Boeing (BA) Sells Digital Aviation Assets for $10.55 Billion

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3 days ago
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Key Highlights:

  • Boeing (BA, Financial) is set to enhance its financial health with a strategic $10.55 billion asset sale.
  • Analyst projections indicate a potential 20.84% upside for Boeing's stock price.
  • GuruFocus estimates a 17.13% increase in Boeing's value over the next year.

Boeing (BA) has taken a significant step to fortify its financial standing by announcing a $10.55 billion cash transaction. This strategic deal involves the sale of parts of its Digital Aviation Solutions business, including Jeppesen and ForeFlight, to Thoma Bravo. By divesting these assets, Boeing aims to streamline its operations and focus on its core digital platforms. The transaction is projected to close by 2025, marking a pivotal move in the company's post-pandemic recovery strategy.

Wall Street Analysts Forecast

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Financial analysts have set their sights high for Boeing Co (BA, Financial), offering a one-year average price target of $194.88 according to 24 analysts. This projection includes a high estimate of $233.00 and a low of $111.00. Compared to the current stock price of $161.28, the average target suggests a substantial 20.84% upside. Investors can explore more comprehensive estimate data on the Boeing Co (BA) Forecast page.

Moreover, the consensus from 29 brokerage firms positions Boeing Co (BA, Financial) with an average recommendation of 2.2, suggesting an "Outperform" status. The brokerage rating scale ranges from 1 to 5, where a score of 1 represents a Strong Buy and 5 signifies a Sell.

In alignment with analyst expectations, GuruFocus provides its own valuation metrics. According to GuruFocus estimates, the GF Value for Boeing Co (BA, Financial) is anticipated to reach $188.90 within one year. This implies a potential 17.13% upside from the current price of $161.28. The GF Value is calculated from historical trading multiples, past business growth, and forward-looking performance estimates. For more in-depth insights, investors should visit the Boeing Co (BA) Summary page.

Disclosures

I/We may personally own shares in some of the companies mentioned above. However, those positions are not material to either the company or to my/our portfolios.