Fresh off the recent news of new trade deals with the United Kingdom, aerospace stock Boeing (BA) landed one monster order from the country. In fact, reports note, the UK picked up a whopping $10 billion worth of Boeing hardware, which puts the potential of new European Union tariffs in perspective. And investors were more than happy to see it, sending shares up over 3.5% in Thursday afternoon’s trading.
Word from United States Commerce Secretary Howard Lutnick is that a new bilateral trade deal opened up the path for an airline in the country to pick up $10 billion in “aircraft parts.” Lutnick was light on details about the purchase, but that was by design. He noted that, since this was a “private-sector purchase” as opposed to a government deal, he would let the airline in question spill the beans on the deal in its own time.
Still though, the general strokes were good enough for now, as Boeing was facing down potential tariffs throughout the EU. But given that Boeing made one sale that equals about 2% of its total $500 billion backlog, it may not have to concern itself with what the EU does.
Air Force One…in 2027….
Though the news was not all that good for Boeing. In fact, it just took a bit of a black eye by letting word out that President Trump—who likely had a lot to do with the trade deal that just landed Boeing a huge pot of money—might actually get to use the new Air Force One planes he had ordered during his first administration…for a while.
Boeing now looks to deliver the Air Force One jets in 2027, which is actually between one and two years earlier than projected. However, it is still a far cry from the original delivery date, which was back in 2022. Still, given that Boeing counts on government contracts for around 42% of its total revenue, you would think that this would be a higher-priority project.
Is Boeing a Good Stock to Buy Right Now?
Turning to Wall Street, analysts have a Moderate Buy consensus rating on BA stock based on 14 Buys, three Holds and one Sell assigned in the past three months, as indicated by the graphic below. After a 6.06% rally in its share price over the past year, the average BA price target of $201.65 per share implies 4.96% upside potential.
