Boeing Turns In Solid Q1, But Analyst Flags Ongoing Delivery Hurdles

BofA Securities analyst Ronald J. Epstein reiterated the Neutral rating on Boeing Company BA on Wednesday, with a price forecast of $185.

The company reported stronger-than-expected first-quarter 2025 results.

Revenue increased 18% year over year to $19.496 billion, beating the consensus of $19.43 billion. Adjusted loss per share improved to 49 cents from $1.13 in the same quarter of 2024. It beat the consensus of a $1.27 loss per share.

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Epstein notes that Aero Analysis Partners, an intelligence boutique specializing in coverage of aerospace OEMs, observed that Boeing’s 737 deliveries in April are falling short of expectations, with only 16 units delivered so far—lower than the 22 delivered during the same period last month, which was already below projections.

The firm also pointed out that while deliveries to China face ongoing uncertainty due to tariff-related issues, Boeing has started repositioning aircraft accordingly—two jets previously in final stages at Zhoushan have returned to Boeing Field, and three more have been moved from Boeing Field to Moses Lake.

Despite these challenges, the analyst writes that Boeing is unlikely to face major difficulties in reallocating these jets to other markets where airline capacity demand remains strong, with India being one of the likely destinations for redeployment.

On the production side, AAP expects Boeing to average 28 737 rollouts per month in the second quarter—a slight increase that accounts for the fact that first-quarter output was boosted by aircraft completed in late 2024 but delayed by a strike, the analyst writes.

The firm also believes Boeing might reach a monthly production rate of 38 later this year, although sustaining that pace could be difficult.

Price Action: BA shares was up 5.9% to $172.27 on Wednesday.

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