Taking stock
Published 9:00 pm Tuesday, May 30, 2006
I don’t normally follow Boeing’s stock prices, but with the company poised to make a payout under a bonus program that’s triggered by stock prices, this is as good a time as any to start.
Shares are trading this morning upwards of $81 a share, which is far beyond the price of $47 that will trigger the payout under Boeing’s Share Value Trust program. Boeing workers will get the bonus in the form of stock grants, plus checks to cover the value of any fractional shares they may earn.
The value of the stock grant will depend on the exact price on June 30, but if it stays in this range, workers are looking at a couple thousand dollars. Yet whether the price stays up this high is questionable, according to stock guru Jim Cramer. http://www.thestreet.com/_googlen/comment/investing/10288630.html?cm_ven=GOOGLEN&cm_cat=FREE&cm_ite=NA
The stock is down about $6 from its peak earlier this spring, and it’s “probably not done going down,” Cramer said, but he urged callers to his radio show not to bail out yet.
Key Quote: “Cramer said not to sell it outright because the fundamentals are too good. You’ll be under pressure, he warned, but don’t give up on it.”
(For the record: I don’t own any shares of Boeing, for the simple reason it would be a huge breech of professional ethics for me to own stock in a company I write about. And I’m not a stock analyst, nor do I play one on TV.)
