Posts for Ticker ‘BEAV’

Boeing Suppliers Not Chasing Boeing News (BA, SPR, BEAV, HON, COL, LMIA, TIE, PCP, GE, ETN, PH, BW)

Boeing 787 ImageThis morning’s news out of Being Co. (NYSE: BA) about the 787 Dreamliner setting a maiden flight date before the end of this year and scheduling preliminary deliveries into Q4-2010 is really getting the love put back into Boeing shares.  In mid-morning trading the stock is actually up over 7% or $3.50 at $51.32 and it has already seen its average daily volume surpassed.  But where this gets interesting is that so many of the key Boeing suppliers for the 787 Dreamliner are trading down.  Precision Castparts (NYSE:PCP) and Spirit Aerosystems (NYSE:SPR) are both up significantly with the news and Rockwell Collins (NYSE:COL) is up, but the rest of the lot is either up marginally or is trading lower with the overall market.

Posted on: August 27, 2009 – 11:15 am in Aerospace, Trading Alert, Transports, , , , , , , , , , , ,

Top 10 Analyst Upgrades and Downgrades (ADSK, BA, BEAV, EXC, OXPS, RCL, UNH, TROW, WU, AUY)

These are this Monday morning’s top ten Wall Street analyst upgrades, downgrades, and initiations we have seen with close to 2 hours until the market opens:
Autodesk (ADSK) Cut to Hold at Deutsche Bank.
Boeing (BA) Cut to Equal Weight at Barclays.
BE Aerospace (BEAV) Raised to Outperform at FBR.
Exelon (EXC) Cut to Hold at KeyBanc.
OptionsXpress (OXPS) Raised to Neutral from Sell at Merriman Curhan Ford.
Royal Caribbean (RCL) Raised to Buy at S&P.
UnitedHealth (UNH) Raised to Outperform at Credit Suisse.
T. Rowe Price (TROW) Raised to Market Perform at FBR.
Western Union (WU) Started as Buy at Citigroup.
Yamana Gold (AUY) Cut to Sector Perform at CIBC.

Jon C. Ogg
July 27, 2009

Posted on: July 27, 2009 – 6:45 am in Analyst Calls, , , , , , , , , ,

Top Pre-Market Analyst Downgrades (ADSK, BEAV, CPSI, DELL, GPRO, GR, GOOG, JASO, CSIQ, ORCL, SPR, STP, VMW)

Down_arrow_redThese are the top analyst downgrades and negative analyst calls we are seeing this Friday morning:

  • Autodesk (ADSK) Cut to Neutral at Baird.
  • BE Aerospace (BEAV) Cut To Market Perform at FBR.
  • Computer Programs & Systems (CPSI) Cut to Market Perform at William Blair.
  • Dell (DELL) Cut to Market Perform at FBR.
  • Gen-Probe (GPRO) Cut to Equal Weight at Morgan Stanley.
  • Goodrich (GR) Cut To Market Perform at FBR.
  • Google (GOOG) Started as Sell at Merriman Curhan Ford.
  • JA Solar (JASO) Cut to Perform at Oppenheimer.
  • Canadian Solar (CSIQ) Cut to Perform at Oppenheimer.
  • Oracle (ORCL) Cut to Perform at Oppenheimer.
  • Spirit AeroSystems (SPR) Cut To Market Perform at FBR.
  • Suntech Power (STP) Cut to Perform at Oppenheimer.
  • VMware (VMW) Cut to Sell at UBS.

Jon C. Ogg
November 21, 2008

Posted on: November 21, 2008 – 7:25 am in Analyst Calls, , , , , , , , , , , , ,

Earnings Confessions Starting (AFFX, BEAV, COHR, CONN, NTY, ORBK)

BurningmoneyAs we are entering earnings season, we are also starting to get "confession season" where companies begin issuing updates ahead of their formal earnings.  Some of these will make some obvious sense, and others are almost counter-intuitive. Here is a look at some recent annooucements.

