JPMorgan analysts reaffirmed their Overweight rating and a price target of $210 for Boeing (NYSE:BA) stock. The analysts adjusted the free cash flow (FCF) estimates for Boeing for the second quarter of 2024 and the entire year, following management’s recent investor conference update.
This adjustment is due to a decrease in near-term deliveries of the 737 and 787 models, coupled with the company’s efforts to enhance its production processes. Despite the expected $4 billion cash outflow in Q2, Boeing’s recent debt raise ensures sufficient liquidity.
Long-term cash flow estimates remain mostly unchanged for now, pending more information on the 737 production ramp-up, Boeing’s potential acquisition of Spirit Aerosystems, and the priorities of the incoming CEO, once appointed. The year-end price target is maintained at $210.