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02 March
Boeing’s stock stands out in this screen of aerospace and defense investments

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Deep Dive

Several of the largest defense contractors trade at low price/sales ratios when compared with that of the S&P 500, and Boeing has a high projected sales growth rate

Boeing is expected to increase its revenue at a much higher rate than the S&P 500 over the next two years, while its stock trades at a much lower forward price/sales ratio than that of the index.
Boeing is expected to increase its revenue at a much higher rate than the S&P 500 over the next two years, while its stock trades at a much lower forward price/sales ratio than that of the index. Photo: MarketWatch photo illustration/iStockphoto

The start of a major regional conflict will cause some investors to react immediately. Stocks of U.S.-listed aerospace and defense companies had already soared heading into the weekend and could hardly be considered cheap when looking at customary forward price/earnings ratios, but some of the largest industry players’ stocks are inexpensively priced on a forward price/sales basis.

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