Boeing (BA) — BA was included in the Top Stocks to Buy for November, when I said, “The world’s largest manufacturer of commercial jets and second largest military weapons maker is expected to see a 4% rise in sales this year and 9% in 2014, driven by its commercial airplane segment. The consensus earnings estimate for 2013 is $6.71 per share and $7.46 in 2014. An average P/E of 19 renders a price target of $141. [Note: EPS estimates have since been adjusted to $6.73 for 2013 and $7.45 for 2014.]
“Technically, the stock has been advancing in a powerful bull channel. But in October, it broke through the upper resistance line of the channel, driven by heavy volume. The gap created on Oct. 23 at $123.80 to $126 may not close since it appears to be a breakaway gap. The technical target is in agreement with the fundamental target of $141.”
Boeing beat Q3 consensus estimates, reporting $1.80 versus an expected $1.55. Credit Suisse raised its one-year target to $150 from $121, and other analysts may make upward revisions as well.
Friday’s new high confirms the break from the bull channel and raises the long-term target to $150.