Moody's Places Boeing's BAA2 And Prime-2 Ratings On Review For Downgrade; Says Current Projections Contemplate 379 Deliveries Of 737 Aircraft And ~95 Deliveries Of 787s In 2024; Review For Downgrade Follows Belief Boeing Will Be Unable To Deliver 737 Narrow-Body Aircraft At Volumes Required To Materially Expand FCF
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Moody's has placed Boeing's BAA2 and Prime-2 ratings on review for a potential downgrade, citing concerns over Boeing's ability to deliver the projected 379 units of 737 and approximately 95 units of 787 aircraft in 2024. The review is based on the belief that Boeing will struggle to achieve the delivery volumes necessary to significantly increase its free cash flow (FCF).

March 26, 2024 | 4:49 pm
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Boeing's credit ratings are under review by Moody's for a potential downgrade due to concerns over its ability to meet 737 and 787 delivery targets in 2024, which could impact its financial health.
The review for a potential downgrade by Moody's directly impacts Boeing's financial credibility and investor confidence. If the downgrade occurs, it could lead to higher borrowing costs and a negative perception in the market, likely causing a short-term decline in Boeing's stock price.
CONFIDENCE 90
IMPORTANCE 90
RELEVANCE 100