Boeing's 2.2% drop weighs on the Dow, as 13% correction continues

Boeing (BA -2.2%) is the Dow's biggest decliner thanks mostly to the latest production setback for the 787 Dreamliner as hairline cracks were discovered in the wings of ~40 of the company's newest jets; the presumed crash of the Malaysian airliner made by Boeing and the emergency landing of a 787 in Hawaii during the weekend aren't helping.

Shares have corrected ~13% since their Jan. 17 high, and some analysts think the move has gone too far; the 787 is "the best international plane ever built - it's got an impeccable track record after 20 years and over 1,200 deliveries," says one.

Sterne Agee cuts its Q1 delivery assumption by 16 aircraft to 148 reflecting 10 fewer 787 deliveries and cuts its Q1 revenue assumption by $1.8B to $19.6B, but does not change its annual delivery assumption of 722 aircraft or its 2014 EPS estimate of $7.40; the firm says significant upside remains in BA in 2014 and would take advantage if shares are weak given the headlines.

From other sites
Comments (4)
  • larocag
    , contributor
    Comments (1469) | Send Message
    "after 20 years and over 1,200 deliveries" I believe this refers to the 777.
    10 Mar 2014, 02:42 PM Reply Like
  • thomas85225
    , contributor
    Comments (552) | Send Message
    787 wing cracks
    When was the Eddy current perform (NDT) on the wings?


    See Popular Mechanics June 1989 page 69 and Boeing Specification BAC-5651 BAC 5651
    And where were the inspectors that bought off the test, Mitsubishi Heavy Industries, Boeing, FAA, QA, ect


    The cracks resulted from over-tightening of the fasteners without the use of manufacturing fillers,
    Aka An torque wrench!
    And where were the inspectors at that bought off the torque wrench reading test, Mitsubishi Heavy Industries, Boeing, FAA, QA
    Where was Boeing incoming inspection and QA at ?
    Boeing is reasonable for its aircraft and all the parts that are build by vendor and suppliers see
    Business | Faa Tells Mcdonnell Douglas To Fly Right -- Sloppy ...
    Boeing also has had quality problems with its jetliners in the past. Problems with crossed wiring in fire-extinguisher systems in its 767s prompted complaints three years ago by American Airlines, Japan Airlines and All Nippon Airways. British Airways also complained in 1988 about persistent problems with a variety of systems and fasteners in its new 747 jumbo jets. Boeing officials said they resolved the issues.
    10 Mar 2014, 02:59 PM Reply Like
  • thomas85225
    , contributor
    Comments (552) | Send Message
    Correction Boeing stock is returning to Normal


    At the launch of the 787 program the Boeing stock was $19.77


    The 787 has yet to make a profit and Boeing paying the airlines for late delivery and other problems on the 787
    Boeing will spent 10 Billion to buy back stock (at full price) that was selling below $100,00 a years ago!
    Many of Boeing program have come to end like the Rockwell Space shuttle, Sea launch ect
    Boeing plans more cuts in region - Los Angeles Times - Similar to Boeing plans more cuts in region - Los Angeles Times
    Nov 8, 2012 ... It will trim executive workforce 30% and sell or demolish offices in Southland. ... at its Space Exploration division in Huntington Beach as the nation's ... Boeing is consolidating its Southern California facilities, with the next ...
    The military program are coming to end, Northrop F/A-18 E &F and EA-18G, McDonnell F-15 and Douglas C-17
    The Kc-46 tanker is 900 million over budget and years going into testing and the P-8 does not perform
    Since 3-28-2003 Boeing has only delivery 118 787 that are full of problems and Boeing is paying millions to the Airlines, The 787 has yet to make a profit
    Since 2005 the 747-8 has 120 orders and only 64 deliveries and the 747-8 yet to make profit
    The 777-X is coming to market in 2020 too late to complete with A350 that is production, in flight test and flow at the Airshow in 2013 and 2014
    Airbus A-350 has 812 orders for the passenger’s version and 118 orders for the freighters version,
    The 777-X only has 259 orders for the passenger’s version and the freighter version has yet to be offer and is only need flying in and out of Singapore and Australia
    The program needs 27 Billions of tax payer money to build a new assembly complex in Everett Washington
    Boeing slows the pace on 777X
    New Delhi: Air India has decided to sell five out of its eight Boeing 777-200LR aircraft owing to change in market dynamics due to global recession, steep increase in fuel prices and poor yields on non-stop routes, Parliament was informed today.
    Is Qatar Airways serious about no 777-X orders? | Plane Talking
    Air NZ helps explain why the 777 isn't right for Qantas - Wings ...



    Udvar-Hazy earlier this week said the 777X needs further “design refinements” before he would consider ordering the aircraft.

    The 737MAX, 787-10 and 777-X are still on the drawing board
    Boeing back log is 5000 commercial aircrafts but at the current production rate that will be finish in 6 years
    Boeing has off its Manufacturing Capabilities to other aircraft companies
    Boeing sells fabrication plants
    40% of Boeing workforce will retire over the next five years
    Boeing has yet to modernize its factories with automation to meet the world need of 35,000 new aircraft over the next twenty years see:
    Boeing The Current Market Outlook see
    Airbus Global Market Forecast 2012-2031 see
    Average Fleet Age for Selected Airlines see
    The Boeing product line is out dated the 747 was design in 1961, 737 in 1966, 757 & 767 in 1972, 777 in 1989, 737NG in 1997, 787 in 2003, 777-X 2013
    What does Boeing need with 747-8, 767-200, -300, -400, 777-200, -300, -8X, -9X, 787-8,-9,-10 all in the oversea market.
    Boeing has offer the 777-100 & combo at the Pair Air shown in 1995 and the 777-X twice before (Boeing did not build the double Decker 747-500 & -500 in 1997 or the Sonic Cruiser or the X-48- 797 BWB)
    Boeing has offer the 777-X and 787-10 after Airbus A-350 when into production and the problems with late delivery with 747-8 of 57 deliveries in the late two years and 103 deliveries of the 787-8 in the last 10 years
    Air India and Jet Air has decided to sell five out of its eight Boeing 777-200LR aircraft owing to changes in market dynamics due to the Global recession, steep increase in fuel prices and poor yields on non-stop routes,

    Many airlines are not replacing there exist Boeing aircraft, since Boeing CEO James McNerney, and GE CEO Jeff" Immelt are member of the board on the Import-Export Bank that made better loan to foreign airlines at a lower interest rate
    Delta, and other Airline Group have file law suits against The U.S. Export-Import Bank over Air India Loan Guarantees
    Boeing Dreamliner Lawsuit Dismissal Upheld on Appeal - … may be the reason that airlines are ordering from Airbus


    This may explained why Airbus has beaten Boeing again in 2013
    10 Mar 2014, 03:01 PM Reply Like
  • thomas85225
    , contributor
    Comments (552) | Send Message
    Boeing Gets a Downgrade as 777X Success Shrinks 777 Orders see

    11 Mar 2014, 03:45 PM Reply Like
DJIA (DIA) S&P 500 (SPY)
ETF Screener: Search and filter by asset class, strategy, theme, performance, yield, and much more
ETF Performance: View ETF performance across key asset classes and investing themes
ETF Investing Guide: Learn how to build and manage a well-diversified, low cost ETF portfolio
ETF Selector: An explanation of how to select and use ETFs