All about Boeing stock

Boeing is one of the leaders in the aerospace industry. Interested in growing your stock portfolio? Take a look at our article for some important information.

Boeing is a well-known company whose reputation precedes it. It was listed on the New York Stock Exchange and on the Euronext Amsterdam market in 1996. The company's market capitalization is now estimated at 47 billion dollars. Its unprecedented notoriety attracts many investors. 

Read this article for relevant information about this market leader that can help you in your investment strategy.

Boeing History

The Boeing Company was founded in 1916 in the United States. The company was one of the first companies to introduce airplanes to the world. The company currently operates in the space, military, and civil aviation sectors. 

The success of this company is the result of the takeover of McDonnell Douglas and Rockwell, two American aeronautical leaders.

Some Boeing stock market data :

  • In 2019, Boeing had a market capitalization of $207,835.52 million 
  • Boeing stock is now listed on the NYSE Main Market 
  • The company is included in the calculation of the American Dow Jones stock index 
  • The shareholders of this company are composed of various investors and international groups 

Boeing's operations

Boeing operates in more than 150 countries around the world. The company offers a variety of products and services, which include:

  • Civilian and military aircraft 
  • Weapon systems 
  • Electronic and defense systems 
  • Satellites 
  • Launchers 
  • State-of-the-art computer and communication systems 
  • Logistics and training services 

This large multinational company has more than 150,000 employees in the U.S. and in over 65 countries. 

The activities of the company are structured around three divisions, including:

  • Boeing Commercial Aviation 
  • Boeing Defense, Space and Security 
  • Boeing Global Services 

Boeing stock introduction and quotation 

Between October 2016 and February 2018, the price ranged from $132 to $37. A discontinuity in the rise was subsequently noted. 

By March 2019, shares were selling at $445. From 2018 to 2020, Boeing was in a consolidation phase and shares varied from $320 to $390. 

The situation changed with the advent of the coronavirus, which led to a stock market crash that strongly impacted the travel sector. Boeing stock lost up to 75% of its value in March 2020. The share price then returned to where it was in April 2013. 

Factors likely to influence Boeing's share price

Several factors could influence Boesing share prices :

The company must ensure that the quality of its aircraft remains excellent, as this can impact its share prices. Boeing also needs to monitor the innovations and publications of its main competitor Airbus, as this has a direct impact on the share price. It is also worth following the activities of other airlines which are undeniable indicators for trading Boeing stock. It is also necessary to follow Boeing’s initiatives with other companies, including partnerships, the creation of joint ventures, and the purchase of shares to further develop the company. 

Boeing's competitors

Boeing's business is specific, meaning few competitors. Airbus is the only manufacturer with whom Boesing competes. 

Since 1990, these two groups have competed in the defense and civil aviation sectors. No other company in this sector has managed to gain a foothold in the world's stock markets. 

The advantages and disadvantages of Boeing stock

Like any stock, Boeing has its pros and cons. Here are the company’s main advantages :

  • Boeing's positioning is a major advantage, as it is one of the largest aviation groups. 
  • The company is reassuring investors with its sales figures, which are still rising. This is due to its optimal efficiency. 
  • Boeing is investing in research and development. It is expanding its product line and remains a global leader in its industry. 

Nonetheless, Boeing stock has a few drawbacks :

  • Its workforce is federated by a powerful union that sometimes causes work stoppages leading to a drop in production. 
  • Boeing's contracts depend solely on the U.S. government. This can lead to a lack of results according to investors. 
  • Boeing is dependent on its raw material suppliers, who therefore have considerable negotiating power.