The pandemic affected Boeing’s business, but the company is now seeing growth in the freight markets and intends to double down on it.
Boeing Exec Hypes the Freight Market
Stan Deal, executive vice president of Boeing, has revealed that the company sees real growth in the freighter market. He revealed this during an interview with CNBC earlier today as the company begins to recover from the pandemic.
He told CNBC’s Dan Murphy at the Dubai Air Show that cargo now plays an important role in the aerospace industry. He stated that “The freighter markets are on fire right now. That’s where we see real growth.”
The company’s business has been affected by the Coronavirus pandemic, which saw flights to all parts of the world canceled for more than a year. The Boeing exec said the company is recovering from the pandemic and expects to receive more orders before the end of 2021.
Deal said, “Well, we’ve had a good year so far. We’ve booked about 309 new orders net this year, 720 gross. That’s a pretty good start. And those discussions are continuing at this air show. It’s not over, we expect more orders before the year-end. And that will position well into 2022.”
Boeing is on track to add three conversion lines for its 737-800BCF across Europe and North America. They are facilities that convert aircraft to freighters, and they’ll be located at London Gatwick and KF Aerospace in Canada.
BA Could Rally Towards $240
The shares of Boeing have been rallying since the company announced it is in advanced talks to sell a cargo version of its future 777X jetliner. Deal’s comments earlier today gave investors more reasons to be bullish on BA.
At press time, BA is up by more than 5% since the US market opened earlier today and is trading at $232 per share. If the rally continues, then BA could make a move for the $240 region over the coming days and weeks.
This article was originally posted on FX Empire