We use cookies to understand how you use our site and to improve your experience. This includes personalizing content and advertising. To learn more, click here. By continuing to use our site, you accept our use of cookies, revised Privacy Policy and Terms of Service.
You are being directed to ZacksTrade, a division of LBMZ Securities and licensed broker-dealer. ZacksTrade and Zacks.com are separate companies. The web link between the two companies is not a solicitation or offer to invest in a particular security or type of security. ZacksTrade does not endorse or adopt any particular investment strategy, any analyst opinion/rating/report or any approach to evaluating individual securities.
If you wish to go to ZacksTrade, click OK. If you do not, click Cancel.
Boeing, Jet Airways Ink Deal Worth $8.8B for 75 737 Max Jets
Read MoreHide Full Article
The Boeing Company (BA - Free Report) has recently signed a deal with Jet Airways for delivering 75 of its 737 MAX 8 aircraft to India’s second largest airline company. This order is in sync with the airlines’ latest rush to expand its network to meet the surging demand in the fastest-growing aviation market in the world.
The deal, valued at $8.8 billion at current list prices, is the fourth consecutive agreement between Boeing and Jet Airways over the last year, taking the purchase tally to 225 aircraft. The deal got sealed during a signing ceremony at the 2018 Farnborough International Airshow.
Boeing’s Market Prospects in India
Due to the rising level of airborne passengers and cargo traffic, major airlines from all over the world, including India-based airlines, are increasing their fleet size to meet rigorous customer demands. According to the International Air Transport Association, in March 2018, the domestic Indian passenger traffic witnessed 27.9% rise from the previous year. Naturally, this must have prompted Indian airlines to aggressively expand their fleets and the latest deal between Boeing and Jet Airways is bright evidence to that.
Lately, Boeing has inked a number of significant deals with its Indian customers, to aid the growing aviation market in the nation. For instance, in June, Boeing entered a $3.3-billion agreement with Vistara for delivering six of its 787 dreamliners to the airlines. During the same period, SpiceJet also placed an order for 40 Boeing 737 MAX aircraft in exchange for $4.74 billion. Such impressive orders for India based airlines will enable Boeing to capitalize and capture a sizeable market share in the country.
In the light of these developments, it is imperative to mention that India — the third largest economy in Asia — has emerged to be a promising market for Boeing. Moreover, India is expected to become the world’s fastest-growing aviation market. According to the company, the country will need 2,100 new planes worth $290 billion in next 20 years, up 13.5% from the year-ago estimates of 1,850 planes. Considering the expanding jet market within the nation, we may expect to witness more such deals between Indian airlines and Boeing. No doubt, such deals will instill significant growth in Boeing’s Commercial Airplanes business segment over the long run.
Price Movement
Boeing’s stock has rallied about 70.3% in a year, compared with the industry’s gain of 31.7%. The outperformance was primarily led by the robust worldwide demand for its commercial aircraft and for its military jets.
Zacks Rank & Key Picks
Boeing currently carries a Zacks Rank #3 (Hold). A few better-ranked stocks in the same space are Northrop Grumman (NOC - Free Report) , Textron Inc. (TXT - Free Report) and Engility Holdings .
Northrop Grumman has recorded an average positive earnings surprise of 13.87% in the last four quarters. The Zacks Consensus Estimate for 2018 earnings has risen by 6.54% to $16.61 in the past 90 days.
Textron has recorded an average positive earnings surprise of 16.64% in the last four quarters. The Zacks Consensus Estimate for 2018 earnings has risen by 3.60% to $3.16 in the past 90 days.
Engility has recorded an average positive earnings surprise of 15.08% in the last four quarters. The Zacks Consensus Estimate for 2018 earnings has risen by 0.5% to $1.91 in the past 90 days.
Today's Stocks From Zacks' Hottest Strategies
It's hard to believe, even for us at Zacks. But while the market gained +21.9% in 2017, our top stock-picking screens have returned +115.0%, +109.3%, +104.9%, +98.6% and +67.1%.
