Boeing Co

BA

Aircraft

Mkt Cap

$107.3B

PE

-49.40

Debt

$48.75B

Cash

$6.935B

EV

$149.1B

FCF

$1.29B

Market Cap

$107.3B

P/E Ratio

-49.40

Debt

$48.75B

Cash

$6.935B

EV

$149.1B

FCF

$1.29B

Charts data: {"Earnings":[{"time":"2014-12-30","value":5446000000},{"time":"2015-12-30","value":5173000000},{"time":"2016-12-30","value":4894000000},{"time":"2017-12-30","value":8195000000},{"time":"2018-12-30","value":10439000000},{"time":"2019-12-30","value":-677000000},{"time":"2020-12-30","value":-11941000000},{"time":"2021-12-30","value":-4290000000},{"time":"2022-12-30","value":-5053000000},{"time":"2023-12-30","value":-2242000000}],"Sales":[{"time":"2014-12-30","value":90762000000},{"time":"2015-12-30","value":96114000000},{"time":"2016-12-30","value":94571000000},{"time":"2017-12-30","value":93392000000},{"time":"2018-12-30","value":101127000000},{"time":"2019-12-30","value":76559000000},{"time":"2020-12-30","value":58158000000},{"time":"2021-12-30","value":62286000000},{"time":"2022-12-30","value":66608000000},{"time":"2023-12-30","value":77794000000}],"Net Margins":[{"time":"2014-12-30","value":0.06000308499151627},{"time":"2015-12-30","value":0.05382150363110473},{"time":"2016-12-30","value":0.05174947922724726},{"time":"2017-12-30","value":0.08774841528182285},{"time":"2018-12-30","value":0.10322663581437203},{"time":"2019-12-30","value":-0.008842853224310662},{"time":"2020-12-30","value":-0.20531999037105816},{"time":"2021-12-30","value":-0.06887583084481264},{"time":"2022-12-30","value":-0.07586175834734567},{"time":"2023-12-30","value":-0.028819703319022033}],"Assets":[{"time":"2014-12-30","value":99198000000},{"time":"2015-12-30","value":94408000000},{"time":"2016-12-30","value":89997000000},{"time":"2017-12-30","value":92333000000},{"time":"2018-12-30","value":117359000000},{"time":"2019-12-30","value":133625000000},{"time":"2020-12-30","value":152136000000},{"time":"2021-12-30","value":138552000000},{"time":"2022-12-30","value":137100000000},{"time":"2023-12-30","value":137012000000}],"Stockholders Equity":[{"time":"2014-12-30","value":8790000000},{"time":"2015-12-30","value":6397000000},{"time":"2016-12-30","value":877000000},{"time":"2017-12-30","value":412000000},{"time":"2018-12-30","value":410000000},{"time":"2019-12-30","value":-8300000000},{"time":"2020-12-30","value":-18075000000},{"time":"2021-12-30","value":-14846000000},{"time":"2022-12-30","value":-15848000000},{"time":"2023-12-30","value":-17228000000}],"ROE":[{"time":"2014-12-30","value":0.6195676905574516},{"time":"2015-12-30","value":0.8086603095200875},{"time":"2016-12-30","value":5.580387685290764},{"time":"2017-12-30","value":19.890776699029125},{"time":"2018-12-30","value":25.460975609756098},{"time":"2019-12-30","value":0.08156626506024096},{"time":"2020-12-30","value":0.6606362378976487},{"time":"2021-12-30","value":0.28896672504378285},{"time":"2022-12-30","value":0.3188414941948511},{"time":"2023-12-30","value":0.13013698630136986}],"ROA":[{"time":"2014-12-30","value":0.07533418012459929},{"time":"2015-12-30","value":0.07883865774086941},{"time":"2016-12-30","value":0.06482438303499005},{"time":"2017-12-30","value":0.11131448127971581},{"time":"2018-12-30","value":0.1021395887831355},{"time":"2019-12-30","value":-0.014780168381665107},{"time":"2020-12-30","value":-0.08391833622548246},{"time":"2021-12-30","value":-0.020945204688492407},{"time":"2022-12-30","value":-0.02587162654996353},{"time":"2023-12-30","value":-0.005641841590517619}]}

The Boeing Company, together with its subsidiaries, designs, develops, manufactures, sells, services, and supports commercial jetliners, military aircraft, satellites, missile defense, human space flight and launch systems, and services worldwide. The company operates through four segments: Commercial Airplanes; Defense, Space & Security; Global Services; and Boeing Capital. The Commercial Airplanes segment develops, produces, and markets commercial jet aircraft for passenger and cargo requirements, as well as provides fleet support services. The Defense, Space & Security segment engages in the research, development, production, and modification of manned and unmanned military aircraft and weapons systems; strategic defense and intelligence systems, which include strategic missile and defense systems, command, control, communications, computers, intelligence, surveillance and reconnaissance, cyber and information solutions, and intelligence systems; and satellite systems, such as government and commercial satellites, and space exploration. The Global Services segment offers products and services, including supply chain and logistics management, engineering, maintenance and modifications, upgrades and conversions, spare parts, pilot and maintenance training systems and services, technical and maintenance documents, and data analytics and digital services to commercial and defense customers. The Boeing Capital segment offers financing services and manages financing exposure for a portfolio of equipment under operating leases, sales-type/finance leases, notes and other receivables, assets held for sale or re-lease, and investments. The company was incorporated in 1916 and is based in Arlington, Virginia.

