Bernstein SocGen Group reduced its price target on Boeing Co. (NYSE: BA) to $267 from $287 but maintained an Outperform rating, saying it remained confident in the aerospace giant’s production ramp-ups despite near-term investor concerns.
The firm noted that Boeing shares had fallen sharply following its third-quarter earnings release on October 30, even though results exceeded consensus revenue estimates. Analysts attributed the decline to worries over capital expenditures and cash flow implications, which had weighed on investor sentiment.
Bernstein said Boeing continued to make steady progress on production goals, with 737 output already at 42 units per month and 787 production at eight per month. The firm maintained that these ramps were key to long-term value creation, despite delays in the 777X program.
Assuming 787 deliveries rise to 12 per month by mid-2028 and 14 per month by mid-2029, Bernstein said Boeing’s delivery total would still remain below its 1,048-plane backlog, leaving room for further growth.
The analysts also noted ongoing investments in the St. Louis facility supporting Boeing Defense, Space & Security operations, and highlighted Boeing Global Services as a growing contributor to the company’s cash flow.
