Ford Motor Company (F), The Boeing Company (BA): A Good Growth Duo

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Growth
The Boeing Company (NYSE:BA) has estimated that, as developed markets replace existing aircraft fleets and emerging markets increase air travel, future aircraft demand will be worth almost $4.5 trillion over the next 20 years. Considering that The Boeing Company (NYSE:BA) and competitor Airbus have a duopoly on the market for large commercial aircraft, that demand will equal a nice chunk of change for growth potential. However, what can Boeing promise investors that is sustainable – not just potential – growth?

Sustainable
We’re in luck! The Boeing Company (NYSE:BA) has a massive backlog of orders and deliveries to produce – equaling nearly $400 billion. If you want to compare that to its annual sales, it’s roughly 4.5 times this year’s estimate. That’s about as sustainable as growth gets. Four years of guaranteed sales? Sign me up.

Bottom line
Both of these companies have bear cases to be made against them, but I like the future sustainable profits they have in line. I think both are undervalued and may take some time to appreciate to the stock prices they deserve. If you’re a long-term investor, this could be a reason to research more. If you decide to invest, while you’re waiting, know that both happen to offer dividends to help make your trip a little more enjoyable.

The article 2 Stocks With Sustainable Growth originally appeared on Fool.com and is written by Daniel Miller.

Motley Fool contributor Daniel Miller owns shares of Ford. The Motley Fool recommends Ford. The Motley Fool owns shares of Ford.

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