As Boeing (NYSE:BA) CEO Dave Calhoun prepares to face a Senate hearing and field questions about the safety of the company’s planes, new whistleblower claims have emerged about the mishandling of parts.
A Boeing quality inspector, Sam Mohawk, filed a complaint on June 11 with the Occupational Safety and Health Administration, which was made public by a U.S. Senate subcommittee on Tuesday.
Mohawk’s Complaint About Boeing
Mohawk has claimed that Boeing lost up to 400 faulty 737 Max aircraft parts and deleted many records from its internal cataloging system. The whistleblower added that these non-conforming parts, which are damaged or inadequate, should be tracked, disposed of, or repaired to ensure they aren’t used in aircraft manufacturing.
Additionally, the complainant claimed that the company “intentionally hid” improperly stored non-conforming parts. This included large components such as rudders and flaps from the U.S. Federal Aviation Administration (FAA) just before an on-site inspection.
Mohawk’s previously undisclosed allegations add to claims that Boeing cut corners in production and quality. Meanwhile, Boeing stated, “We continuously encourage employees to report all concerns as our priority is to ensure the safety of our airplanes and the flying public.”
Is BA Stock a Good Buy?
Analysts remain cautiously optimistic about BA stock, with a Moderate Buy consensus rating based on 17 Buys, seven Holds, and two Sells. Year-to-date, BA has declined by more than 30%, and the average BA price target of $209.24 implies an upside potential of 18.8% from current levels.
