Boeing Company’s Future Shows Positive Outlook (BA, LMT, GD, ERJ)

Boeing Company (NYSE: BA) announced Thursday that they delivered more aircraft in 2009 than they did in 2008. Boeing also sees a brighter future thereby relieving some of the market anxiety over the cost of production and cancellations in delivery.

Boeing has said that they delivered 481 planes compared to the 375 planes they delivered in 2008. The deliveries for 2008 met the expectations that ranged from 480 to 485 units.

The stocks of Boeing climbed 4.05% today and have continued to climb in the start of the New Year. The rising share prices can be attributed to improving air traffic and airline revenues. Despite rising shares, Stocks of Boeing are still 40% below the peak that was reached in July 2007.

The year 2009 was not without challenges. First, ticket demand dropped in the same year because of the decreased demand in air travel, and the airplane company had to cut production. Their production of 777s was reduced to 5 airplanes a month from the originally planned 7 planes a month. They also staved off plans to modestly increase production of their line of 747 and 767 planes.

Boeing is to release their commercial airplane delivery outlook together with their year end earning on January 27.

Airbus announced that they delivered 498 planes in 2009 compared to the 483 planes that were delivered in 2008. They also announced that they plan to match deliveries they were able to achieve in 2009 this 2010. Airbus is a unit of the European Aeronautics Defence and Space Co. and will formally announce full year delivery rates and orders on January 12, 2010.

Shares of Boeing Co. went 4.05% to reach $62.20 a share. Other competitors did not perform as well as Boeing as they showed moderate gains and minor losses. Aircraft makers Lockheed Martin (NYSE: LMT) and Embraer-Empresa Brasileira de Aeronautica SA (NYSE: ERJ) showed minor losses of 2.74% to $74.41 per share and 0.98% to $22.22 a share respectively. Northrop Gruman (NYSE: NOC) and General Dynamics (NYSE: GD) showed modest gains of 1.03% to reach $57.76 a share and 0.29% to go up to $69.44 a share respectively.