Boeing Shares Rise on Better-Than-Expected Q1 Results

Boeing Co. (BA.US) shares rose as much as 4.2% in premarket trading on Wednesday after the aerospace giant reported first-quarter results that exceeded Wall Street expectations, showing signs of recovery amid manufacturing challenges and global trade tensions.

Financial Performance Beats Forecasts

The company reported a net loss of $31 million ($0.16 per share), significantly improved from a $355 million loss a year earlier. Revenue increased 18% to $19.5 billion, with an adjusted loss per share of $0.49 beating the expected $1.29 loss. Free cash burn of $2.3 billion was far better than the anticipated $3.4 billion. Commercial Airplanes revenue jumped 75% to $8.15 billion as Boeing delivered 130 jets, up nearly 60% from a year ago.

Commercial Aircraft Recovery

Commercial Airplanes revenue jumped 75% to $8.15 billion as Boeing delivered 130 jets during the quarter, up nearly 60% from 83 deliveries a year ago. The 737 program is gradually increasing production with plans to reach 38 aircraft per month this year. CEO Kelly Ortberg announced the company is preparing to seek FAA approval to further increase production to 42 jets monthly "later this year."

Defense & Space Performance

Revenue in the Defense, Space & Security unit fell 9% to $6.3 billion, though the segment reported a 2.5% operating margin reflecting stabilizing operational performance. During the quarter, Boeing secured a major contract to design and build the F-47, the U.S. Air Force's next-generation fighter aircraft, though this order is not yet included in the company's $62 billion defense backlog.

Strategic Moves and Ongoing Challenges

CEO Kelly Ortberg labeled 2025 Boeing's "turnaround year," with plans to increase 737 production to 38 aircraft monthly and seek approval for 42 per month later this year. The company announced the sale of its Digital Aviation Solutions business to Thoma Bravo for $10.55 billion to reduce debt. However, Boeing faces uncertainty from U.S.-China trade tensions, with Chinese tariffs of 125% disrupting deliveries to Chinese airlines. The company's $545 billion backlog includes over 5,600 commercial aircraft, providing some buffer against market volatility.

Boeing (D1)

In premarket trading, the stock is hovering around the 100-day SMA — a key level that bulls will look to hold, as it could pave the way for further recovery. Bears, meanwhile, will aim to push the price below the 30-day SMA. The RSI is trending higher, while the MACD is widening following a bullish crossover.