Tomahawk, WI 9/19/2013 (BasicsMedia) – The Boeing Company (NYSE:BA) is arguably the world’s largest aerospace company. It operates its business in the following five segments; commercial airplanes, network and space systems, Boeing capital corporation, global service and support, as well as Boeing military aircraft. This is a company whose stock has the capacity of continuing to scale higher levels than it has done thus far. It has, however, faced a problematic 2013 with battery malfunctions, grounded airplanes, and budgets which have been overrun. Is there still hope for this stock?

 Despite the problems which BA has faced in 2013, you are not likely to get an investor willing to step out and move elsewhere. This stock continues to be seen as a must for any investor’s portfolio. Investors are running to increase their stock in this company. The decision by investors has led to a 55% increase in the stock’s price in the recent days. I foresee a situation where the price of this stock could rise from the current levels of around $120 to a high of $164 per share. This is predominantly based on the numerous catalysts which the company is yet to make use of.

BA’s Future Revenue is Stable

 BA’s revenue is quite stable, based on the fact that it has a backlog order amounting to around $410 billion. Although this is money which the company is yet to receive into its coffers, when it does, it can rest assured of increased revenues for quite some time. The company also has a healthy and thriving share repurchasing program which has helped to make it quite attractive to investors. BA’s free cash flows continue improving every year, and this is a good indicator for investors. Let’s not forget that the company has improved production rate tremendously as well.

 There has been an increase in demand for BA’s commercial airplanes lately. In order to service these increased orders, BA has opted to expand its manufacturing plant in Helena by close to 50%. BA intends to see 55,000 square feet of space added into its manufacturing plant, an exercise which will cost it around $35 million. This will increase its ability and capacity to produce more 787-10 Dreamliner commercial airplanes. The company’s workforce and skills are quite stable and with this increased manufacturing space, the company is headed for better times.

 Dreamliner to Make BA highly Profitable

 The 787-10 Dreamliner is going to play a massive role in making BA a very profitable company going forward. The company has been unable to attract the sort of profits a business of its stature ought to make. This has been necessitated by the cost overruns as well as delays in production. But I think that with this decision to expand its manufacturing space, these struggles will be eliminated for good. As at 2011, BA was only producing a couple of 787 planes per month. This is expected to rise to around ten planes a month. The rates for 777s and 737s will also increase.

 BA had planned to stop the production of its 737 model and come up with an entirely new plane. It changed this decision and opted to reengineer it. This change of mind has saved the company close to $15 billion, money which it can now use in developing other products. The increased demand for aircrafts in the next twenty years, which is expected to reach 35,280 new planes, is of great benefit and augurs well for BA’s bottom-line.

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