Boeing’s Fair Value Raised to $153 by DZ Bank – ‘Hold’
On October 28, 2024, at 5:49 PM, the DZ Bank raised Boeing’s fair value from $152 to $153 and maintained a “Hold” rating. Analyst Robert Czerwensky noted that the aircraft manufacturer’s weak quarterly results were partly due to an ongoing employee strike, and the generally positive capital increase came at an unfavorable time.
The Boeing Company is a global leader in aircraft manufacturing. Its net revenue, including intercompany sales, is divided by market as follows:
– Civil aviation (43.5%): In addition to commercial airplanes, the company provides spare parts and offers technical support, maintenance, and engineering services.
– Defense, space, and security (32%): Military aircraft and mobility systems, support services, and space equipment.
– The remaining revenue (24.5%) comes from service activities and financing commercial and private aircraft.
Geographically, Boeing’s net revenue is distributed as follows: United States (58.4%), Europe (13.5%), Asia (12.9%), Middle East (8.5%), Oceania (2.1%), Canada (1.6%), Africa (1.1%), and Other (1.9%).
In addition to the information provided, it is essential to consider the potential impact of global events, such as geopolitical tensions, trade agreements, and technological advancements, on Boeing’s future performance. These factors can influence the demand for aircraft, defense systems, and related services, ultimately affecting the company’s financial outlook.
Investors and analysts may also monitor Boeing’s competitive position within the industry, its innovation efforts, and its ability to adapt to changing market conditions. By staying informed about these aspects, stakeholders can make well-informed decisions regarding their investment strategies and risk management approaches.
Overall, while the DZ Bank’s revised fair value and recommendation for Boeing provide valuable insights, it is crucial for market participants to conduct thorough research and analysis to assess the company’s long-term prospects accurately. By considering a comprehensive range of factors, investors can navigate the dynamic aerospace and defense sector effectively and position themselves for potential growth opportunities.