A recent mishap on a Boeing (NYSE:BA) 737-800 aircraft operated by Southwest Airlines (NYSE:LUV) has once again brought BA under the spotlight. While taking off from Denver on Sunday, an engine cover detached from the aircraft and struck the wing flap. The Federal Aviation Administration (FAA) is currently investigating the matter to determine the cause of this malfunction.
It is worth mentioning that several engine-related issues on Boeing 737 aircraft have been reported in the recent past and are being investigated by the FAA. Last week, a Boeing 737 flight operated by Southwest aborted takeoff in Texas and returned after the crew reported engine problems.
This latest investigation adds to the company’s current challenges. Earlier in January, an Alaska Airlines (ALK) 737 MAX 9 jet experienced a mid-air blowout of a door plug panel, resulting in significant criticism and the grounding of the MAX fleet. The ongoing inquiries into both incidents raise concerns about potential quality control issues within Boeing’s manufacturing and maintenance processes.
Is BA Stock a Good Buy Now?
With 17 Buy, eight Hold, and one Sell recommendations, BA stock has a Moderate Buy consensus rating. Analysts’ average price target of $242.33 implies 32.32% upside potential over the next 12 months. Shares of the company have declined by about 30% so far this year.
