Is Boeing's Current Loss a Potential Gain for Investors?...READ MORE
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 | | Is Boeing's Current Loss a Potential Gain for Investors? | | Every company goes through its challenges. For a startup company, a challenge may be so difficult that it can't be overcome. For an established company, however, a dire outlook now may lead to a great, market-beating investment opportunity down the road.
History is full of examples of great companies declining on short-term fears that then prove overblown in hindsight. As long as the problem isn't so severe as to risk bankruptcy, investors who buy in during the crisis can make out like bandits!
One potential large-cap company where this is the case is Boeing (BA). The aircraft manufacturer has had to face weeks of negative publicity and bad news following the shutdown of all its 737 Max airplanes due to a software issue.
But a look at the company tells us that this troublesome development only affects a small part of the company's overall business. Despite how management has had trouble navigating the bad publicity, the issue is being resolved. And the company's other production lines are in fine shape.
That makes shares look attractive here. Crises occur and pass in time. And given Boeing's competitive advantage as the sole large aircraft manufacturing company in the United States, and one of just a handful around the world, it's likely that the fears surrounding the company will pass.
Thanks to the company's competitive position, shares are likely to outperform the market, making this short-term crisis a potential buying opportunity for future profits.
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