The Boeing Company (NYSE:BA) confirmed that it is conducting a probe into a cyber attack that has affected certain aspects of its “parts and distribution” operations. This revelation comes after the Lockbit cybercrime group claimed last Friday to have acquired a substantial volume of sensitive data from Boeing.
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Boeing is working with the law enforcement agencies in their ongoing investigation. Concurrently, the hacking group has threatened to release the information online unless Boeing complies with their ransom demand by November 2. While it is unclear what data the ransomware group stole, Boeing confirmed that the issue does not affect flight safety. Additionally, a report from Reuters noted that the Lockbit threat was no longer present on the gang’s website as of Wednesday.
It remains to be seen how the situation evolves. Meanwhile, Goldman Sachs analyst Noah Poponak demonstrated his confidence in Boeing and included the company’s stock on the “Conviction List” on November 1. Moreover, in the wake of Boeing’s Q3 earnings report released on October 25, Poponak said that the ongoing strength in air travel and aircraft demand will result in a substantial high-margin backlog for the company.
While Poponak is bullish about Boeing stock, let’s look at the Street’s consensus rating.
What Is the Prediction for Boeing Stock?
Boeing’s management said during the Q3 conference call that the demand remains significantly strong for its products and services. Moreover, the company’s backlog stood at $469 billion at the end of the quarter, which included over 5,100 commercial airplanes.
While commercial demand remains solid, challenges in the defense segment and near-term supply-chain headwinds keep some analysts sidelined on BA stock.
With 13 Buy and five Hold recommendations, Boeing stock has a Moderate Buy consensus rating. Further, the average BA stock price target of $241.88 implies 27.32% upside potential from current levels.
