Boeing Turns In Solid Q1, But Analyst Flags Ongoing Delivery Hurdles

Core Viewpoint - BofA Securities analyst Ronald J. Epstein maintains a Neutral rating on Boeing Company with a price target of $185, following stronger-than-expected first-quarter 2025 results [1] Financial Performance - Boeing reported a revenue increase of 18% year over year, reaching $19.496 billion, surpassing the consensus estimate of $19.43 billion [1] - The adjusted loss per share improved to 49 cents from $1.13 in the same quarter of 2024, beating the consensus estimate of a $1.27 loss per share [1] Delivery and Production Challenges - Boeing's 737 deliveries in April fell short of expectations, with only 16 units delivered compared to 22 units in the same period last month, which was already below projections [2] - Ongoing uncertainty regarding deliveries to China due to tariff-related issues has led Boeing to reposition aircraft, with two jets returning to Boeing Field and three moved to Moses Lake [3] - Despite these challenges, Boeing is expected to reallocate jets to markets with strong airline capacity demand, particularly in India [4] Production Outlook - Aero Analysis Partners anticipates Boeing will average 28 737 rollouts per month in the second quarter, a slight increase due to first-quarter output being boosted by previously completed aircraft [5] - The firm believes Boeing may reach a monthly production rate of 38 later this year, although maintaining that pace could be challenging [5] Stock Performance - Boeing shares increased by 5.9% to $172.27 on Wednesday [5]