The Boeing (NYSE:BA)- Most Active Trio on Profitability Estimation: Hovnanian Enterprises (NYSE:HOV)

The Boeing Company (NYSE:BA) also making a luring appeal, share price swings at $159.07 with percentage change of 0.47% in most recent trading session. Boeing (BA) and Jeju Air reported an order recently for three Next-Generation 737-800s.

The order, valued at nearly $300 million at current list prices, will become the airline’s first direct-purchased airplanes from Boeing and fuel the airline’s continued expansion within Asia’s rapidly growing air travel market. The order was previously attributed to an unidentified consumer on Boeing’s Orders & Deliveries website.  “This acquisition is a major step in our growth strategy,” said Ken Choi, Chief Executive Officer, Jeju Air. “We fully understand the benefits of owning and operating airplanes, which is what drove our decision to purchase these airplanes. We are confident that this order will enable Jeju Air to further strengthen our position as a leading low-cost carrier in Northeast Asia.

Profitability Valuation

The profit margins can answer significantly to find consistent trends in a firm’s earnings, the Co has positive 4.50% profit margins that indicates every dollar of sales a firm actually keeps in earnings, and the larger number indicates improving and vise worse. Gross profit margin, operating profit margins are its sub parts that firm has 13.60% and 5.10% respectively. Moving toward returns ratio, BA has returns on investment of 33.50% which indicates firm’s investment efficiency or to compare the efficiency of a number of different investments.

While returns on assets calculated as 4.70% hat gives an idea about how efficient management is at using its assets to generate earnings. It has returns on equity of 131.50%, which is measuring a corporation’s profitability by revealing how much profit generates by BA with the shareholders’ money. The firm attains analyst recommendation of 2.30 on scale of 1-5 with week’s performance of 1.70%.

Moving toward ratio analysis, it has current ratio of 1.30 and quick ratio was calculated as 0.40. The debt to equity ratio appeared as 5.01 for seeing its liquidity position. The firm attains analyst recommendation of 2.30 out of 1-5 scale with week’s performance of 1.70%.

Moving on tracing line, Hovnanian Enterprises, Inc. (NYSE:HOV) need to consider for profitability analysis, in latest session share price swings at $2.75 with percentage change of 1.10%.

The Co has negative -0.10% profit margins to find consistent trends in a firm’s earnings. Gross profit margins and operating profit margins are its sub parts that firm have 14.40% and 4.90% respectively. HOV has returns on investment of 8.00%. The returns on assets were -0.10% that gives an idea about how efficient management is at using its assets to generate earnings. It has returns on equity of 1.00%, which is measuring profitability by disclosing how much profit generates by HOV with the shareholders’ money. The firm attains analyst recommendation of 3.50 on scale of 1-5 with week’s performance of -0.37%.

 

About Richard Avery

He is a capital projects manager and process design engineer at a large-cap company. He has renowned MBA degree. Before joining SWR, he was a freelance writer for renounce tech websites. He is currently studying for CFP exam. Interests: Tech stocks, Economic Markets, Blue-chips.

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