Boeing (NYSE:BA) Takes Another Hit after O’Hare Collision

So far, 2024 is not shaping up to be Boeing’s year. Just hours ago, we heard about aerospace giant Boeing (NYSE:BA) taking a hit with a Wells Fargo downgrade. Well, that hit was followed up by one of the much more literal variety after an incident at O’Hare Airport in Chicago. As a result, Boeing is down over 8% in Tuesday afternoon’s trading.

The latest trouble for Boeing came not from analysts or regulators but from Boeing’s planes. Specifically, two of them collided while taxiing at O’Hare. The collision wasn’t exactly much, reports note; it was mostly just the wingtips of a plane from Delta (NYSE:DAL) and an All-Nippon Airways flight. No injuries were sustained as a result, and all the passengers got off the flight as normal, but it’s still one more blow that Boeing does not need right now. Worse news came when it was revealed that Boeing briefly fell below both its 100-day and 200-day moving averages, a feat it hasn’t produced since November 16.

A String Of Disasters

Boeing is having a rough time with things. Its planes are either getting into accidents or having chunks fly off mid-flight, and regulators are also planning an audit. It’s just one problem after another for the aircraft maker. And with signs that rival Airbus (OTHEROTC:EADSY) is gaining ground in the market, this could mean further disaster to come for Boeing. In fact, that report from Wells Fargo looks for exactly that, saying that the upcoming FAA audit will “…open up a whole new can of worms.” The analysts went on to declare that “…the odds of a clean audit are low.”

Is Boeing a Buy, Sell, or Hold?

Turning to Wall Street, analysts have a Strong Buy consensus rating on BA stock based on 18 Buys and five Holds assigned in the past three months, as indicated by the graphic below. After a 5.04% loss in its share price over the past year, the average BA price target of $276.65 per share implies 38.42% upside potential.

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