Diane King Hall is with us and we're taking a look at a few of the movers and we'll start off with Alibaba which has already had an incredible run this month. Right. Tell me a little bit about today's story.>> I mean it's adding a little bit to the gains that we've seen so far this month and year to date higher by a half of a percent. We're talking about the ADR here. You've got uh an upgrade here.Another group becoming more bullish on this one. That's Earth Growth. They've upgraded shares to a buy from a h ...

Group 1 - Boeing Co (NYSE:BA) is highlighted as a stock to watch ahead of Q3 earnings season, with a focus on increasing deliveries and cash flow [1] - Boeing shares have risen 28% year-to-date, indicating a recovery driven by new orders, including a significant 225-plane order from Turkish Airlines and a 30-plane order from Norwegian Air Shuttle [2] - The company is also seeing growth in defense revenue with increasing orders for CH-47 helicopters, F/A-18 jets, and a $700 million tanker deal [2]

Core Viewpoint - Boeing has faced significant controversy in recent years, with its stock performance lagging behind the S&P 500 index [1] Stock Performance - Over the past three years, Boeing's stock returned just over 54%, while the S&P 500 increased by 78.5% [1]

Group 1 - Boeing's new 777X widebody jet commercial debut is delayed to early 2027, potentially leading to significant non-cash accounting charges due to prolonged safety certification work [1] - BlackRock's Global Infrastructure Partners is negotiating to acquire Aligned Data Centers for approximately $40 billion, following a nearly $38 billion takeover of AES [1] - Johnson & Johnson was upgraded to buy from hold at Wells Fargo, with analysts optimistic about its cancer franchise and the removal of existential risks related to tariffs and drug pricing [1] Group 2 - Constellation Brands' price target was reduced to $175 from $205 by UBS, although the stock maintains a buy rating, trading at over 11 times forward earnings with a 2.9% dividend yield [1] - UBS maintains a sell rating on Tesla despite better-than-expected third-quarter deliveries, citing concerns over demand pull-forward due to EV tax credit expiration [1] - AeroVironment received price target increases to $400 and $415 from Citizens JMP and BTIG, both maintaining buy ratings and expressing strong bullish sentiment [1] Group 3 - KeyBanc downgraded Corteva to hold from buy following its announcement to split into two companies, raising concerns about the impact of breakups on stock performance [1] - Citi analysts proposed a three-way merger involving CSX, Canadian Pacific Kansas City, and Berkshire Hathaway-owned BNSF as a strategic response to the Union Pacific and Norfolk Southern merger [1] - Barclays lowered its price target on PepsiCo to $140 from $144, expressing caution ahead of earnings, particularly regarding sales and margins [1]

Market Overview - US stock index futures are all up, with Dow futures rising by 0.24%, S&P 500 futures up by 0.18%, and Nasdaq 100 futures also increasing by 0.18% [1] - European indices show mixed results, with Germany's DAX down by 0.24%, UK's FTSE 100 up by 0.52%, and France's CAC40 down by 0.08% [2] - WTI crude oil prices increased by 0.35% to $60.69 per barrel, while Brent crude rose by 0.37% to $64.35 per barrel [3] Economic Data and Events - The non-farm payroll report scheduled for release is likely to be postponed due to the government shutdown, affecting the publication of economic data [4] - The US banking system's reserves have dropped for eight consecutive weeks, falling below $3 trillion for the first time, raising concerns about the Federal Reserve's balance sheet reduction [5] - Federal Reserve's Williams emphasized the need for central banks to prepare for unexpected changes and maintain stable inflation expectations [6] Company News - Hedge funds are adjusting strategies ahead of Japan's ruling party election, betting on yen appreciation and reducing risk assets [7] - Bank of America reported a record inflow of $9.3 billion into tech stocks, driven by the AI investment boom, despite the government shutdown [8] - Chevron's refinery in California experienced a fire, impacting over 16% of the state's refining capacity [10] - Applied Materials anticipates a $600 million revenue loss due to expanded export restrictions on its products to China [10] - Tesla has begun selling its Cybertruck in Qatar, expanding its international presence amid slowing demand in core markets [11] - Boeing's 777X commercial flight plan has been delayed until early 2027, potentially leading to a non-cash accounting charge of $2.5 billion to $4 billion [12]

Group 1 - The company's shares have increased by 23% this year [1] - Investors are encouraged by the company's efforts to enhance quality and production [1]

Core Points - Boeing has delayed the delivery of the 777X aircraft from early 2026 to 2027, potentially resulting in losses of $1 billion to $4 billion [2] - The 777X program, initiated in 2013, is now six years behind the original delivery schedule [2] - Boeing's CEO, David Calhoun, indicated that the certification process is behind schedule due to "a lot of work" still pending, but did not mention any new technical issues [2] - A strike by approximately 3,200 workers in Boeing's military aircraft division, which began on August 4, may continue for several weeks or even months, prompting the company to implement a second phase of crisis response [2] - Last year, a strike involving over 30,000 employees in Boeing's commercial division led to more than seven weeks of factory shutdowns in the Pacific Northwest [3]

Group 1 - Boeing has delayed the delivery of the 777X aircraft from 2026 to early 2027, potentially resulting in losses of billions of dollars [1][3] - The 777X program was initiated in 2013, and even with the new delivery date, it will be six years later than originally planned [2] - Boeing's CEO, David Calhoun, indicated that significant work remains for certification, but did not suggest any new technical issues or delays previously [2] Group 2 - Industry estimates suggest that Boeing could face losses ranging from $1 billion to $4 billion due to the latest delivery delay [3] - A strike by approximately 3,200 military aircraft assembly workers in Missouri and Illinois, which began on August 4, may continue for an extended period [3] - Boeing has initiated a second phase of crisis response, including hiring more replacement workers and identifying additional work that can be outsourced [3]

What's holding up these deliveries. It's already been six years right in the pipeline. And how is this going to affect not just Boeing itself, but its customers as well.Yes, Boeing is communicating privately that it expects its newest market share this long haul, 777, to start flying commercially in 2027. And so it's a blow for customers who have been waiting, as you said, since 2020. I think the problem for Boeing at the moment is it raises the specter of having to take yet another cash charge, a non-cash ...

Core Viewpoint - Boeing is facing significant delays in the delivery of its long-haul 777 aircraft, with commercial flights now expected to start in 2027, impacting customers who have been waiting since 2020 [2][3]. Group 1: Delivery Delays - The newest long-haul 777 aircraft is projected to begin commercial flights in 2027, marking a substantial delay for customers [2]. - Boeing has been in the pipeline for six years, indicating prolonged challenges in the delivery process [1]. Group 2: Financial Implications - The company may need to take a non-cash accounting charge between $2.5 billion to $4 billion due to these delays, which it can ill afford given its recent setbacks [2][3]. - The upcoming earnings report at the end of October may provide formal announcements regarding these financial challenges [4]. Group 3: Operational Challenges - Boeing's CEO, Kelly Rotberg, highlighted a significant number of certification issues that the company needs to resolve, suggesting further bad news may be forthcoming [3]. - The company has been grappling with regulatory, financial, production, and operational challenges over the past several years [4].