Boeing (NYSE:BA) saw its stock drop after Northcoast Research downgraded shares to a sell rating. The research firm cited expected changes to commercial aircraft production, resetting of consensus forecasts and volume headwinds ahead for Boeing this quarter after communicating with its contacts in the sector.
Last month the plane maker delivered more commercial planes than currently estimated by Wall Street analysts, according to financial services firm Baird.
“Our proprietary delivery checks reflect a surge in activity in March, with 737 Max deliveries hitting approximately 54,” Peter Armant, analyst at Baird, said in a March 3 report. “Boeing also had eight 787 deliveries in March.”
Baird’s estimate of 133 aircraft deliveries for Q1 is 10% greater than the consensus estimate of 115 deliveries.
Boeing next week will report its delivery tally for March, a closely watched indicator of the company’s cash flow. Baird raised its Q1 estimate for Boeing by $0.10 to a less per share of $1.26.
“Current Max delivery guidance for 2023 is a range of 400-450 aircraft. With approximately 114 deliveries in 1Q23, Boeing ( BA ) is on track regarding the 2023 outlook with over 25% of the guidance delivered in the seasonally weakest quarter of the year,” according to Baird.
BA shares began Tuesday down $2.92, or 1.4%, to $212.47.