TechniTraderTraining

BA Buybacks Boost Stock Price

NYSE:BA   BOEING CO
BA approved another round of Buybacks last summer. Now, that activity is moving the BA stock price upward.

Comments

BUYBACKS WERE CANCELLED
Reply
@ARCHIDUKE, not cancelled according to our research but "temporarily paused" were the words used in the Q3 2019 Earnings Call: https://seekingalpha.com/article/4298308-boeing-company-ba-ceo-dennis-muilenburg-q3-2019-results-earnings-call-transcript?page=9

"In the third quarter we paid $1.2 billion in dividends. And as I previously mentioned, we have temporarily paused our share repurchase program. Our long-term balanced cash deployment strategy and commitment to returning cash to shareholders remains unchanged. However in the near term managing our liquidity and balance sheet leverage are top priorities and will continue to be so until the 737 MAX deliveries resume we execute the 737 production rate increases and see stability in the production system."
Reply
ARCHIDUKE TechniTraderTraining
@TechniTraderTraining, yes cancelled paused , how then are then are the bybacks causing the price to move higher if they are pasued?your stattement abaove implies buybacks are pushing stock price higher
Reply
@ARCHIDUKE, don't mean to beat a dead horse but to respect your question with a response...

That earnings call transcript referenced buyback activity in the 3rd quarter--over July, August and September.

The patterns we pointed out in this post were recent. There are no reports to confirm this activity yet--that will come with the Q4 report--but the chart patterns suggest that buybacks at the end of October and into November are likely, though not confirmed.

Note the candlestick patterns and trendlines that formed in many stocks when buybacks occurred en masse at the end of 2018, beginning of 2019--it caused the V bottom low of the long term trading range many of the big blue chip stocks have been in for 2 years. Notice where the lows of the current trading range are for BA---right around the end of 2018 price level.

It's just an interesting observation and we don't pretend to be right all the time, no one can be. All things in the stock market are a matter of opinion.

Reply
ARCHIDUKE TechniTraderTraining
@TechniTraderTraining, I appreciate you clarifying yourself man, however buybacks were cancelled or paused in the second quarter, are suggesting they resumed buybacks and it was mentioned during the earnings call, I highly doubt it though because buybacks are not something that is simply mentioned in passing they are supposed to be officially announced, maybe I misunderstood you
Reply
Home Stock Screener Forex Screener Crypto Screener Economic Calendar How It Works Chart Features Pricing Refer a friend House Rules Help Center Website & Broker Solutions Widgets Charting Solutions Lightweight Charting Library Blog & News Twitter
Profile Profile Settings Account and Billing Referred friends Coins My Support Tickets Help Center Ideas Published Followers Following Private Messages Chat Sign Out