By Sam Boughedda
Analysts reacted positively to the news that Boeing (NYSE:BA) delivered 130 airplanes in the first quarter of 2023, just above rival Airbus, which delivered 127 jets.
BofA analysts, who have a Neutral rating and $225 price target on Boeing, told investors in a note that the deliveries number was "strong" and in line with aero analysis estimates.
"Boeing delivered 64 total aircraft in March, above Airbus deliveries of 61 aircraft, 56% and 120% higher than in 2022 and 2021, respectively," wrote the analysts. "Boeing recorded 60 orders and 22 cancellations in March, ahead of Cirium estimates of 43 orders. For the March quarter-end, Boeing recorded 120 orders, 28% below 2022 levels. However, these figures don’t include the historic order from Air India of 220 aircraft. We maintain our Neutral rating on Boeing as recovering commercial aero is partially offset by execution."
At Susquehanna, analysts said March deliveries improved meaningfully from February, and maintained their Positive rating and $260 price target on the stock.
"Aircraft deliveries came in 21 above our estimate and significantly improved from 34 in March 2022. This brings total 1Q23 commercial aircraft deliveries to 130, exceeding our estimate of 115 – an encouraging end to a seasonally slow 1Q for the company. With demand picking up broadly across multiple international regions and Chinese demand still to turn the corner, we think there is still a multi-year runway for BA to grow its order book as well as deliveries," wrote the analysts.
Jefferies analysts, who have a Buy rating and $250 price target on Boeing, stated that March orders were strong.
"There were 11 787 deliveries (vs. 0 in Q1:22) as deliveries experienced a pause in Q1 but recovered with 7 in March. There were 111 MAX deliveries (113 total 737s) vs. 81 in Q1:22. MAX were delivered at a rate of 37/mo in Q1, including 52 in March," explained the analysts. "March order activity was strong, w/ 60 gross orders (38 net), including 20 787s across EVA Air, Lufthansa, and Unidentified Customer(s)."