Boeing Stock Soars After Japan Airlines Order and CFO's Tariff Comments

Boeing Stock Soars After Japan Airlines Order and CFO's Tariff Comments

Key Highlights:

• Boeing shares surged after Japan Airlines ordered 17 new 737-8 aircraft.
• Bank of America analysts expect improved deliveries in March, potentially matching January’s 40 deliveries.
• Boeing CFO Brian West stated tariffs on aluminum and steel will have minimal near-term impact on operations.

Boeing (BA) stock jumped over 5% on Wednesday, leading S&P 500 gainers, after Japan Airlines announced an order for 17 additional 737-8 aircraft. This adds to the airline’s March 2023 order of 21 units and an order of 11 Airbus planes meant to replace aging Boeing 767s. Deliveries of the 737-8 planes are set for fiscal 2026, with other aircraft from Boeing and Airbus expected in 2027 and 2028.

Meanwhile, Bank of America analysts cited Aero Analysis Partners’ forecast that Boeing’s March deliveries could exceed February’s numbers and possibly match January’s 40 deliveries. Analysts maintained a neutral rating on Boeing, with a $185 price target.

At an industry conference, Boeing CFO Brian West reassured investors that the Trump administration’s tariffs on aluminum and steel won’t significantly impact operations in the near term. He emphasized Boeing’s largely U.S.-based supply chain and stated that the company’s first-quarter results remain on track.

Boeing has yet to comment on the Japan Airlines deal, but the market reacted positively, with shares climbing more than 5% on Wednesday.