WS News
28 Jul 2026, 14:31
Boeing Stock Rises 3% as Improving Cash Flow and Record Backlog Outweigh Continued Losses
Boeing (NYSE: BA) shares climbed about 3% on Tuesday after the aerospace giant reported a stronger second quarter, with higher aircraft deliveries, a return to positive free cash flow, and a record backlog that reinforced confidence in the company’s recovery.
Second-quarter revenue increased 8% year over year to $24.6 billion, driven primarily by 171 commercial aircraft deliveries, up from 150 a year ago. Although Boeing remained unprofitable, its performance improved meaningfully, reporting a GAAP loss per share of $0.67 versus a loss of $0.92 last year, while core loss per share narrowed to $0.76 from $1.24. The company also generated $1.4 billion in operating cash flow and $631 million in free cash flow, marking a significant turnaround from negative free cash flow in the prior-year period.
One of the biggest positives for investors was Boeing’s record $715 billion total backlog, including more than 6,200 commercial aircraft valued at approximately $597 billion. The company booked 246 net commercial aircraft orders during the quarter, reflecting continued strong demand from airlines despite ongoing supply chain challenges.
The Commercial Airplanes division continued to show operational improvement. Revenue rose 8% to $11.8 billion, while operating losses narrowed substantially as higher deliveries, improved production performance, and a more favorable aircraft mix boosted results. Boeing also reported progress on key certification programs, completing certification flight testing for both the 737-7 and 737-10, while the 777X program advanced into FAA certification flight testing. Management continues to target certification of the 737 variants in 2026 and first deliveries in 2027.
The Defense, Space & Security segment remained a weak spot. Although revenue increased 13% to $7.5 billion, the business posted a slight operating loss after recording $280 million in additional charges related to the VC-25B presidential aircraft program. Meanwhile, Global Services delivered stable revenue but experienced modest margin compression.
Investors appeared encouraged by Boeing’s improving fundamentals rather than its remaining losses. Stronger cash generation, rising commercial deliveries, progress on certification milestones, declining debt, and a record order backlog suggest the company’s multi-year recovery is gaining momentum, helping lift the stock despite continued earnings losses.
Boeing (NYSE: BA) shares climbed about 3% on Tuesday after the aerospace giant reported a stronger second quarter, with higher aircraft deliveries, a return to positive free cash flow, and a record backlog that reinforced confidence in the company’s recovery.
Second-quarter revenue increased 8% year over year to $24.6 billion, driven primarily by 171 commercial aircraft deliveries, up from 150 a year ago. Although Boeing remained unprofitable, its performance improved meaningfully, reporting a GAAP loss per share of $0.67 versus a loss of $0.92 last year, while core loss per share narrowed to $0.76 from $1.24. The company also generated $1.4 billion in operating cash flow and $631 million in free cash flow, marking a significant turnaround from negative free cash flow in the prior-year period.
One of the biggest positives for investors was Boeing’s record $715 billion total backlog, including more than 6,200 commercial aircraft valued at approximately $597 billion. The company booked 246 net commercial aircraft orders during the quarter, reflecting continued strong demand from airlines despite ongoing supply chain challenges.
The Commercial Airplanes division continued to show operational improvement. Revenue rose 8% to $11.8 billion, while operating losses narrowed substantially as higher deliveries, improved production performance, and a more favorable aircraft mix boosted results. Boeing also reported progress on key certification programs, completing certification flight testing for both the 737-7 and 737-10, while the 777X program advanced into FAA certification flight testing. Management continues to target certification of the 737 variants in 2026 and first deliveries in 2027.
The Defense, Space & Security segment remained a weak spot. Although revenue increased 13% to $7.5 billion, the business posted a slight operating loss after recording $280 million in additional charges related to the VC-25B presidential aircraft program. Meanwhile, Global Services delivered stable revenue but experienced modest margin compression.
Investors appeared encouraged by Boeing’s improving fundamentals rather than its remaining losses. Stronger cash generation, rising commercial deliveries, progress on certification milestones, declining debt, and a record order backlog suggest the company’s multi-year recovery is gaining momentum, helping lift the stock despite continued earnings losses.