Sector

10-Q
9/30/23
10-Q
6/30/23
10-Q
3/31/23
10-K
12/31/22
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3/31/22
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12/31/21
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12/31/20
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3/31/20
10-K
12/31/19
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6/30/19
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3/31/19
10-K
12/31/18
10-Q
9/30/18
10-Q
6/30/18
10-Q
3/31/18
10-K
12/31/17

DCF

Discounted Cash Flow Valuation of Boeing Co

Calculate

Growth Years

Growth

Start

End

Discount

Start

End

Multiple

g\r	+10%	+11%	+12%	+13%	+14%
0%	10	9	8	8	7
+1%	11	10	9	8	8
+2%	13	11	10	9	8
+3%	14	13	11	10	9
+4%	17	14	12	11	10

Years	0	1	2	3	4	5	6	7	8	9	10	TV
FCF	$1.29B	$1.135B	$999.1M	$879.3M	$773.9M	$681.1M	$599.4M	$527.5M	$464.2M	$408.6M	$359.6M	$3.596B
DCF		$987.2M	$755.5M	$578.2M	$442.5M	$338.6M	$259.1M	$198.3M	$151.8M	$116.1M	$88.88M	$888.8M
Value	$4.805B

Chart P/E ratio

In the chart Earnings are multiplied by this value.

Earnings Growth 12%

Earnings Stability -44%

Competitiveness and MOAT

High margins render the company resilient under dire circumstances, hence able to drive competitors out or acquire them. ROE and ROA measure the average flow generated by each invested dollar. Their marginal value is a forecast of future growth, and it is considered by Buffett and Munger the most important single indicator.

The Net Margin is too low to guarantee profitability in case of higher costs or higher interest rates. Furthermore lower margins cause higher earnings’ volatility.

Over time the ROA has been decreasing indicating a lower marginal ROA with respect to the calculated one, this could impede growth.

Years	12-2015	12-2016	12-2017	12-2018	12-2019	12-2020	12-2021	12-2022	12-2023	TTM
Net Margin	5.4%	5.2%	8.8%	10%	-0.88%	-21%	-6.9%	-7.6%	-2.9%	-2.8%
ROA	7.9%	6.5%	11%	10%	-1.5%	-8.4%	-2.1%	-2.6%	-0.56%	-0.53%
ROE	81%	560%	2K%	2.5K%	8.2%	66%	29%	32%	13%	13%

What is the average Net Margin?

The average Net Margin over the past 5 years is -4.74%.

What is the trend of Net Margin?

The trend of Net Margin over the past 5 years is -2.07%.

What is the average Return on Assets (ROA)?

The average ROA over the past 5 years is -0.82%.

What is the trend of Return on Assets (ROA)?

The trend of ROA over the past 5 years is -1.45%.

What is the average Return on Equity (ROE)?

The average ROE over the past 5 years is +449.02%.

What is the trend of Return on Equity (ROE)?

The trend of ROE over the past 5 years is -360.9%.

Safety & Stabiliy

Being debt the number one cause of investment losses and company death, the ratio Debt/FCF is of utmost importance to guarantee safety. On the other hand the Graham’s stability measures the drawdown of earnings, hence indicating the reliability of the flow generated by the company.

The company has high debt with respect to the cashflow it generates.

The Graham’s stability indicate a relevant drawdown, consider checking when it has occured and why.

Years	12-2015	12-2016	12-2017	12-2018	12-2019	12-2020	12-2021	12-2022	12-2023	TTM
Debt FCF	1.44	1.26	0.96	1.02	-6.61	-3.30	-13.47	27.07	12.92	37.79
Debt Equity	1.56	11.35	26.98	33.77	-3.41	-3.60	-3.99	-3.91	-3.32	-2.87
MIN
Graham Stability	-	-	100%	100%	-8.6%	-200%	-	-	-	-200%

What is the Debt/FCF?

The Debt/FCF trailing twelve month is 37.79.

What is the trend of Debt/FCF?

The trend of Debt/FCF over the past 5 years is 4.30.

What is the Graham’s Stability?

Graham’s Stability measure stands at -1.99.

Growth

Growth can be dangerous when forecasting, simply projecting the current growth is in general wrong. A company passes through multiple phases, from being young and unprofitable, to the first periods of profitability and high growth, until it arrives at a period of regime with limited growth. Identifying in which phase the company is in may help forecasting.

Earnings growth has been increasing in past years.

Years	12-2016	12-2018	12-2020	12-2022	Trend
Revenue	-2.8%	-5.1%	10%	17%	0.89%
Net Income	-	-	-	-	17%
Stockholders Equity	-	-	-	-	11%
FCF	-7.9%	-20%	-	94%	11%

What is the 5 year Revenue CAGR?

The Revenue CAGR over the past 5 years is -5.11%.

What is the trend of Revenue growth?

The trend of Revenue growth rate over the past 5 years is +0.89%.

What is the 5 year Earnings CAGR?

The Earnings CAGR over the past 5 years is -.

What is the trend of Earnings growth?

The trend of Earnings growth rate over the past 5 years is +17%.

What is the 5 year Equity CAGR?

The Equity CAGR over the past 5 years is -.

What is the trend of Equity growth?

The trend of Equity growth rate over the past 5 years is +11.35%.

What is the 5 year FCF CAGR?

The FCF CAGR over the past 5 years is -20.08%.

What is the trend of FCF growth?

The trend of FCF growth rate over the past 5 years is +10.69%.