Boeing Stock Price – BA Price Chart, History, Prediction
Boeing is one of the largest airline manufacturers in the world. As such, Boeing stock (BA) is a key share to look into for those wanting to invest in the aerospace sector. But what is the Boeing stock price today, and what can we expect from it in the future? This guide will provide answers by analysing the Boeing stock price evolution and forecast. We will thus establish whether the stock price of Boeing is a buying opportunity for investors.
Boeing Stock Price Chart Today
Boeing Stock Price History
Boeing stock went public back in 1963 and lost 3.4% in market value that year. It remained highly volatile in the next few years as the stock gained 92% in 1964 and 90% in 1965 before losing 50% in market value the next year. Boeing stock touched an all-time low of $0.3819 per share in 1974 while its all-time high was $440.62 per share, achieved in 2019.
BA Boeing stock price historical trends
The late 1960s was the worst period for Boeing investors as the stock pulled back by 37% in 1968, 51% in 1969, and 49% in 1970. The price of Boeing stock more than doubled in 1978 and gained over 80% each in 2013 and 2017 respectively.
It also lost significant value during the market crash of 1987 when it fell by 28%. During the dot-com crash, Boeing lost 41%, while during the financial crash of 2008, it declined by 51%. The COVID-19 pandemic-led bear market negatively impacted Boeing stock price by a negative 34% in 2020.
Boeing stock price splits and Boeing stock price history
In the last 59 years, Boeing has split price its stock eight times. The first split occurred on May 18, 1966, which was a 2-for-1 split. The other splits are as below:
- 13 September 1977: 2-for-1 split
- 16 April 1979: 3-for-2 split
- 15 April 1980: 3-for-2 split
- 10 June 10, 1985: 3-for-2 split
- 12 June 1989: 3-for-2 split
- 11 June 1990: 3-for-2 split
- 9 June 1997: 2-for-1 split
So, if you owned 1,000 shares of Boeing before its first stock split, you would now have a total of 60,750 shares.
When a company splits its stock, the market cap of the company remains the same. However, due to a lower share price, the stock might experience higher liquidity, attracting a wide range of investors. This increase in demand and trading volume can often lead to an appreciation in stock prices.
Let’s see how Boeing stock has performed following its stock splits.
- Boeing stock price rose by 38% in 1967 after losing 50% in 1966
- The stock price rose by 154% in 1978
- It rose by 31% in 1980 but fell by 49% in 1981
- Then it fell by 2% in 1986
- BA stock price gained by 15% and 7% in 1990 and 1991 respectively
- Boeing share value fell by 33% in 1998
We can see that Boeing’s share prices were positively impacted after its stock split in most cases. However, the decline in the market cap should not be viewed in isolation as the company may have lost ground due to a broader market pullback as well.
Boeing Stock Price Prediction
According to data on Yahoo Finance, 25 analysts on Wall Street cover Boeing stock price prediction. 14 of these analysts recommend a “buy” and 11 recommend a “hold”. There are no sell recommendations.
The average 12-month stock price target for Boeing stock is $275.67. which is 25% above its current trading price.
How Can I Buy Boeing Stock at its Current Price?
In case you want to invest in Boeing shares, you will need to create a stock account with
ZFX. This broker has a presence in three continents and is a safe, regulated and efficient trading platform. Via ZFX, you can trade a wide range of asset classes such as commodities, stocks, forex or indices. Other benefits that the broker provides include the popular MT4 platform, many learning resources, a free demo account, competitive fees and more.
A significant benefit of using the ZFX platform is the ability to trade Boeing stock with CFD (contracts for difference). This mean you can invest in BA without having to assume ownership, while also leveraging your position.
Investing in Boeing Stock: Tutorial
In order to buy Boeing stock, you will be using ZFX’s MT4 platform which supports a wide variety of order types allowing you to trade from charts. The ZFX MT4 provides advanced analytical tools & indicators as well as comprehensive statements and reporting in addition to a live news feed feature.
It easily integrates with the existing trading infrastructure where users can attach additional programs due to API protocols. You can also back-test your strategies before investing real capital into the stock market. Here’s how you can buy the stock on the ZFX platform.
Step 1: Register with ZFX
In order to trade through the ZFX platform, you need to first open a trading account. To do so, go to the ZFX website homepage and click on the "open an account" button for this first step. A registration form will appear. Here, enter your personal details, as shown in the image below.
Finish by choosing your account type, and accepting the general and privacy policies. Then, select ‘Sign up now’.
After completing and validating the form, you will be able to download the MT4 platform.
Make sure you keep note of your MT4 logins that will displayed on the screen, as show above, as you will need these to access the platform and start trading.
2 - Make your first deposit
To deposit money into your ZFX account, you will need to click the "make a deposit" button on the screen displayed immediately after registration. Then, you need to choose a payment method: bank card or transfer.
You will be asked to enter the amount to be deposited and then click the "Confirm Deposit" button on this screen. You will then need to enter your credit card information before the final validation of the payment.
