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View the full Oct 31, 2026 version

Price: $190.21 → $171.55(−9.8%)
Next earnings: Oct 27, 2026 → Jan 27, 2027
Next earnings is estimate: No → Yes
About: Boeing designs and builds commercial airplanes, military aircraft, satellites, and weapons, and it gives services to airlines and governments. It reports three segments. Commercial Airplanes builds the 737, 767, 777, and 787 and gave $21.0 billion of its $46.8 billion of revenue in the first half of 2026. Defense, Space & Security builds aircraft such as the KC-46 tanker, the T-7A trainer, and the MQ-25 drone, mostly for the US government. Global Services sells parts, maintenance, training, and data services, and it is the most profitable segment, with an operating margin of removed: 18.1% added: 18.3% in removed: Q2 added: Q3 2026. Boeing gets most of the cash for an airplane when it delivers it, so the number of deliveries drives its cash flow. At removed: June added: September 30, 2026, its backlog was a record removed: $715 added: $745 billion, with more than removed: 6,200 added: 6,300 commercial airplanes. In December 2025, it bought Spirit AeroSystems, its main supplier of 737 fuselages.
Thesis: The market prices Boeing at a discount because it doubts that Boeing can raise production and turn its large backlog into steady cash flow on time. Boeing still lost money in the first removed: half added: nine months of 2026: core loss per share was removed: $0.97, added: $1.30, and free cash flow was an outflow of removed: $0.8 added: $0.4 billion. It also carried $45.9 billion of debt at removed: June added: September 30, 2026. Its value depends on more deliveries each year, but each step needs the FAA. The 737 production rate went from 42 to 47 a month in 2026. The removed: 737-10 is still not added: FAA certified added: the 737-7 in August 2026 and the 737-10 on October 20, 2026, after a software removed: issue added: review delayed removed: it in September 2026, and the added: it. The first 777-9 delivery is planned for 2027, years removed: late. Each added: late, and each delay pushes cash into later years. For the gap to close, four things must be true. The 737 line must stay stable at 47 a month, and the FAA must approve higher rates and the new North Line. The FAA must certify the removed: 737-10 soon and the 777-9 in time for first delivery in removed: 2027. added: 2027, and other regulators must validate the 737-10. Free cash flow must turn positive for 2026 and grow strongly in 2027, as management expects. Boeing must keep reducing its debt and keep its investment-grade ratings. The removed: first added: next check is the removed: Q3 added: Q4 2026 report removed: on October 27, 2026, then the 737-10 certification and the 2027 removed: outlook with the Q4 report, added: outlook, expected in late January 2027. If these hold, the gap can close over several years as cash flow grows. Another quality problem or a long certification delay would push this out again.
Risks: Boeing needs FAA approval for higher 737 rates, the new 737 North Line, removed: the 737-10, and the 777-9. added: The 737-10 also needs approval from other regulators, such as those of Canada and Europe. Another quality problem or a long certification delay can stop the increase in deliveries and cash flow, as it did after the door plug event in January 2024. Boeing still lost money in the first removed: half added: nine months of 2026, and its debt was $45.9 billion at removed: June added: September 30, 2026. Operating earnings covered only about half of interest expense in that period. If cash flow is weak, the ratings, which are one step above junk, can fall. Fixed-price defense programs, such as the VC-25B Air Force One, KC-46, MQ-25, and T-7A, have caused repeated losses. The VC-25B lost $280 million in Q2 2026. More losses on these programs can reduce profit. Suppliers have shortages and financial problems. A shortage slowed the 787 factory in April 2026. Tariffs and US-China trade tension can raise costs and reduce orders and deliveries to China, which is a large market for airplanes. Labor actions can stop production. A strike in 2024 stopped most commercial airplane production for about seven weeks.
Balance sheet: Cash: removed: $20.0B added: $20.7B Debt: $45.9B Net debt: removed: $25.9B added: $25.2B Interest cover: 0.5× Undrawn credit line: $10.0B Debt due within 12 months: $4.6B Ratings: S&P BBB- (stable outlook), Moody's Baa3 (stable outlook), Fitch BBB- (positive outlook) Boeing funds itself mostly with unsecured bonds that it issued after 2020, when its losses grew. Total debt was $45.9 billion at removed: June added: September 30, 2026, added: the same as at June 30 and down from $54.1 billion at December 31, 2025, after removed: $7.8 billion more net added: debt repayments removed: than added: of $8.4 billion in the first removed: half added: nine months of removed: 2025. added: 2026. Cash is removed: $7.2 added: $9.5 billion of cash and removed: $12.8 added: $11.2 billion of short-term removed: investments. added: investments at September 30, 2026. Interest cover is GAAP earnings from operations divided by interest and debt expense for the first removed: half added: nine months of 2026; it is below 1, so operating earnings did not cover interest. Boeing has no EBITDA figure here because it has had operating losses or very small profits. added: Free cash flow was $0.5 billion in Q3 2026 and an outflow of $0.4 billion in the first nine months. The undrawn credit is three revolving credit lines of $3.0 billion, $3.0 billion, and $4.0 removed: billion. On added: billion, due August removed: 24, 2026, Boeing renewed the first to added: 2027, August removed: 2027 added: 2029, and removed: extended the others to August 2029 and May 2030. They removed: now require at least $5.0 billion of liquidity. removed: In June added: At September 30, 2026, added: S&P and Moody's rated Boeing one step above junk with a stable outlook, and Fitch removed: changed its added: had a positive outlook removed: to positive. added: since June 2026. As of removed: Jun added: Sep 30, 2026.
