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Power Play: Flying higher with Boeing

767 Boeing
Source: Boeing
767 Boeing

The Dow and S&P 500 are still positive for the year, despite the pullback in recent weeks.

Gary Bradshaw, senior vice president and portfolio manager at Hodges Capital Management, tells CNBC's "Power Lunch" on Thursday investors are too negative and the market can still go higher.

"We like blue chips that are growing cash flow, earnings, and are raising their dividends," Bradshaw said.

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One company that fits his investment strategy is Boeing.

"Carriers are looking to replace their aging fleet. Boeing has a massive backlog of 5,800 planes to deliver over the next 7 years. Free cash flow continues to improve as costs on the 787 come down," Bradshaw said.

Another plus for Boeing is its dividend. "Boeing yields 3.1 percent and recently raised the dividend 12 percent," Brashaw said.

Boeing is up one percent during trading.