3 - Account verification
The final step before you can purchase the Visa stock is to verify your account. To do this, you will need to submit supporting documents online, as shown below:
Step 4: Invest in Boeing stock at the current price
After opening the ZFX account in just a few minutes, you can begin trading Boeing stock CFD with ease. To do so, download MT4 and login using your details provided in step 1. Then, you can search for Boeing stock on the platform, under its symbol BA, and invest as you wish.
To Buy or Not to Buy Boeing Stock
The Boeing Company designs, develops, manufactures, and supports commercial jetliners, military aircraft, satellites, missile defense, as well as human space flight and launch systems. It has four primary business segments including Commercial Airplanes, Defence, Space & Security, Global Services, and Boeing Capital.
The Commercial Airplanes segment provides commercial jet aircraft for passenger and cargo requirements as well as fleet support services. Its Defense, Space & Security segment is engaged in the research, development, and production of manned and unmanned military aircraft & weapons systems, strategic defense & intelligence systems, and space exploration.
The Global Services business offers products and services such as supply chain and logistics management, engineering, maintenance, and modifications, among others. The Boeing Capital business offers financing services and manages exposure for a portfolio of equipment under operating and finance leases.
Boeing stock price is not yet out of the woods
Boeing has been a solid wealth creator for long-term investors. But right now, the BA stock price is trading 50% below its record highs due to a variety of reasons that include the grounding of its 737 MAX fleet of airplanes as well as the ongoing pandemic. While Boeing is a key player in the commercial aviation space, investors need to consider multiple factors before investing in this large-cap stock.
The company’s 737 MAX airliner was grounded two years back after it was confirmed the two fatal crashes were due to electrical issues that could be avoided. According to analysts, the groundings meant Boeing lost over $20 billion in total after accounting for direct costs and lost business.
Boeing faces strong competition from Airbus
As mentioned earlier, Boeing and Airbus are the two major players in the commercial airline segment. As air travel is a key industry, Boeing is bound to experience long-term demand for its portfolio of aircraft and will continue to compete for Airbus in terms of market share.
Boeing has in fact lost ground after the 737 MAX fiasco as Airbus is currently processing 62% of aircraft orders at the end of Q2 of 2021. Just before the 738 MAX debacle, Boeing’s commercial backlog stood at $390 billion. At the end of Q2, its backlog is around $285 billion.
High debt levels
In 2020, the COVID-19 pandemic decimated the airline industry as international borders were shut and travel came to a standstill amid global lockdowns. Boeing is part of a capital-intensive industry and the company burnt $18.4 billion in 2020 which meant it had to increase its debt at an accelerated pace, to boost overall liquidity on its books.
In fact, Boeing’s debt balance has grown to $63.5 billion from $14.7 billion in just over two years. Boeing also had to suspend dividend payments as its profits declined and interest payments rose at an exponential rate. Its fundamentally weak balance sheet and near-term headwinds will not enable the company to enhance shareholder wealth via dividend payouts or share buybacks in the next few quarters.
Things to Know About Boeing Stock Price Before You Invest
Investors need to consider a variety of issues before adding Boeing stock to their portfolios.
- Shares of Boeing in fact gained close to 700% in dividend-adjusted returns in the decade prior to COVID-19, easily outpacing the broader markets. However, past returns should not matter to current or future investors as the macro-dynamics have changed significantly in recent years.
- In Q1 of 2021, Boeing delivered 77 commercial jets which were significantly lower than its record deliveries of 184 jets back in 2018. In Q2, commercial aircraft deliveries stood at 79 units, while in Q3 it remains subdued at 85 units. We can see the slow pace of recovery will weigh on the company’s financials in the near future.
- Boeing surprised Wall Street by reporting a profit in Q2 and narrowing its cash burn to $705 million, after several quarters of multi-billion-dollar outflows in cash. But the company is expected to end 2021 with an adjusted net loss of $1.08 per share which amounts to close to $700 million.
- Boeing’s revenue touched a record of $101.27 billion in 2018 and fell to $58 billion in 2020. Analysts expect revenue to rise to $69.5 billion in 2021 and by 35.3% to $94 billion in 2022. This will allow the company to improve its bottom line from a loss per share of $1.08 in 2021 to earnings of $5.97 billion in 2022. It shows us that Boeing is trading at a forward price to 2022 sales multiple of 1.3x and a price to earnings multiple of 36x. But its profit margins will remain under pressure due to rising interest payments.
Bottom Line: What Can We Expect from Boeing Stock Price?
Boeing is part of an industry where it is one of only two major players. But for a fundamental investor, the stock is not a solid bet right. Indeed, it is likely to underperform the broader markets. But a technical trader can take advantage of the fluctuations in the stock price of Boeing shares and derive consistent gains.
Do you want to invest in BA stock at the current price? If so, you can do so in minutes through ZFX. As explained in this guide, this regulated broker is an optimal solution to invest in a wide variety of instruments. You can start trading easily, whether you are a first-time trader or an advanced investor.