February Saw An Increase In Boeing Deliveries. Profits Have Yet To Follow.

The first two months of 2023 saw Boeing BA -4.77% deliver more planes than the same period last year. I think that's what should happen.

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Investing in commercial aerospace giant Boeing, however, is less about rising deliveries than it is about positive earnings.

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A mid-month report on Boeing's commercial website typically details orders and deliveries for the previous month. The company delivered 28 jets for February, including 25 737 MAXs. Among the 22 jets Boeing delivered in February of 2022 was 20 737 MAX aircraft.

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The February deliveries were down from January's 38, but Boeing delivered 66 jets so far this year compared to 54 in 2022.

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As of 2022, Boeing delivered 95 jets, but Wall Street expects that number to increase to 120 in 2023. The remaining jets to be delivered in March are approximately 50 to 55. There should be no problem. About 60 jets were delivered each month by Boeing before the pandemic.

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Boeing has had trouble meeting revenue estimates since the March 2019 grounding of MAX and the Covid-19 pandemic, due to its inability to meet delivery estimates. Over the past 15 quarters, 12 of the company's earnings have fallen short of Wall Street expectations.

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Compared to the $2.75 per share loss reported in the first quarter of 2022, Wall Street anticipates a loss of 69 cents per share in the first quarter of 2023. There has been a quarterly loss in six out of the last seven quarters for Boeing.

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Boeing is expected to report a small profit for the full year as well as profits in the third quarter of 2023. From $2.3 billion in 2022 to $4 billion in 2023, free cash flow is expected to increase by four billion dollars.

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During the first two months of 2023, Boeing received 60 orders for new jets. The first two months of 2022 saw Boeing receive 114 orders for jets. Two Saudi airlines have just ordered 78 787 jets from Boeing, though March 2023 data isn't yet available.

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There is a 2.3% decline in Boeing stock in premarket trading. It's unlikely that orders and deliveries are the cause. There is a decline in the market. Dow Jones Industrial AverageDJIA –1.93% and S&P 500SPX –1.85% futures are both down about 1.7%.

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Over the past 12 months, Boeing stock has gained about 15% and 9%, respectively.