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Boeing (BA) Gains But Lags Market: What You Should Know

Boeing (BA) closed at $180.08 in the latest trading session, marking a +0.67% move from the prior day. This change lagged the S&P 500's 0.78% gain on the day. Meanwhile, the Dow gained 0.68%, and the Nasdaq, a tech-heavy index, added 1.44%.

Heading into today, shares of the airplane builder had lost 17.47% over the past month, lagging the Aerospace sector's loss of 14.78% and the S&P 500's loss of 1.32% in that time.

Investors will be hoping for strength from BA as it approaches its next earnings release. The company is expected to report EPS of -$2.44, down 183.56% from the prior-year quarter. Meanwhile, our latest consensus estimate is calling for revenue of $12.83 billion, down 18.56% from the prior-year quarter.

For the full year, our Zacks Consensus Estimates are projecting earnings of -$6.08 per share and revenue of $63.49 billion, which would represent changes of -75.22% and -17.07%, respectively, from the prior year.

Any recent changes to analyst estimates for BA should also be noted by investors. Recent revisions tend to reflect the latest near-term business trends. As such, positive estimate revisions reflect analyst optimism about the company's business and profitability.

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, which ranges from #1 (Strong Buy) to #5 (Strong Sell), has an impressive outside-audited track record of outperformance, with #1 stocks generating an average annual return of +25% since 1988. Over the past month, the Zacks Consensus EPS estimate has moved 20.53% lower. BA is currently sporting a Zacks Rank of #3 (Hold).

The Aerospace - Defense industry is part of the Aerospace sector. This industry currently has a Zacks Industry Rank of 220, which puts it in the bottom 14% of all 250+ industries.

The Zacks Industry Rank gauges the strength of our individual 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.

You can find more information on all of these metrics, and much more, on Zacks.com.


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