Boeing Stock Down 25% Year-To-Date: Emergency Landing In Minnesota Worsens Turbulent Trajectory

Boeing Co BA faces a challenging year, with its stock plummeting 25% year-to-date. The recent emergency landing of a Delta Air Lines flight at Minneapolis-St. Paul International Airport (MSP) further compounds the company’s turbulent trajectory.

Chart: Benzinga Pro

The Delta flight, en route from Denver to Minneapolis, descended to a lower altitude out of caution to evaluate a potential maintenance issue, reported CBS News.

Fortunately, the Boeing 737 landed safely at MSP, 13 minutes ahead of schedule, according to FlightAware.com.

Emergency Landing Adds Turbulence

This incident is just one in a series that has plagued Boeing and its stock, in recent months. From an Alaska Airlines flight’s emergency landing in January to a low-speed collision involving two Delta planes, Boeing’s safety record has come under intense scrutiny.

It all started here: Boeing Faces ‘Reputational Minefield’ After Midair Door Blowout: 4 Analysts On Collateral Damage From 737 MAX 9 Grounding

Here’s a quick recap of events leading to Boeing’s stock decline:

• Emergency landing of an Alaska Airlines flight due to a 737 door panel blowing out mid-flight
• Over 170 Boeing 737 Max 9s grounded following safety concerns
• Lawsuits filed by passengers of ill-fated Alaska Airlines flight
• Boeing 737-800 making a U-turn after cockpit window cracks midair
• Preliminary NTSB report highlighting missing bolts in the Boeing 737 Max door plug
• Boeing facing a $51-million penalty for arms exports violations
• FAA scrutiny over quality control violations at Boeing and Spirit AeroSystems

Amidst these challenges, investors are left wondering: Is Boeing stock a buy?

Is Boeing Stock A Buy?

Despite the stock’s significant decline, analysts remain divided on its prospects. Boeing stock has a consensus price target of $216.04, established from looking at the 100 latest analyst ratings.

However, the last three analyst ratings were released from Citigroup, Benchmark, and Morgan Stanley in March, have an average price target of $245.67 on the stock. That’s an implied 28.10% upside for Boeing stock from these 3 analyst ratings.

Investors must, however, bear in mind that while analysts foresee a potential upside, others caution against the risks posed by ongoing safety issues and regulatory scrutiny.

On the technical side, Boeing stock trading below its 5, 20, and 50-day exponential moving averages indicates a strong bearish sentiment. The stock also made a Death Cross on March 8. However, buying pressure accompanies this trend, signaling a potential bullish movement in the future.

As Boeing navigates through this turbulent period, investors must weigh the potential rewards against the inherent risks before making any investment decisions.

Read Next: Boeing Stock Down 22% – Death Cross Suggests More Turbulence Ahead

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