Stock Analysis on Net
Stock Analysis on Net
Microsoft Excel LibreOffice Calc

Boeing Co. (NYSE:BA)

Price to FCFE (P/FCFE)

Intermediate level


Free Cash Flow to Equity (FCFE)

Boeing Co., FCFE calculation

US$ in millions

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12 months ended: Dec 31, 2019 Dec 31, 2018 Dec 31, 2017 Dec 31, 2016 Dec 31, 2015
Net earnings (loss) related to parent (636) 10,460  8,197  4,895  5,176 
Net losses related to noncontrolling interests (41) (21) (2) (1) (3)
Net noncash charges 2,860  2,599  2,654  2,560  2,395 
Changes in assets and liabilities (4,629) 2,284  2,495  3,045  1,795 
Net cash provided (used) by operating activities (2,446) 15,322  13,344  10,499  9,363 
Property, plant and equipment additions (1,834) (1,722) (1,739) (2,613) (2,450)
Property, plant and equipment reductions 334  120  92  38  42 
Purchase of distribution rights (127) (69) (131) —  — 
New borrowings 25,389  8,548  2,077  1,325  1,746 
Debt repayments (12,171) (7,183) (953) (1,359) (885)
Repayments of distribution rights and other asset financing —  —  —  (24) — 
Free cash flow to equity (FCFE) 9,145  15,016  12,690  7,866  7,816 

Based on: 10-K (filing date: 2020-01-31), 10-K (filing date: 2019-02-08), 10-K (filing date: 2018-02-12), 10-K (filing date: 2017-02-08), 10-K (filing date: 2016-02-10).

Item Description The company
FCFE Free cash flow to equity is the cash flow available to Boeing Co.’s equity holders after all operating expenses, interest, and principal payments have been paid and necessary investments in working and fixed capital have been made. Boeing Co.’s FCFE increased from 2017 to 2018 but then decreased significantly from 2018 to 2019.

Price to FCFE Ratio, Current

Boeing Co., current P/FCFE calculation, comparison to benchmarks

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No. shares of common stock outstanding 564,448,738
Selected Financial Data (US$)
Free cash flow to equity (FCFE) (in millions) 9,145 
FCFE per share 16.20
Current share price (P) 161.14
Valuation Ratio
P/FCFE 9.95
Benchmarks
P/FCFE, Competitors1
General Dynamics Corp. 35.86
Lockheed Martin Corp. 25.53
Northrop Grumman Corp. 24.71
Raytheon Technologies Corp. 19.79
P/FCFE, Sector
Aerospace & Defense 18.16
P/FCFE, Industry
Industrials 21.45

Based on: 10-K (filing date: 2020-01-31).

1 Click competitor name to see calculations.

If the company P/FCFE is lower then the P/FCFE of benchmark then company is relatively undervalued.
Otherwise, if the company P/FCFE is higher then the P/FCFE of benchmark then company is relatively overvalued.


Price to FCFE Ratio, Historical

Boeing Co., historical P/FCFE calculation, comparison to benchmarks

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Dec 31, 2019 Dec 31, 2018 Dec 31, 2017 Dec 31, 2016 Dec 31, 2015
No. shares of common stock outstanding1 563,152,208 564,985,109 588,490,313 612,478,643 662,503,822
Selected Financial Data (US$)
Free cash flow to equity (FCFE) (in millions)2 9,145  15,016  12,690  7,866  7,816 
FCFE per share3 16.24 26.58 21.56 12.84 11.80
Share price1, 4 318.27 404.91 343.80 163.81 116.36
Valuation Ratio
P/FCFE5 19.60 15.23 15.94 12.75 9.86
Benchmarks
P/FCFE, Competitors6
General Dynamics Corp. 47.15 4.64 17.60 24.11 28.78
Lockheed Martin Corp. 28.62 49.82 18.40 23.62 4.99
Northrop Grumman Corp. 28.00 259.84 5.94 16.31 14.90
Raytheon Technologies Corp. 28.09 6.94 14.93 10.56 12.16
P/FCFE, Sector
Aerospace & Defense 25.62 12.06 13.66 14.86 9.45
P/FCFE, Industry
Industrials 22.80 21.01 18.39 79.56 41.67

Based on: 10-K (filing date: 2020-01-31), 10-K (filing date: 2019-02-08), 10-K (filing date: 2018-02-12), 10-K (filing date: 2017-02-08), 10-K (filing date: 2016-02-10).

1 Data adjusted for splits and stock dividends.

2 See details »

3 2019 Calculation
FCFE per share = FCFE ÷ No. shares of common stock outstanding
= 9,145,000,000 ÷ 563,152,208 = 16.24

4 Closing price as at the filing date of Boeing Co.’s Annual Report.

5 2019 Calculation
P/FCFE = Share price ÷ FCFE per share
= 318.27 ÷ 16.24 = 19.60

6 Click competitor name to see calculations.

Valuation ratio Description The company
P/FCFE Price to free cash flow to equity is cash valuation indicator of stockholders’ equity. Boeing Co.’s P/FCFE ratio decreased from 2017 to 2018 but then increased from 2018 to 2019 exceeding 2017 level.