Boeing (BA - Free Report) closed the most recent trading day at $381.65, moving +1.23% from the previous trading session. This change outpaced the S&P 500's 0.84% loss on the day. Meanwhile, the Dow lost 0.53%, and the Nasdaq, a tech-heavy index, lost 1.47%.
Coming into today, shares of the airplane builder had gained 5.01% in the past month. In that same time, the Aerospace sector gained 4.15%, while the S&P 500 gained 5.2%.
Investors will be hoping for strength from BA as it approaches its next earnings release. The company is expected to report EPS of $2.33, down 34.92% from the prior-year quarter. Our most recent consensus estimate is calling for quarterly revenue of $20.71 billion, down 17.63% from the year-ago period.
For the full year, our Zacks Consensus Estimates are projecting earnings of $4.09 per share and revenue of $85.61 billion, which would represent changes of -74.45% and -15.35%, respectively, from the prior year.
Investors should also note any recent changes to analyst estimates for BA. These revisions help to show the ever-changing nature of near-term business trends. With this in mind, we can consider positive estimate revisions a sign of optimism about the company's business outlook.
Our research shows that these estimate changes are directly correlated with near-term stock prices. To benefit from this, we have developed the Zacks Rank, a proprietary model which takes these estimate changes into account and provides an actionable rating system.
The Zacks Rank system ranges from #1 (Strong Buy) to #5 (Strong Sell). It has a remarkable, outside-audited track record of success, with #1 stocks delivering an average annual return of +25% since 1988. Within the past 30 days, our consensus EPS projection remained stagnant. BA is currently a Zacks Rank #3 (Hold).
Valuation is also important, so investors should note that BA has a Forward P/E ratio of 92.08 right now. For comparison, its industry has an average Forward P/E of 18.22, which means BA is trading at a premium to the group.
Also, we should mention that BA has a PEG ratio of 11.16. This popular metric is similar to the widely-known P/E ratio, with the difference being that the PEG ratio also takes into account the company's expected earnings growth rate. Aerospace - Defense stocks are, on average, holding a PEG ratio of 2.11 based on yesterday's closing prices.
The Aerospace - Defense industry is part of the Aerospace sector. This group has a Zacks Industry Rank of 9, putting it in the top 4% of all 250+ industries.
The Zacks Industry Rank gauges the strength of our industry groups by measuring the average Zacks Rank of the individual stocks within the groups. Our research shows that the top 50% rated industries outperform the bottom half by a factor of 2 to 1.
To follow BA in the coming trading sessions, be sure to utilize Zacks.com.