Boeing Has a Few More Hurdles to Overcome to Get Its Stock Rising
Advanced stock market trading software helps trade stocks online more efficiently. But it takes experience to identify potential opportunities and also stocks that seem to be declining continuously. One such stock isn’t hard to find in the aviation sector.
Things are still not looking up for Boeing ($BA) after further delays in getting its controversial but highly advanced 737 Max passenger jet back to the air.The struggle with the federal regulatorsfor getting these jets to the sky has hit a new roadblock and, as a result, the company’s shares sank 3% on Tuesday. Motley Fool analyst Dan Caplinger mentions Wall Street Journal reporting that talks with the regulators haven’t been progressing well. This hurdle could delay the return of the 737 Max’s return to sometime in the early part of 2020.
Ever since Boeing had to ground its revolutionary but complicated jet following two fatal crashes, things have been tough not just for the company but also its customers who had already purchased the 737 Max and had pressed them into service. Boeing is not likely to capitalize on the travel boom during the upcoming Thanksgiving season as United Continental Holdings ($UAL) and American Airlines Group ($AAL) have all canceled the orders they had placed for the model up to the mid-December period. However, there is hope that Boeing could get the plane running by the Christmas and New Year Holiday period. Southwest Airlines has been the largest customer of the 737 Max but even that has pulled all flights involving the 737 Max till early January. Air Canada has done the same.
Boeing could also find customers shuffling orders, and all the while Airbus ($EADSF) has been experiencing improved business. Investors are therefore counting on Boeing to somehow get the 737 Max back on air. Only then can customer confidence be regained. Otherwise, the company would have to face more stock declines.
More Clarity Needed Though It Seems the Processes Are in Final Stages
Currently it is unclear when Boeing could get its 737 Max jets back in service. It has made all the software revamps required. Primarily, the update involves enabling the flight control system of the Max to compare data available from two computers onboard, rather than just one. The final paperwork for these fixes will only be submitted to the FAA (US Federal Aviation Administration) in September, as reported by The Washington Post. The FAA has said that its experts need a few weeks to complete its review of the certification of the 737 Max, according to Khaleej Times.
With expert opinion and an in-depth look into the markets, you can identify stocks with promise and those that appear to be going down. Sometimes it pays to wait and watch as is the case with Boeing. TradeZero offers all the tools needed to get started in stock trading, including commission free trading. Get in touch with us at 1 954-944-3885, or feel free to email us at email@example.com.
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