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Posted on: October 13, 2008 – 8:06 am in Earnings Warning, , , , , ,

Top 10 Pre-Market Analyst Calls (AMT, CCI, SBAC, BEAV, GWR, HOLX, SWY, KNOT, MDCO, UBS, VCLK)

Below are the top 10 pre-market analyst we are looking at this Thursday morning:

  • American Tower (NYSE: AMT), Crown Castle (NYSE: CCI), and SBA Communications (NASDAQ: SBAC) all initiated as BUY at Jefferies.
  • Baidu.com (NASDAQ: BIDU) raised to Outperform at RBC Capital.
  • BE Aerospace (NASDAQ: BEAV) downgraded to Neutral from Buy at UBS.
  • Gennesee & Wyoming (NYSE: GWR) raised to Outperform at Bear Stearns.
  • Hologic (NASDAQ: HOLX) started as Buy at Sun Trust Robinson Humphrey.
  • Safeway (NYSE: SWY) raised to Neutral from Sell at UBS.
  • The Knot (NASDAQ: KNOT) downgraded to Neutral at JPMorgan.
  • The Medicines Co. (NASDAQ: MDCO) raised to Buy from Hold at Citigroup.
  • UBS (NYSE: UBS) downgraded to Hold from Buy at Deutsche Bank.
  • ValueClick (NASDAQ: VCLK) raised to Outperform at Robert W. Baird.

Jon C. Ogg
February 14, 2008

Posted on: February 14, 2008 – 7:23 am in Analyst Calls, , , , , , , , , , ,

Suppliers Feel More Boeing 787 Delays (BA, SPR, BEAV, HON, COL, LMIA, TIE, PCP)

The Wall Street Journal has announced that there may be (actually it says "near announcing") some new delays out of Boeing (NYSE: BA) on its 787 Dreamiliner.  We first noted that the Boeing suppliers were likely to be under pressure back on OCTOBER 10, 2007 on word of the first real delays in the Dreamliner.

Here is a snapshot of some of the many suppliers for Boeing, with some price comparisons:

  • Spirit Aerosystems (NYSE:SPR) is the ex-Boeing unit, which makes fuselage parts: stock price on October 10 after the first Boeing delay: $36.50.  Share price today: $26.12 (-7%).
  • BE Aerospace (NASDAQ:BEAV) has cabin and seating contracts with Boeing; Stock price on October 10 after the first Boeing delay: $43.30. Share price today: $40.10 (-3%).
  • Honeywell (NYSE:HON) has the cockpit award; Stock price on October 10 after the first Boeing delay: $60.00.  Share price today: $56.69 (-1.9%).
  • Rockwell Collins (NYSE:COL) has information management pacts with Boeing; Stock price on October 10 after the first Boeing delay: $73.35.  Share price today: $65.10 (-2.4%).
  • LMI Aerospace (NASDAQ:LMIA) has Boeing as principal customer for structural components, assemblies, and kits; Stock price on October 10 after the first Boeing delay: $27.65.  Share price today: $22.97 (-1%).
  • Titanium Metals (NYSE:TIE) has long-term Boeing titanium/metals supply pacts; Stock price on October 10 after the first Boeing delay: $33.29.  Share price today: $23.45 (-4.7%).
  • Precision Castparts (NYSE:PCP) manufactures aerospace structural castings, aerospace airfoil castings, industrial gas turbine castings; Stock price on October 10 after the first Boeing delay: $146.75.  Share price today: $118.64 (-4.7%).

Shares of Boeing had been down in a weak market today, but shares rolled over on this announcement and are now down almost 3% to $79.27.  Its 52-week trading range is $77.81 to $107.83, and it closed at $98.33 back on October 10, 2007 when the first real delay came about.  The bulls look like they are going to have to hope the company refutes that delays will be anything significant.  Imagine if things get bad enough that some airlines start actually canceling or trimming orders.

Jon C. Ogg
January 15, 2008

Posted on: January 15, 2008 – 3:05 pm in Airlines, , , , , , , ,

Boeing Design Partners Getting Whacked (SPR, BEAV, HON, COL, LMIA, TIE, PCP)

Shares of Boeing (NYSE:BA) are getting hit hard after the jet-maker and aerospace giant finally came clean about the delay of the Dreamliners.  The DJIA component is down 3% on the day and it has pulled the price-weighted DJIA down a bit more with it.  We have covered this wondering about the first flight delays having a cascading effect, but if you look at Boeing’s aerospace partners on the Dreamliner you will see that they are all being hit (and some even harder than Boeing):

  • Spirit Aerosystems (NYSE:SPR) is the ex-Boeing unit, which makes fuselage parts, shares down 4.8% to $36.50.
  • BE Aerospace (NASDAQ:BEAV) has cabin and seating contracts with Boeing, shares down almost 4% at $43.30.
  • Honeywell (NYSE:HON) has the cockpit award, shares down 2% at $60.00.
  • Rockwell Collins (NYSE:COL) has information management pacts with Boeing, shares down 3.3% at $73.35.
  • LMI Aerospace (NASDAQ:LMIA) has Boeing as principal customer for structural components, assemblies, and kits, shares down 3.5% at $27.65.
  • Titanium Metals (NYSE:TIE) has long-term Boeing titanium/metals supply pacts; shares down 1.7% at $33.29.
  • Precision Castparts (NYSE:PCP) manufactures aerospace structural castings, aerospace airfoil castings, industrial gas turbine castings, shares down 3.4% at $146.75.

