Core Insights - Boeing is expected to report earnings on July 29, 2025, with historical trends indicating a pattern of negative one-day returns following earnings reports [2][3] - Analysts predict a loss of $1.31 per share on revenue of $21.72 billion for the upcoming quarter, an improvement compared to a loss of $2.90 per share on revenue of $16.87 billion in the same quarter last year [3] - Boeing's current market capitalization stands at $176 billion, with reported revenue of $69 billion over the last twelve months, but it has faced operational losses of $10 billion and a net loss of $12 billion [4] Historical Performance - Over the past five years, Boeing's stock declined on the day after earnings in 55% of occurrences, with a median drop of -2.9% and the most significant drop reaching -8.8% [2][7] - In the last five years, there were 20 earnings data points, with 9 positive and 11 negative one-day returns, resulting in positive returns approximately 45% of the time [7] - The percentage of positive one-day returns increases to 67% when examining data from the last three years [7] Trading Strategies - Traders may consider pre-earnings positioning based on historical likelihoods and analyze the relationship between immediate and medium-term returns post-earnings to guide their trading decisions [6] - A strategy involving the correlation between short-term and medium-term returns post-earnings can be employed, particularly if a strong correlation exists between 1D and 5D returns [8] Peer Performance - The performance of peers can influence Boeing's post-earnings stock reactions, with pricing potentially starting prior to earnings announcements [9]

Core Viewpoint - Boeing's stock has increased by 10.8% over the past year, but it has underperformed compared to the S&P 500 and the broader aerospace sector [1][9]. Group 1: Stock Performance - Boeing's stock performance is lagging behind other aerospace companies, such as Embraer and Airbus, which have seen significant gains of 59.5% and 10.5%, respectively [2]. - The stock's performance is also below the Zacks aerospace-defense industry's rise of 21.7% and the broader Zacks Aerospace sector's growth of 21.3% [1]. Group 2: Financial Performance - Boeing's revenues from the commercial aerospace segment surged 75% year over year to $8.15 billion in Q1 2025, driven by higher jet deliveries [4]. - The defense unit secured contracts worth $4 billion in Q1 2025, resulting in a backlog of $61.57 billion as of March 31, 2025, indicating strong demand in the defense market [4]. - Cash and cash equivalents totaled $23.67 billion at the end of Q1 2025, with long-term debt at $45.69 billion and current debt at $7.93 billion, reflecting a strong solvency position [5]. Group 3: Market Opportunities - Rising air travel and an aging global fleet are driving demand for new jets and aftermarket services, with Boeing forecasting a $4.4 trillion market opportunity for commercial aviation support and services from 2024 to 2043 [6]. - Boeing's Global Services unit has a backlog of $22.04 billion as of March 31, 2025, positioning it well for long-term growth [6]. Group 4: Earnings Estimates - Boeing's second-quarter 2025 sales are estimated to improve by 18.1% year over year, while full-year 2025 sales are projected to increase by 25.6% [12]. - The Zacks Consensus Estimate for Boeing's long-term earnings growth rate is pegged at 18.1%, higher than the industry's 11.8% [11]. Group 5: Challenges - Boeing faces supply-chain issues and a weak return on invested capital (ROIC), which is currently negative and lags behind peers like Embraer and Airbus [18][19]. - The stock is trading at a forward price-to-sales (P/S) ratio of 1.78, which is a premium compared to the peer group's average of 1.75 [20][22].

Core Points - Boeing incurred an adjusted loss of 49 cents per share in Q1 2025, which is an improvement from a loss of $1.13 per share in the same quarter last year and better than the Zacks Consensus Estimate of a loss of $1.54 [1][2] - The company's revenues reached $19.50 billion, exceeding the Zacks Consensus Estimate of $19.29 billion by 1.1% and showing a 17.7% increase from $16.47 billion in the previous year [3] - Boeing's total backlog at the end of Q1 2025 was $544.74 billion, up from $521.34 billion at the end of Q4 2024 [4] Revenue Breakdown - Commercial Airplanes segment revenues surged 75% year over year to $8.15 billion, with 130 commercial planes delivered, a 57% increase from the previous year [5] - Boeing Defense, Space & Security (BDS) recorded revenues of $6.30 billion, a 9% decline year over year, but operating income improved by 3% to $155 million [6] - Global Services revenues remained flat at $5.06 billion, with operating income improving by 3% to $943 million [7] Financial Condition - At the end of Q1 2025, Boeing had cash and cash equivalents of $10.14 billion and short-term investments of $13.53 billion, compared to $13.80 billion and $12.48 billion at the end of 2024 [8] - Long-term debt decreased to $45.69 billion from $52.59 billion at the end of 2024 [8] - The company's operating cash outflow was $1.62 billion, down from $3.36 billion a year earlier, while free cash outflow totaled $2.29 billion compared to $3.93 billion in Q1 2024 [9][10]