Join our community of traders FOR FREE!

  • Learn
  • Improve yourself
  • Get Rewards
Learn More

According to a statement by Boeing Company (BA) on Tuesday, it intends to acquire aerospace parts maker, KLX Inc, in a cash deal valued at approximately $3.2 billion, as the US plane manufacturer seeks to expand its aircraft services business. The deal is expected to value KLX at $4.25 billion, which also includes net debt of $1 billion.

Boeing shares closed lower for a fourth consecutive trading session on Tuesday. The stock went down 1.21% ($4.02) to $329.54, after touching an intraday low at $324.30, or a price level not seen since April 24th ($323.28).

In the week ended on April 29th the shares of the aircraft maker added 0.65% to their market value compared to a week ago, which marked a third consecutive period of gains.

The stock has retreated 1.21% so far during the current month, following a 1.73% surge in April. The latter has been the seventh gain out of eight months.

For the entire past year, the shares of the NYSE-listed plane maker soared 89.43% following another 7.67% surge in 2016.

KLX is to become part of Boeing Global Services and be merged with the US plane makers parts, equipment and services unit, Aviall.

According to Stan Deal, CEO of Boeing Global Services, the deal will result in a one-stop-shop, which will facilitate Boeings supply chain and also benefit its clients.

Reuters reminded that in February Boeings global services unit disclosed agreements worth almost $1 billion, aimed to bolster the companys higher-margin services as well as spare-parts revenue.

Boeing also said that its full-year 2018 guidance and capital deployment strategy would remain without change, as it forecasts cost savings of approximately $70 million per year by 2021.

According to CNN Money, the 24 analysts, offering 12-month forecasts regarding Boeing Company’s stock price, have a median target of $400.00, with a high estimate of $500.00 and a low estimate of $289.00. The median estimate is a 21.38% surge compared to the closing price of $329.54 on May 1st.

The same media also reported that 15 out of 28 surveyed investment analysts had rated Boeing Company’s stock as “Buy”, while 10 – as “Hold”.

Daily and Weekly Pivot Levels

With the help of the Camarilla calculation method, todays levels of importance for the Boeing stock are presented as follows:

R1 – $330.35
R2 – $331.16
R3 (Range Resistance – Sell) – $331.97
R4 (Long Breakout) – $334.41
R5 (Breakout Target 1) – $337.25
R6 (Breakout Target 2) – $338.53

S1 – $328.73
S2 – $327.92
S3 (Range Support – Buy) – $327.11
S4 (Short Breakout) – $324.67
S5 (Breakout Target 1) – $321.83
S6 (Breakout Target 2) – $320.55

By using the traditional method of calculation, the weekly levels of importance for Boeing Company (BA) are presented as follows:

Central Pivot Point – $337.60
R1 – $346.14
R2 – $351.40
R3 – $359.94
R4 – $368.48

S1 – $332.34
S2 – $323.80
S3 – $318.54
S4 – $313.28

TradingPedia.com is a financial media specialized in providing daily news and education covering Forex, equities and commodities. Our academies for traders cover Forex, Price Action and Social Trading.

Related News

  • Elon Musk’s net worth has declined by over $100 billion (25%) since mid-DecemberElon Musk’s net worth has declined by over $100 billion (25%) since mid-December Key momentsElon Musk's net worth has declined by over $100 billion (25%) since mid-December Tesla's stock has dropped 25% year-to-date and 8% on Tuesday, closing at $302.80. The company has lost its trillion-dollar status amid the […]
  • Forex Market: EUR/USD daily forecastForex Market: EUR/USD daily forecast During Friday’s trading session EUR/USD traded within the range of 1.3585-1.3612 and closed at 1.3595.At 6:23 GMT today EUR/USD was losing 0.12% for the day to trade at 1.3578. The pair touched a daily low at 1.3576 at 6:10 GMT, breaching […]
  • EUR/USD in stable trade ahead of FED decisionEUR/USD in stable trade ahead of FED decision The euro traded steadily against the US dollar on Wednesday, as market players awaited FEDs decision at its monthly meeting later today.EUR/USD pair hit 1.3410 during early European trade, currently the session high, after which […]
  • Commodities trading outlook: gold, silver and copper futuresCommodities trading outlook: gold, silver and copper futures Gold and silver futures were still lower during midday trade in Europe today, as investors were sifting through ECB data and speculation, while holding big moves for after US payrolls on Friday. Meanwhile, copper futures were also losing, with […]
  • Roche Holding AG’s share price up, to acquire InterMune for $8.3 billionRoche Holding AG’s share price up, to acquire InterMune for $8.3 billion Roche Holding AG, the biggest cancer drugs manufacturer in the world, announced an agreement was reached acquire InterMune Inc. for $8.3 billion, as the Swiss pharmaceutical giant seeks to further expand its portfolio."It’s a perfect fit […]
  • Forex Market: EUR/GBP daily outlookForex Market: EUR/GBP daily outlook During yesterday’s trading session EUR/GBP traded within the range of 0.8344-0.8391 and closed at 0.8387.At 7:14 GMT today EUR/GBP was gaining 0.02% for the day to trade at 0.8390. The pair touched a daily high at 0.8394 at 7:05 […]