Boeing Stock Price, News & Analysis

Boeing [NYSE: BA] announced that LATAM Airlines Group has ordered 10 Boeing 787-9 Dreamliners with options for 5 more aircraft. As Latin America's largest 787 operator with 37 existing 787s, LATAM aims to expand its fleet to 52 Dreamliners by 2030. The 787-9 offers 25% better fuel efficiency compared to previous models and will help LATAM grow sustainably while reducing its carbon footprint. The airline plans to receive at least two aircraft annually from 2025 through the decade's end. Boeing's Market Outlook forecasts Latin American air travel to double over the next 20 years, with regional fleet growth expected to exceed 3,000 airplanes by 2043.

Boeing [NYSE: BA] has announced concurrent public offerings of 90 million shares of common stock and $5 billion of depositary shares. Each depositary share represents a 1/20th interest in Series A Mandatory Convertible Preferred Stock. The company will grant underwriters a 30-day option for additional 13.5 million common shares and $750 million depositary shares. Proceeds will be used for general corporate purposes, including debt repayment, working capital, and investments. The preferred stock will automatically convert into common stock by October 15, 2027, with a liquidation preference of $1,000 per share. Boeing plans to list the depositary shares on NYSE under 'BA.PRA'.

Millennium Space Systems, a Boeing company, has been awarded a contract by the U.S. Space Force Space Systems Command for an additional plane of six Missile Track Custody (MTC) satellites. This brings their total contract to two planes, comprising 12 MTC satellites, along with ground systems and mission operations. The Boeing-provided electro-optical infrared payload features advanced sensor technology for high-resolution tracking from MEO, with enhanced onboard processing for faster threat detection and response. The company has also completed the ground system's critical design review, implementing an automated mission operations approach.

Boeing [BA] reported challenging Q3 2024 results with revenue of $17.8 billion, down 1% year-over-year. The company posted a significant GAAP loss per share of ($9.97) and core loss per share of ($10.44), primarily due to IAM work stoppage and charges on commercial and defense programs. Operating cash flow was negative at ($1.3) billion with free cash flow of ($2.0) billion. Total company backlog remained strong at $511 billion, including over 5,400 commercial airplanes. Commercial Airplanes delivered 116 aircraft and booked 49 net orders, while Defense, Space & Security faced challenges with significant charges on multiple programs.

Boeing [NYSE: BA] and Emirates SkyCargo have announced an order for five more 777 Freighters, bringing Emirates' total order book to 249 Boeing widebody airplanes, including 14 777 Freighters. This expansion will nearly double Emirates SkyCargo's current fleet of 11 freighters to 21 in the coming years.

The 777 Freighter can fly 9,200 kilometers and carry 102 tonnes of freight, making it the most capable twin-engine cargo jet. This order reflects Dubai's growing prominence as a global logistics hub and the increasing demand for Emirates' air cargo services.

Boeing's Commercial Market Outlook forecasts an additional 2,845 freighters will enter service over the next 20 years to support growing global trade and e-commerce demand. The 777 Freighter is Boeing's best-selling freighter, with 275 delivered to date.

Boeing [NYSE: BA] CEO Kelly Ortberg announced significant changes to address the company's challenging position. Key points include:

• Delay of 777X program, with first delivery now expected in 2026
• Conclusion of 767 Freighter commercial production in 2027
• Substantial new losses expected in Boeing Defense, Space & Security (BDS) division
• Workforce reduction of approximately 10% across all levels
• Cancellation of next furlough cycle

Ortberg emphasized the need for structural changes to ensure competitiveness and customer delivery. The company will focus on core areas, reallocating resources to improve performance and innovation. These decisions aim to reset Boeing's workforce levels and align with financial realities and priorities.

Boeing [NYSE: BA] announced preliminary Q3 2024 results, expecting revenue of $17.8 billion, a GAAP loss per share of ($9.97), and operating cash flow of ($1.3) billion. The company faces significant challenges, including:

1. Commercial Airplanes: $3.0 billion pre-tax charges on 777X and 767 programs. 777-9 delivery delayed to 2026, 777-8 freighter to 2028. 767 freighter production to conclude.

2. Defense, Space & Security: $2.0 billion pre-tax charges on T-7A, KC-46A, Commercial Crew, and MQ-25 programs.

These impacts are due to certification delays, IAM work stoppage, and higher estimated costs. Boeing emphasizes the need for strategic decisions and structural changes to remain competitive long-term.

Boeing [NYSE: BA] has released its third-quarter delivery report for 2024, covering both commercial and defense operations. Commercial Airplanes delivered a total of 116 aircraft, including 92 737s, 6 767s, 4 777s, and 14 787s. Year-to-date commercial deliveries reached 291 units.

In the Defense, Space & Security segment, notable deliveries included 18 AH-64 Apache helicopters (7 new, 11 remanufactured), 2 renewed CH-47 Chinooks, 3 F-15 models, 1 F/A-18 model, 5 KC-46 Tankers, 3 MH-139s, 1 P-8 model, and 1 T-7A. Total defense deliveries for the quarter were 34 units, bringing the year-to-date figure to 76.

Boeing will provide detailed third-quarter financial results on October 23, 2024.

Millennium Space Systems, a Boeing company, has rapidly completed the preliminary design review (PDR) for the Fire-control On Orbit-support-to-the-war Fighter (FOO Fighter) project, just four months after receiving authorization. The company is contracted to deliver a constellation of eight satellites with a ground system and perform mission operations. FOO Fighter aims to demonstrate advanced missile defense capability by incorporating fire control-quality sensors into a prototype constellation.

Michelle Parker, vice president of Boeing Space Mission Systems, emphasized the project's focus on meeting warfighter needs and the significance of completing the PDR quickly. Doug Hulse, portfolio lead at Millennium Space Systems, noted that the company's common bus architecture allowed them to concentrate on the critical mission aspects during the PDR. The company is now working towards the critical design review, scheduled for early 2025.