Boeing fined $2.5Bn, charged with fraud conspiracy by DoJ in 737 MAX crashes

  • Boeing announced that it will pay more than $2.5Bn in total criminal fines as part of an agreement with the U.S. Department of Justice

  • The fine is to resolve a criminal charge related to a conspiracy to defraud the Federal Aviation Administration in connection with the two fatal crashes of the 737 MAX aircraft

  • The payment consists of a criminal monetary penalty of $243.6Mn, compensation payments to Boeing customers of $1.77Bn and the establishment of a $500Mn crash victim beneficiaries’ fund

  • According to a statement from the DoJ’s Criminal Division, " Boeing 's employees chose the path of profit over candor by concealing material information from the FAA concerning the operation of its 737 MAX airplane and engaging in an effort to cover up their deception"

  • This penalty is followed by the news of a Boeing 737 air crash in Indonesia, in which 60 people lost their lives

    Boeing expecations

    Over the current book year the total revenue from the company in Chicago will be 58,01 billion USD (consensus estimates). This is quite lower than 2019's revenue of 84,82 billion USD.

    Historical revenues and results Boeing plus estimates 2020

    fundamantele data Boeing

    The analysts expect for 2020 a net loss of 5,58 billion USD. For this year the consensus of Boeing 's result per share is a loss of 9,29 USD. So the price/earnings-ratio equals -22,43.

    Despite the expected loss the company will probably pay a dividend. For this year the analysts expect a dividend of 1,81 USD per share. Boeing 's dividend yield thus equals 0,87 percent. The average dividend yield of the aerospace & defense companies is a poor 0,24 percent.

    Most recent target prices around 282 USD

    RBC Capital Markets, JP Morgan and Jefferies & Co. recently provided recommendations for the stock.

    Boeing 's market capitalization is based on the number of outstanding shares around 118,3 billion USD. The Boeing stock was the past 12 months quite unstable. Since last January the stock is 37 percent lower. This year the stock price moved between 89 and 350 dollar.

    Historical stock prices Boeing past 10 years

    financial analysis boeing

    Click here for dividend Boeing. At 20.39 the stock trades 0,09 percent higher at 208,41 USD.

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