UBS is cutting its Boeing estimates in the face of the company's 737 Max crisis

Boeing's stock price, meanwhile, has fallen more than 7% since the latest crash as Wall Street investors worry about the impact of the fallout from the crisis on longterm business prospects for the plane.

"Questions around the 737MAX certification and controls will likely persist for some time and we may never fully understand every action that took place in either the Lion Air or Ethiopian cockpits," Myles Walton, UBS' aerospace analyst, told clients in a note Friday. "Our core EPS and cash flow estimates for 2020 have been trimmed by 3% and 7% respectively while we trimmed our 2019 FCF by ~16%," Walton continued."Our 2021 estimates moved slightly and continue to not assume the 737MAX above 57/mo.", saying that the company's top engineers are"working tirelessly" on a software update as well as new training materials for the plane's MCAS system.

Still, the stock's volatility is likely to continue until Boeing can provide further information about the crash and report its impact to earnings later in April. "We expect the next few weeks could be a bit more choppy than the last few weeks as the company will report earnings on April 24th and potentially need to make risk-mitigating production decisions ," Walton said.

737 Max is dead. as a feared airplane customer, i will never go in anymore and i think i'm not the only one.

Россия Последние новости, Россия Последние новости

Similar News:Вы также можете прочитать подобные новости, которые мы собрали из других источников новостей

Lion Air crash investigators looking at two American companies associated with Boeing 737 Max sensorAviation investigators are looking into two American companies that handled the sensor at the center of the Lion Air crash last year, according to multiple sources familiar with the case. That's fantastic
Источник: CNN - 🏆 4. / 95 Прочитайте больше »