Boeing (NYSE:BA) is seeing some bullish attention this week surrounding its second-quarter earnings report. Wednesday ahead of the open, the aerospace name said second-quarter earnings came in at $1.06 per share, a nickel better than the consensus view. Revenue fell short of the mark, however. Nevertheless, Jim Cramer told his Mad Money audience that he likes the stock in the long term, particularly if it tests the $65-$66 region.
Thursday morning, Societe Generale offered its insight, upgrading Boeing from “sell” to “hold”. Interestingly enough, the firm maintains a 12-month price target of $65, which actually allows for a bit of downside in the next year. Whether you are a Boeing bull yourself or think the stock could stay range-bound, we’ve outlined a couple of option strategies below as examples of how varying outlooks can be represented by options. Remember that these are not buy/sell/hold recommendations. The prices are taken Thursday afternoon, when the stock was trading at $67.45, up 13 cents on the day.
Boeing (NYSE:BA) has announced plans to ramp up production of its ever-popular narrow-body 737 jet. BA currently completes 31.5 jets per month and will be aiming to increase that number to 35 by the end of 2012. There seems to be a sense of urgency within Boeing as this is the company’s second increase in production in a month’s time. There is currently a backlog of more than 2,000 of their best-selling plane, according to the Wall Street Journal. Executives at Boeing noted increased demand for new planes as well as the exercise of existing options already held by carriers. The bottom line is that this increased demand and subsequent increase in production could be a sign of global economic improvement (or at least stabilization within the air travel space).
