Aircraft Orders Plummet 51.8% in May, Boeing Reports Just 27 New Sales
Summary
US durable goods orders fell 4.5% in May, largely due to a 51.8% plunge in non-defense aircraft orders. Boeing reported a drastic decline in its own sales, securing only 27 new aircraft orders in May, a sharp drop from 136 in April. This directly contradicts the significant increase in orders reported for April and recent plans to boost 737 production to record levels. The substantial month-over-month decline in core product orders is a material negative development, signaling a significant slowdown in demand that could impact future revenue and production targets.
At the time of this announcement, BA was trading at $220.60 on NYSE in the Energy & Transportation sector, with a market capitalization of approximately $173.6B. The 52-week trading range was $176.77 to $254.35. This news item was assessed with negative market sentiment and an importance score of 9 out of 10. Source: Reuters.