Boeing Now a “Conviction Buy” at Goldman Sachs (BA)
Aircraft maker The Boeing Company ( BA ) on Monday saw its shares added to Goldman Sachs' prestigious "Conviction Buy" List.
The firm also set an $86 price target on BA, suggesting a 37% upside to the stock's Friday closing price of $62.75.
Goldman noted that Boeing has multiple earnings drivers that make it attractive during an uncertain economic environment, like the new 787 Dreamliner aircraft product cycle and a large backlog. It also sees several catalysts for the second in the second half of 2011.
Boeing shares fell 89 cents, or -1.4%, in premarket trading Monday.
The Bottom Line
Shares of Boeing ( BA ) have a 2.68% dividend yield, based on Friday's closing stock price of $62.75. The stock has technical support in the $57-$60 price area. If the shares can firm up, we see overhead resistance around the $65-$70 price levels.
The Boeing Company ( BA ) is not recommended at this time, holding a Dividend.com DARS™ Rating of 3.4 out of 5 stars.