Boeing (BA) Stock Rising With Bullish Aircraft Forecast

Boeing (BA) predicts growth in the airline market despite lingering Brexit concerns.
By Rachel Aldrich ,

NEW YORK (TheStreet) -- Shares of Boeing (BA) - Get Report  are up 0.65% to $130.93 in premarket trade after the company made bullish predictions about the airline market.

Boeing forecasts that airlines will be ordering $5.9 trillion of new aircraft over the next two decades to keep up with rising air travel. This represents 39,620 new jetliners by 2036.

"The aviation sector will continue to see long-term growth with the commercial fleet doubling in size," said Boeing's VP of commercial airplanes marketing, Randy Tinseth, according to Bloomberg.

More customers in emerging nations like China will increase passenger traffic by 4.8% per year, close to the industry's 5% average.

The aircraft producer expects $3 trillion of the predicted orders to come from single-aisle aircraft like Boeing 737-800, with concentrated sales in the 200-300 seat aircraft market.

Separately, TheStreet Ratings rated this stock as a "buy" with a ratings score of B.

The company's strengths can be seen in multiple areas, such as its revenue growth, notable return on equity and good cash flow from operations. TheStreet Ratings feels its strengths outweigh the fact that the company has had generally high debt management risk by most measures that TheStreet Ratings evaluated.

You can view the full analysis from the report here: BA

Recently, TheStreet Ratings objectively rated this stock according to its "risk-adjusted" total return prospect over a 12-month investment horizon. Not based on the news in any given day, the rating may differ from Jim Cramer's view or that of this articles's author. 

Loading ...