Boeing Stock: Sharp Decline Amid Safety Concerns

Boeing's stock tumbled 3.8% to $148.30 on Friday, continuing its downward trajectory that has alarmed investors. Starting the trading day at $150.00, the share price dipped to a daily low of $147.67, placing it significantly below its 52-week high of $203.77 reached on March 9, 2024. The stock would need to climb 37.4% to reclaim this peak. Recent quarterly results have exacerbated concerns, with Boeing reporting a substantial loss of $5.46 per share for the quarter ending December 31, 2024, compared to just $0.04 per share in the same period last year. Revenue plummeted 30.77% to $15.24 billion, down from $22.02 billion previously. Analysts project a loss of $1.138 per share for the full fiscal year 2025.

Regulatory Oversight Intensifies

The negative stock performance is heavily influenced by ongoing safety issues plaguing the aircraft manufacturer. U.S. Transportation Secretary Sean Duffy has scheduled a Thursday visit to Boeing's Washington state factory to ensure compliance with safety standards. This inspection, conducted alongside Acting FAA Administrator Chris Rocheleau, follows the Trump administration's announcement of heightened scrutiny after a January 2024 incident where a panel detached from a new Alaska Airlines 737 Boeing MAX 9 during flight. Despite these challenges, the average analyst price target remains optimistic at $205.00, suggesting potential for recovery in the longer term.

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Source StockWorld