.96. The most recent analyst recommendation was a “Buy” from CRT Capital on May 5,. 2014 with a target price of $165.