Jamie Spencer
Japan Airlines Adds 17 More Boeing 737-8 Jets
Boeing (BA) stock surged on Wednesday, leading S&P 500 gainers after Japan Airlines announced an additional order of 17 Boeing 737-8 aircraft. This follows a previous March 2023 order for 21 jets of the same model, bringing the total number of new Boeing planes ordered to 38.
Japan Airlines Expands Fleet with Boeing and Airbus
The airline also confirmed the purchase of 11 Airbus planes, intended to replace its aging Boeing 767 fleet. Deliveries of the newly ordered Boeing 737-8 planes are scheduled for fiscal 2026, with other aircraft from both Boeing and Airbus expected to arrive in fiscal 2027 and 2028.
Boeing’s March Deliveries Expected to Increase
In a separate report on Wednesday, Bank of America analysts cited Aero Analysis Partners’ predictions that Boeing’s March aircraft deliveries could surpass February’s numbers and potentially match or exceed the 40 deliveries recorded in January. The analysts maintained a neutral rating on Boeing, with a price target of $185.
Boeing CFO Downplays Tariff Impact
During an industry conference, Boeing CFO Brian West stated that the Trump administration’s tariffs on aluminum and steel are not expected to have a “material near-term impact” on the company. He emphasized that Boeing’s supply chain is primarily U.S.-based, reducing exposure to tariff-related disruptions.
Positive Outlook for Boeing’s Financials
West also suggested that Boeing’s first-quarter results remain in line with expectations, with signs of reduced working capital strain. He hinted at potential improvements in cash flow, estimating a positive impact in the “hundreds of millions” range.
