The Boeing Company (BA), Kraft Foods Group Inc (KRFT): Thursday’s Top Upgrades (and Downgrades)

Is Imperial right about that? Actually, they might be. I’m a recurrent Boeing pessimist myself, and I still have reservations about the company’s 787 troubles (afflicted by burning batteries, delayed deliveries, and consequent penalty payment demands from its customers). That said, Boeing took a big risk off the table when it settled both of its latest labor disputes without sparking a strike. As a result, I have to admit that Boeing shares at less than 17 times earnings, and a mere 11 times free cash flow, don’t look half bad to me right now.

If The Boeing Company (NYSE:BA) succeeds in growing profits at the near-14% annual rate that analysts project, and if it maintains or increases its modest 2.3% dividend yield, and if it gets its 787 situation resolved (a task made much easier now that it has engineers and technicians on the task, and not on the picket line), the stock could be a great bargain at today’s prices.

That’s a lot of ifs, admittedly. But at $86 and change, I think The Boeing Company (NYSE:BA)’s worth the risk.

Fool contributor Rich Smith has no position in any stocks mentioned. The Motley Fool recommends Berkshire Hathaway and H.J. Heinz Company. The Motley Fool owns shares of Berkshire Hathaway.

The article Thursday’s Top Upgrades (and Downgrades) originally appeared on Fool.com.

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