And this outperformance has not just been a recent phenomenon. Over the years it has been remarkably consistent. From 2000 - 2017, the composite yearly average gain for these strategies has beaten the market more than 19X over. Maybe even more remarkable is the fact that we're willing to share their latest stocks with you without cost or obligation.
Image: Bigstock
Boeing, Jet Airways Ink Deal Worth $8.8B for 75 737 Max Jets
The Boeing Company (BA - Free Report) has recently signed a deal with Jet Airways for delivering 75 of its 737 MAX 8 aircraft to India’s second largest airline company. This order is in sync with the airlines’ latest rush to expand its network to meet the surging demand in the fastest-growing aviation market in the world.
The deal, valued at $8.8 billion at current list prices, is the fourth consecutive agreement between Boeing and Jet Airways over the last year, taking the purchase tally to 225 aircraft. The deal got sealed during a signing ceremony at the 2018 Farnborough International Airshow.
Boeing’s Market Prospects in India
Due to the rising level of airborne passengers and cargo traffic, major airlines from all over the world, including India-based airlines, are increasing their fleet size to meet rigorous customer demands. According to the International Air Transport Association, in March 2018, the domestic Indian passenger traffic witnessed 27.9% rise from the previous year. Naturally, this must have prompted Indian airlines to aggressively expand their fleets and the latest deal between Boeing and Jet Airways is bright evidence to that.
Lately, Boeing has inked a number of significant deals with its Indian customers, to aid the growing aviation market in the nation. For instance, in June, Boeing entered a $3.3-billion agreement with Vistara for delivering six of its 787 dreamliners to the airlines. During the same period, SpiceJet also placed an order for 40 Boeing 737 MAX aircraft in exchange for $4.74 billion. Such impressive orders for India based airlines will enable Boeing to capitalize and capture a sizeable market share in the country.
In the light of these developments, it is imperative to mention that India — the third largest economy in Asia — has emerged to be a promising market for Boeing. Moreover, India is expected to become the world’s fastest-growing aviation market. According to the company, the country will need 2,100 new planes worth $290 billion in next 20 years, up 13.5% from the year-ago estimates of 1,850 planes. Considering the expanding jet market within the nation, we may expect to witness more such deals between Indian airlines and Boeing. No doubt, such deals will instill significant growth in Boeing’s Commercial Airplanes business segment over the long run.
Price Movement
Boeing’s stock has rallied about 70.3% in a year, compared with the industry’s gain of 31.7%. The outperformance was primarily led by the robust worldwide demand for its commercial aircraft and for its military jets.
Zacks Rank & Key Picks
Boeing currently carries a Zacks Rank #3 (Hold). A few better-ranked stocks in the same space are Northrop Grumman (NOC - Free Report) , Textron Inc. (TXT - Free Report) and Engility Holdings .
While Northrop Grumman sports a Zacks Rank #1 (Strong Buy), Textron and Engility carry a Zacks Rank #2(Buy). You can see the complete list of today’s Zacks #1 Rank stocks here.
Northrop Grumman has recorded an average positive earnings surprise of 13.87% in the last four quarters. The Zacks Consensus Estimate for 2018 earnings has risen by 6.54% to $16.61 in the past 90 days.
Textron has recorded an average positive earnings surprise of 16.64% in the last four quarters. The Zacks Consensus Estimate for 2018 earnings has risen by 3.60% to $3.16 in the past 90 days.
Engility has recorded an average positive earnings surprise of 15.08% in the last four quarters. The Zacks Consensus Estimate for 2018 earnings has risen by 0.5% to $1.91 in the past 90 days.
Today's Stocks From Zacks' Hottest Strategies
It's hard to believe, even for us at Zacks. But while the market gained +21.9% in 2017, our top stock-picking screens have returned +115.0%, +109.3%, +104.9%, +98.6% and +67.1%.
And this outperformance has not just been a recent phenomenon. Over the years it has been remarkably consistent. From 2000 - 2017, the composite yearly average gain for these strategies has beaten the market more than 19X over. Maybe even more remarkable is the fact that we're willing to share their latest stocks with you without cost or obligation.
See Them Free>>