It is easy to forget, sometimes. that aerospace stock Boeing (BA) also has a major presence in defense operations. In fact, it just revealed a couple of new advances therein. This gave investors a note of hope, and shares notched up fractionally in Friday afternoon’s trading.
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There was some bad news in Boeing’s defense operations, as the T-7 Red Hawk trainer aircraft was delayed once more, according to a report from Defense News. The report noted that the production contract has been delayed, but its testing operations will be expanded as part of a “major reorganization” effort. Boeing was supposed to start building this year, but now, that was pushed back to 2026.
Meanwhile, in Australia, work continues on the MQ-28 Ghost Bat, described as a “developmental unmanned loyal wingman aircraft” by Flight Global. The report notes that the plane has had several key systems tested, particularly its electronic warfare suites and its intelligence, surveillance and reconnaissance functions. Interestingly, the MQ-28 has seen about 100 hours of total flight time, but in a digital environment, that number surges to over 20,000. The use of “virtual hybrid-live aircraft” is helping those numbers somewhat, the report noted.
And Another Note from the FAA
While there are exciting developments afoot in Boeing’s defense operations, its passenger aircraft operations are still having some trouble. A report from Aviation A2Z noted the Federal Aviation Administration (FAA) called for an inspection of seat-track fittings, as part of a larger manufacturing issue.
The report noted that “incorrect materials” were used as part of seat-track splice fitting manufacture, and thus posed a risk to “structural integrity” of the seat tracks. Boeing apparently used either Grade 1 or Grade 2 commercially-pure unalloyed titanium. FAA standards call for Grade 5. This could be a particular problem during emergencies, when the fittings could buckle.
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 15 Buys, five Holds and one Sell assigned in the past three months, as indicated by the graphic below. After a 19.52% loss in its share price over the past year, the average BA price target of $196.21 per share implies 15.32% upside potential.
