Aircraft manufacturer Boeing (BA) secured a direct order of 30 Boeing 737-8 planes from Macquarie AirFinance, the aircraft leasing unit of Australia’s financial services giant Macquarie (MCQEF). The order, which is Macquarie’s second direct order, adds to a list of deals the American company has secured since the start of the year.
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The 737-8 aircraft is one of Boeing’s most popular passenger airplanes. It is a medium-sized, fuel-efficient jet that is part of the newer 737 MAX family.
Boeing’s stock is responding positively to the news. The Virginia-based company’s shares are trading about 1% higher on Tuesday morning as of 11.26 a.m. EDT.
Boeing Lands Major Orders
According to Boeing, Macquarie’s order was logged earlier in July and will be delivered continuously up to 2032. The purchase increases the Australian aircraft lessor’s 737 MAX fleet to 70.
This year, Boeing has also won orders from Korean Air worth about $36.5 billion and from BOC Aviation (BCVVF). The former’s order included a mix of 787s, 777s, and 737s.
This revelation comes as Boeing recently launched the X-37B space plane for the United States Space Force from the Kennedy Space Center. It was the eighth such mission so far.
The news about the order also trails recent information about progress being made by Boeing on the F-47 next-generation fighter aircraft. This came despite earlier concerns about delays due to engine availability and the strike in St. Louis.
Meanwhile, Boeing is waiting on the Federal Aviation Administration to remove the current cap on its production of the 737 MAX jets. The U.S. agency had capped the number to 38 per month following a January 2024 mid-air incident involving an Alaska Airlines (ALK) 737 MAX 9.
Moreover, Ryanair (RYAAY), one of Boeing’s biggest clients, last week said it was looking forward to the American aircraft manufacturer increasing its monthly production of the 737 jets from 38 to 42 per month. CEO Michael O’Leary noted that he anticipates output to expand by October.
Is BA a Good Buy Right Now?
Turning to Wall Street, Boeing’s stock has a Strong Buy consensus recommendation on TipRanks. This is based on 17 Buys and one Hold rating by 18 Wall Street analysts.
The average BA price target is $262.25, which stands for an 11.53% upswing potential from the stock’s current level.
