Boeing Ends Great Year With a Holiday Gift for Investors

  • Like on Facebook
  • Share on Google+
  • Share on LinkedIn
Stock Market


Boeing (NYSE:BA) stock advanced about 1 percent on December 17 following news that the company’s board approved $10 billion in additional share repurchases as well as a 50 percent increase in the regular quarterly dividend to 73 cents per share. The repurchase authorization adds to approximately $800 million in repurchasing authority left over from an authorization in 2007.

At a glance, the news is nothing but good for investors and punctuates a strong year for the aerospace company. Third-quarter financial results, released in October, came in ahead of expectations. Revenues increased 11 percent on the year to $22.13 billion, beating the mean analyst estimate of $21.66 billion. Adjusted earnings increased 16 percent on the year to $1.80 per share, beating the mean analyst estimate of $1.54 per share.

Boeing’s success comes despite a long series of technical mishaps with its flagship 787 Dreamliner and, perhaps more importantly, despite a reduction in government spending, which has taken a bite out of Boeing’s defense business. Strong performance from the commercial aircraft unit has more than compensated for the headwinds, though.

More Articles About:

To contact the reporter on this story: To contact the editor responsible for this story:

Yahoo Finance, Harvard Business Review, Market Watch, The Wall St. Journal, Financial Times, CNN Money, Fox Business