Boeing's stock paces Dow gainers after Morgan Stanley turns bullilsh
Shares of Boeing Co. edged up 0.3% in morning trade Thursday, bucking a broad-market selloff, after Morgan Stanley turned bullish on the defense and aerospace giant, citing optimism over the commercial aerospace industry. Analyst Rajeev Lalwani raised his rating to overweight from equal weight, and raised his stock price target to $450, which is 31% above current levels. "Barring a downturn, the resilience of the EPS and [free cash flow] profile should remain in place within commercial aerospace, which is supported by airline profits and air traffic holding steady following the decline in oil," Lalwani. "In addition, we foresee compounding growth coming from buybacks, production hikes and margin improvement (15%-20%), all from a management that has proven to be best-in-class." The stock gain paced the advancers within the Dow Jones Industrial Average , which dropped 115 points, or 0.5%. Over the past three months, Boeing shares have declined 6.1% while the Dow has lost 7.1%. Market Pulse Stories are Rapid-fire, short news bursts on stocks and markets as they move. Visit MarketWatch.com for more information on this news.