Analysts Confident Boeing Is 'Gaining Altitude' Despite Q2 Loss

Core Insights - Boeing Co. reported a wider-than-expected loss in Q2, despite strong revenue growth driven by a significant increase in commercial aircraft deliveries and a growing order backlog [1][4] - Analysts maintain a positive outlook on Boeing, citing solid delivery momentum, a strong backlog, and improving cash flow as reasons for optimism [2] Financial Performance - Boeing's Q2 revenue reached $22.75 billion, exceeding analyst expectations, with a 63% increase in commercial aircraft deliveries [4] - The company reported an adjusted loss of $1.24 per share, which was worse than the anticipated $0.94 loss, partly due to a $445 million charge related to a Department of Justice settlement [4] - Free cash outflow was $200 million, significantly better than consensus estimates by over $1 billion [4] Commercial Aircraft Segment - Revenue from commercial airplanes surged 81% year-over-year to $10.87 billion, with 150 commercial jets delivered during the quarter [5] - The backlog increased to $619 billion, including over 5,900 aircraft orders valued at $522 billion [5] Analyst Ratings and Price Forecasts - Goldman Sachs analyst Noah Poponak maintained a Buy rating and raised the price target to $260 from $257, citing stronger-than-expected commercial deliveries and cash flow [3] - Bank of America Securities analyst Ronald J. Epstein also maintained a Buy rating with a price forecast of $260, supported by robust jet demand and improving execution [3] - Other analysts, including RBC Capital and UBS, have also provided positive ratings and increased their price forecasts for Boeing [12][13] Operational Focus - Boeing aims to restore trust, stabilize operations, and meet production targets amid a challenging global environment [11] - The company plans to increase 737 output later this year, reflecting confidence in rising demand for commercial jets [9][11]