Checkpoints: Oct added: 20, 2026: 737-10 certification. Passed. Watch: FAA certification of the 737-10 by the end of 2026, which keeps first delivery in 2027, passes; a new delay into 2027 fails. Outcome: The FAA certified the 737-10 on October 20, 2026. Oct 27, 2026: Q3 2026 results: cash flow and 737 rate. removed: Pending. added: Passed. Watch: Positive free cash flow in Q3 and a 737 line stable at 47 a month pass; a cash outflow, new charges, or a slower 737 rate fail. removed: Q4 2026 (estimate): 737-10 certification. Pending. Watch: FAA certification of added: Outcome: Free cash flow was $0.5 billion with no new large program charge, and the removed: 737-10 by the end of 2026, which keeps first delivery in 2027, passes; added: 737 line kept moving toward a removed: new delay into 2027 fails. added: stable 47 a month. Jan added: 27, 2027 (estimate): Q4 2026 results and 2027 outlook. Pending. Watch: Positive free cash flow for 2026 and a 2027 outlook with much higher free cash flow and more deliveries pass; negative cash flow for 2026 or a weaker outlook fails. 2027 (estimate): First 777-9 delivery. Pending. Watch: First delivery of the 777-9 in 2027 as planned passes; another delay into 2028 fails. added: 2027 (estimate): First 737-10 delivery. Pending. Watch: First delivery of the 737-10 to a customer in 2027 passes; a delay into 2028 fails.
Recent events: Oct added: 27, 2026: Boeing reported Q3 2026 results. Revenue was $24.2 billion, up 4%, from 161 commercial deliveries. The core loss per share was $0.34. Free cash flow was $0.5 billion, after payments of about $0.7 billion for the settlement with the Department of Justice, and debt stayed at $45.9 billion. Total backlog grew to a record $745 billion. Defense, Space & Security had an operating margin of 6.2%, which included a gain of $252 million on the sale of HRL Laboratories. Boeing still expects the first 777-9 delivery in 2027. Oct 20, 2026: The FAA certified the 737-10. Boeing confirmed the certification in its Q3 2026 report. Reuters reported that Canadian and European regulators must still approve the aircraft. Oct 19, 2026: Reuters reported, from people familiar with the matter, that the US Transportation Secretary will announce FAA certification of the 737-10 on October 20, 2026. The FAA Type Certification Board reviewed the aircraft on October 16. This is a press report. Boeing and the FAA had not confirmed the certification at the time of this update. Oct 13, 2026: Boeing reported 161 commercial deliveries in Q3 2026, including 124 737s, 22 787s, ten 767s, and five 777s. This brought the total for the first nine months to 475. Defense deliveries were 33, including seven KC-46 tankers. Oct 2, 2026: An FAA review board concluded that the 737 flight management software issue is not a safety concern. The FAA will not require a software fix before it certifies the 737-10. The 737-10 is still not certified. Sep added: 29, 2026: The US Navy selected Boeing to design, build and deliver the F/A-XX next-generation fighter aircraft. Boeing does not include the order in its backlog until the Navy completes its source selection review. Sep 28, 2026: FAA Administrator Bryan Bedford said that the FAA will hold the 737-10 certification while it reviews a software issue that Boeing disclosed on September 26. The issue can stop automated flight guidance after a missed approach. He gave no timeline. Aug 24, 2026: Boeing replaced its $3.0 billion 364-day credit line, now due August 2027, and extended its two five-year credit lines by one year, to 2029 and 2030. All three lines now require Boeing to keep at least $5.0 billion of liquidity. Aug 3, 2026: The FAA certified the 737-7, after Boeing redesigned the engine anti-ice system and updated the flight control software and crew alerts. Jul 28, 2026: Boeing reported Q2 2026 results. Revenue was $24.6 billion, up 8%, from 171 commercial deliveries. The core loss per share was $0.76. Free cash flow was $0.6 billion, and debt fell to $45.9 billion. The 737 program began moving to 47 airplanes a month, and 787 production was stable at eight a month. Boeing still expects 737-7 and 737-10 certification in 2026 and the first 777-9 delivery in 2027.