There are other stocks that will be affected and impacted by this, but now the game is to figure out which of these companies will have to preannounce that the Dreamliner delay will hurt their earnings for one to two quarters out.

Jon C. Ogg
October 10, 2007

Jon Ogg produces the Special Situation Investing Newsletter and does not own securities in the companies he covers.

Posted on: October 10, 2007 – 12:13 pm in Aerospace, , , , , , ,

Boeing & The Aerospace Group: Set For Life (BA, GE, BEAV, ATI)

If you were born with a solid trust fund or if you won the lottery, you are probably set for the rest of your life.  If not, you will at least hope your name is Boeing (BA-NYSE) or that you do business with it.  The company has given some long-term figures for a 20-year outlook to 2026 and it is staggering.  Boeing has forecast that the worldwide demand over the next 20-years will be some 28,600 new airplanes with a total market value estimated at $2.8 Trillion.  The forecast last year to 2025 was for 27,210 new planes over the similar timeframe, with Russia and a few more markets being included.

There are of course some caveats, and you know pushouts can come at any time.  Asia Pacific is the largest increase and the rest is coming from increased passenger travel (traffic estimated up 5% annually) and increased cargo (traffic estimated up 6.1% annually).  Combined with the retained fleet, these new deliveries will result in a world commercial airplanes fleet of more than 36,400 airplanes by 2026.

On a delivery-dollar basis, the largest market is projected to be the Asia-Pacific region, with 36 percent of the $2.8 trillion total. North America will make up 26 percent of the delivery dollars, and Europe, Russia, and the CIS (Commonwealth of Independent States) will make up a total of 25 percent. Deliveries to airlines in Latin America, the Middle East, and Africa will represent the remaining 13 percent of the delivery dollars between 2007 and 2026.  Here is the breakdown of the estimates, and keep in mind that this is the commercial non-private market only:

3,700 regional jets, below 90 seats;
17,650 single-aisle airplanes, 90-240 seats, dual-class;
6,290 twin-aisle airplanes, 200-400 seats, tri-class;
960 airplanes 747-size or larger, more than 400 seats, tri-class.

Also, the push is not solely on these super-jumbo jets and the focus is going to be on more fuel efficient planes.  The 90 to 400-seat categories will account for almost all of the growth in air travel over the next 20 years. Airlines will continue to accommodate that growth by adding frequencies and nonstop flights — not by flying larger and larger aircraft.  Boeing is focused on offering new airplanes that burn less fuel and spend less time in maintenance.

Some of the go-to aerospace supply companies like Allegheny Technologies (ATI-NYSE) that supply much of the aerospace metals and BEA Aerospace (BEAV-NASDAQ) that make airline interiors and seating have to think this is music to their ears.  General Electric (GE-NYSE) is probably already licking their chops over the engine and service pacts that this will translate into.

Jon C. Ogg
June 13, 2007

Jon Ogg can be reached at jonogg@247wallst.com; he does not own securities in the companies he covers.

Posted on: June 13, 2007 – 10:02 am in Aerospace, Airlines, , , ,

Cramer Outlines Long-Term Growth in Aerospace

On today’s Wall Street Confidential video on TheStreet.com, Jim Cramer says that aerospace stocks are great buying opportunities on down market days like today and yesterday.  Aerospace is tied into a long-term cycle, not really part of the stock market.  Honeywell (HON) is even better than Boeing (BA). BEA Areospace (BEAV) is great on the interiors for planes.  Other great aerospace plays he gave were Brush Engineered Materials (BW), Allegheny Tech (ATI), Precision Cast Parts (PCP), and AAR Corp. (AIR).  He also gave some defense names, but the main point was on the long-term growth trends. 

For some conjecture, let’s hope that idf things ever slow down too much that waves of order cancellations don’t come into play like they have in past down-cycles.  If that happens, Cramer will probably remember that these aren’t permanent growth engines.  To prove a point, BEAV traded well under $5.00 at the lows during the last down-cycle in the sector.

Jon C. Ogg
June 6, 2007

Jon Ogg can be reached at jonogg@247wallst.com; he does not own securities in the companies he covers.

Posted on: June 6, 2007 – 1:37 pm in Aerospace, Cramer, , , , , , ,