Boeing faces production delays and extended 777X testing timelines, yet Bank of America maintains a bullish outlook, citing the recent selloff as a buying opportunity for long-term investors.
Bank of America reiterates Buy rating on Boeing with a $270 price target, viewing the recent selloff as an overreaction to production ramp challenges.
GE Aerospace states that 777X certification can proceed with existing seals and upgraded parts are shipping, reducing a key risk for Boeing's program.
Boeing shares fell 4.83% this week following CEO Kelly Ortberg's update on production ramp challenges and delayed 777X certification. Despite the volatility, Bank of America reiterated a Buy rating, viewing the market's reaction as an overreaction to expected turnaround hurdles. Analysts remain focused on the upcoming SPEEA labor vote and the critical certification of the 737 MAX 10.
Shares declined after CEO Kelly Ortberg signaled that 737 production stabilization is taking longer than expected and pushed 777X certification testing into 2027.
GE Aerospace stated that certification can move forward with existing seals and that upgraded parts began shipping in August, reducing the risk to the program.