BA Relative Valuation
BA's fair value is calculated using relative valuation, based on historical P/E and P/S ranges and their premiums/discounts relative to a competitor average, adjusted by weights. If the market price exceeds this fair value range, BA is overvalued; if below, it's undervalued.
Historical Valuation
Boeing Co (BA) is now in the Fair zone, suggesting that its current forward PS ratio of 1.84 is considered Fairly compared with the five-year average of 59.40. The fair price of Boeing Co (BA) is between 192.96 to 244.48 according to relative valuation methord.
Relative Value
Fair Zone
192.96-244.48
Current Price:226.29
Fair
291.53
PE
1Y
3Y
5Y
35.85
EV/EBITDA
Boeing Co. (BA) has a current EV/EBITDA of 35.85. The 5-year average EV/EBITDA is 13.17. The thresholds are as follows: Strongly Undervalued below -379.29, Undervalued between -379.29 and -183.06, Fairly Valued between 209.40 and -183.06, Overvalued between 209.40 and 405.63, and Strongly Overvalued above 405.63. The current Forward EV/EBITDA of 35.85 falls within the Historic Trend Line -Fairly Valued range.
49.34
EV/EBIT
Boeing Co. (BA) has a current EV/EBIT of 49.34. The 5-year average EV/EBIT is 21.87. The thresholds are as follows: Strongly Undervalued below -93.35, Undervalued between -93.35 and -35.74, Fairly Valued between 79.48 and -35.74, Overvalued between 79.48 and 137.09, and Strongly Overvalued above 137.09. The current Forward EV/EBIT of 49.34 falls within the Historic Trend Line -Fairly Valued range.
1.84
PS
Boeing Co. (BA) has a current PS of 1.84. The 5-year average PS is 1.54. The thresholds are as follows: Strongly Undervalued below 1.02, Undervalued between 1.02 and 1.28, Fairly Valued between 1.80 and 1.28, Overvalued between 1.80 and 2.06, and Strongly Overvalued above 2.06. The current Forward PS of 1.84 falls within the Overvalued range.
47.27
P/OCF
Boeing Co. (BA) has a current P/OCF of 47.27. The 5-year average P/OCF is 93.31. The thresholds are as follows: Strongly Undervalued below -1197.24, Undervalued between -1197.24 and -551.96, Fairly Valued between 738.59 and -551.96, Overvalued between 738.59 and 1383.86, and Strongly Overvalued above 1383.86. The current Forward P/OCF of 47.27 falls within the Historic Trend Line -Fairly Valued range.
-1895.94
P/FCF
Boeing Co. (BA) has a current P/FCF of -1895.94. The 5-year average P/FCF is -30.96. The thresholds are as follows: Strongly Undervalued below -698.09, Undervalued between -698.09 and -364.53, Fairly Valued between 302.60 and -364.53, Overvalued between 302.60 and 636.17, and Strongly Overvalued above 636.17. The current Forward P/FCF of -1895.94 falls within the Strongly Undervalued range.
Boeing Co (BA) has a current Price-to-Book (P/B) ratio of -20.96. Compared to its 3-year average P/B ratio of -16.12 , the current P/B ratio is approximately 30.01% higher. Relative to its 5-year average P/B ratio of -12.47, the current P/B ratio is about 68.04% higher. Boeing Co (BA) has a Forward Free Cash Flow (FCF) yield of approximately -3.67%. Compared to its 3-year average FCF yield of -1.65%, the current FCF yield is approximately 122.17% lower. Relative to its 5-year average FCF yield of -3.92% , the current FCF yield is about -6.55% lower.
-20.96
P/B
Median3y
-16.12
Median5y
-12.47
-3.67
FCF Yield
Median3y
-1.65
Median5y
-3.92
Competitors Valuation Multiple
The average P/S ratio for BA's competitors is 2.37, providing a benchmark for relative valuation. Boeing Co Corp (BA) exhibits a P/S ratio of 1.84, which is -22.46% above the industry average. Given its robust revenue growth of 30.44%, this premium appears sustainable.
Performance Decomposition
1Y
3Y
5Y
Market capitalization of BA increased by 29.23% over the past 1 year. The primary factor behind the change was an decrease in P/E Change from -12.72 to -16.86.
The secondary factor is the Revenue Growth, contributed 30.44%to the performance.
Overall, the performance of BA in the past 1 year is driven by P/E Change. Which is more unsustainable.
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Frequently Asked Questions
Is Boeing Co (BA) currently overvalued or undervalued?
Boeing Co (BA) is now in the Fair zone, suggesting that its current forward PS ratio of 1.84 is considered Fairly compared with the five-year average of 59.40. The fair price of Boeing Co (BA) is between 192.96 to 244.48 according to relative valuation methord.
What is Boeing Co (BA) fair value?
BA's fair value is calculated using relative valuation, based on historical P/E and P/S ranges and their premiums/discounts relative to a competitor average , adjusted by weights. The fair price of Boeing Co (BA) is between 192.96 to 244.48 according to relative valuation methord.
How does BA's valuation metrics compare to the industry average?
The average P/S ratio for BA's competitors is 2.37, providing a benchmark for relative valuation. Boeing Co Corp (BA) exhibits a P/S ratio of 1.84, which is -22.46% above the industry average. Given its robust revenue growth of 30.44%, this premium appears sustainable.
What is the current P/B ratio for Boeing Co (BA) as of Jan 08 2026?
As of Jan 08 2026, Boeing Co (BA) has a P/B ratio of -20.96. This indicates that the market values BA at -20.96 times its book value.
What is the current FCF Yield for Boeing Co (BA) as of Jan 08 2026?
As of Jan 08 2026, Boeing Co (BA) has a FCF Yield of -3.67%. This means that for every dollar of Boeing Co’s market capitalization, the company generates -3.67 cents in free cash flow.
What is the current Forward P/E ratio for Boeing Co (BA) as of Jan 08 2026?
As of Jan 08 2026, Boeing Co (BA) has a Forward P/E ratio of 291.53. This means the market is willing to pay $291.53 for every dollar of Boeing Co’s expected earnings over the next 12 months.
What is the current Forward P/S ratio for Boeing Co (BA) as of Jan 08 2026?
As of Jan 08 2026, Boeing Co (BA) has a Forward P/S ratio of 1.84. This means the market is valuing BA at $1.84 for every dollar of expected revenue over the next 12 months.