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

|About: The Boeing Company (BA)|By:, SA News Editor

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.