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Boeing, Spirit AeroSystems selloff overdone, J.P. Morgan says

Published 03/14/2018, 03:16 PM
© Reuters.  Boeing, Spirit AeroSystems selloff overdone, J.P. Morgan says
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  • Today's weakness in Boeing (BA -2.6%) and Spirit AeroSystems (SPR -5%) appears to be overdone, although SPR is seen “taking a hit” so it can meet commitments to BA, says J.P. Morgan analyst Seth Seifman.
  • The main risk to BA’s 737 delivery ramp would be SPR “losing control” of its production process, although it appears to be the opposite as “things moving in the right direction," Seifman says.
  • Also hurting shares of BA and SPR are reports that Trump is considering $60B of tariffs on Chinese goods, as China is BA’s top customer, but Seifman sees a rupture in BA’s relationship with China as unlikely.
  • Source: Bloomberg First Word
  • Now read: Spirit AeroSystems: Benefitting From Boeing And Airbus


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