The Boeing Company's stock price has been taking a nosedive over the past week, amidst concerns that the aircraft manufacturer might be held accountable for last month’s Lion Air flight crash.
Lion Air flight 610 - a 737 MAX 8 model – crashed into the sea near Jakarta, Indonesia on October 29, leading to the death of all 189 passengers. On Thursday, Boeing was slapped with the first lawsuit (by parents of a deceased passenger), which accuses the company of failing to communicate the new safety features of the 737 MAX 8 model. The operating airline, Lion Air, has also alleged that Boeing did not adequately reveal a safety feature in the aircraft model that prevents a stall.
Beoing, however, claims, "We are confident in the safety of the 737 MAX. Safety remains our top priority and is a core value for everyone at Boeing" (as reported by CNN). The company also mentioned to CNN that it has updated airlines about all the safety features on the 737 MAX 8, but said it does not "discuss specifics of an ongoing investigation".
BA saw its Momentum Indicator move above the 0 level on May 26, 2023. This is an indication that the stock could be shifting in to a new upward move. Traders may want to consider buying the stock or buying call options. Tickeron's A.I.dvisor looked at 80 similar instances where the indicator turned positive. In of the 80 cases, the stock moved higher in the following days. The odds of a move higher are at .
The Moving Average Convergence Divergence (MACD) for BA just turned positive on May 15, 2023. Looking at past instances where BA's MACD turned positive, the stock continued to rise in of 38 cases over the following month. The odds of a continued upward trend are .
BA moved above its 50-day moving average on May 31, 2023 date and that indicates a change from a downward trend to an upward trend.
The 10-day moving average for BA crossed bullishly above the 50-day moving average on June 07, 2023. This indicates that the trend has shifted higher and could be considered a buy signal. In of 19 past instances when the 10-day crossed above the 50-day, the stock continued to move higher over the following month. The odds of a continued upward trend are .
Following a 3-day Advance, the price is estimated to grow further. Considering data from situations where BA advanced for three days, in of 286 cases, the price rose further within the following month. The odds of a continued upward trend are .
The Aroon Indicator entered an Uptrend today. In of 202 cases where BA Aroon's Indicator entered an Uptrend, the price rose further within the following month. The odds of a continued Uptrend are .
The Stochastic Oscillator entered the overbought zone. Expect a price pull-back in the foreseeable future.
Following a 3-day decline, the stock is projected to fall further. Considering past instances where BA declined for three days, the price rose further in of 62 cases within the following month. The odds of a continued downward trend are .
BA broke above its upper Bollinger Band on June 08, 2023. This could be a sign that the stock is set to drop as the stock moves back below the upper band and toward the middle band. You may want to consider selling the stock or exploring put options.
The Tickeron SMR rating for this company is (best 1 - 100 worst), indicating very strong sales and a profitable business model. SMR (Sales, Margin, Return on Equity) rating is based on comparative analysis of weighted Sales, Income Margin and Return on Equity values compared against S&P 500 index constituents. The weighted SMR value is a proprietary formula developed by Tickeron and represents an overall profitability measure for a stock.
The Tickeron PE Growth Rating for this company is (best 1 - 100 worst), pointing to outstanding earnings growth. The PE Growth rating is based on a comparative analysis of stock PE ratio increase over the last 12 months compared against S&P 500 index constituents.
The Tickeron Price Growth Rating for this company is (best 1 - 100 worst), indicating fairly steady price growth. BA’s price grows at a lower rate over the last 12 months as compared to S&P 500 index constituents.
The Tickeron Valuation Rating of (best 1 - 100 worst) indicates that the company is slightly overvalued in the industry. This rating compares market capitalization estimated by our proprietary formula with the current market capitalization. This rating is based on the following metrics, as compared to industry averages: P/B Ratio (0.000) is normal, around the industry mean (25.474). P/E Ratio (0.000) is within average values for comparable stocks, (309.299). Projected Growth (PEG Ratio) (0.000) is also within normal values, averaging (7.846). BA has a moderately low Dividend Yield (0.000) as compared to the industry average of (0.023). P/S Ratio (1.795) is also within normal values, averaging (169.876).
The Tickeron Profit vs. Risk Rating rating for this company is (best 1 - 100 worst), indicating that the returns do not compensate for the risks. BA’s unstable profits reported over time resulted in significant Drawdowns within these last five years. A stable profit reduces stock drawdown and volatility. The average Profit vs. Risk Rating rating for the industry is 77, placing this stock worse than average.
The average fundamental analysis ratings, where 1 is best and 100 is worst, are as follows
a manufacturer of jetliners, aircraft and related products
A.I.dvisor indicates that over the last year, BA has been closely correlated with SPR. These tickers have moved in lockstep 68% of the time. This A.I.-generated data suggests there is a high statistical probability that if BA jumps, then SPR could also see price increases.