For anyone who was hoping that the Starliner launch would re-invigorate aircraft maker Boeing (NYSE:BA), which is collapsing under the weight of scandals and malfunctioning aircraft, that hope is now dashed, at least for now. The news, however, isn’t bothering investors as Boeing shares were up fractionally in Wednesday afternoon’s trading. After multiple delays hit the Boeing Starliner project, NASA has officially announced the latest delay, which is now “indefinite,” as the Saturday launch is scrubbed and engineers are attempting to trace down reasons why the capsule’s propulsion system is leaking helium.
Officials are reconsidering how to proceed given this latest flub, and several options are on the table, according to an Ars Technica report. The Starliner may still fly, even with the leak, or the capsule may be removed from the rocket and pulled back to the hangar for repairs. NASA plans to share more details once they have a clearer path forward.
Ending the Firefighter Strike
All this comes as Boeing is looking to resolve some recently-emerged labor troubles on top of literally everything else. Reports note that the International Association of Fire Fighters Local 1-66 is close to a new deal with Boeing that will get firefighters back on the job instead of on the picket lines, where they’ve been since May 4. Salary hikes are on the table, as an average of $91,000 will increase to $112,000 under the new arrangement, assuming it’s approved on all sides.
Is Boeing a Buy or Sell Stock?
Turning to Wall Street, analysts have a Moderate Buy consensus rating on BA stock based on 17 Buys, seven Holds, and two Sells assigned in the past three months, as indicated by the graphic below. After a 7.97% loss in its share price over the past year, the average BA price target of $222.88 per share implies 19.82% upside potential.
Is It Wise to Allocate $1,000 Toward BA Stock Right Now?
Before you hurry to invest in BA, think about the following:
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