Boeing Shares Take Flight After Narrower Q1 Loss, Improved Deliveries and Cash Burn

Boeing shares surged roughly 7% in Wednesday’s premarket session following a narrower-than-expected Q1 loss, marking a significant technical breakout above its 50-day ($166) and 200-day ($165) moving averages. The move reflects growing investor confidence as the company reported progress in stabilizing production, particularly for its 737 Max jets, and posted solid top-line results driven by a sharp increase in aircraft deliveries. The aerospace giant also reported better-than-expected cash flow metrics and noted minimal impact from tariffs so far, though those risks loom ahead of a pivotal FAA decision later this year.

For the quarter, Boeing posted a core (non-GAAP) loss per share of $0.49, far better than the $1.29 loss expected by analysts. Total revenue came in at $19.50 billion, modestly ahead of consensus at $19.37 billion. Operating cash flow was a negative $1.6 billion, but this too was well above expectations for a $2.88 billion outflow. Free cash flow came in at a negative $2.3 billion, beating the consensus estimate of negative $3.42 billion. These results, aided by stronger commercial aircraft deliveries and stable performance in services, appear to have sparked renewed optimism.

The Commercial Airplanes segment led the rebound with $8.15 billion in revenue, up 75% year-over-year, just shy of the $8.17 billion estimate. The unit posted an operating loss of $537 million, better than the forecasted $565 million loss. The company delivered 130 jets during the quarter—up from 83 a year ago—driven by ramping 737 Max production. Boeing reiterated it expects to hit 38 units per month later this year, and has plans to request FAA approval to move to 42 per month thereafter. It also booked 221 net new orders, including high-value 787 and 777X aircraft, reflecting continued strong demand.

The Defense, Space & Security segment saw revenue decline 9% year-over-year to $6.3 billion, with a modest operating profit of $155 million. Margin pressures linger but have begun to stabilize. A highlight was the recent selection by the U.S. Air Force to build the F-47 fighter jet, a high-profile contract not yet reflected in backlog, which stood at $62 billion. International customers accounted for 29% of that backlog, highlighting Boeing’s global reach despite geopolitical turbulence.

Global Services delivered a strong quarter with revenue flat year-over-year at $5.06 billion and an operating margin of 18.6%. The unit continues to provide a reliable cash-generating anchor for the broader enterprise, buoyed by stable aftermarket demand and defense logistics contracts. Management noted recent milestones, including the 100th 767-300 Boeing Converted Freighter delivery and a new electronic warfare integration contract for the U.S. Air Force.

While tariffs were only reflected in results through March 31, executives acknowledged the risk of escalation as trade tensions with China remain elevated. Some Chinese carriers have already declined 737 Max deliveries due to the steep 125% tariffs in place. However, Boeing CEO Kelly Ortberg downplayed the immediate threat, citing the company’s $545 billion backlog and strong demand trends as buffers. Still, the company is likely to face pointed questions about tariff navigation and its global supply chain during the upcoming earnings call.

Management continues to emphasize its long-term recovery strategy, centered around manufacturing discipline, safety enhancements, and employee engagement. Recent comments noted early improvements in KPIs, and Boeing reiterated its commitment to only seeking FAA approval for production increases once the system demonstrates stability.

Despite ongoing losses, Wall Street was encouraged by the beat on adjusted earnings and cash flow, with the margin of outperformance versus expectations sparking technical buying. Boeing stock has historically shown volatile post-earnings reactions, but the combination of fundamental improvement, easing trade tension rhetoric from Washington, and bullish technical signals helped trigger a sharp move higher.

In sum, Boeing’s Q1 results offered tangible signs of operational progress and solidified the company’s message of gradual recovery. With commercial deliveries rising, losses narrowing, and production plans remaining intact, the report serves as a morale boost to a stock that’s been battered by scandals, delivery setbacks, and geopolitical uncertainty. The next key catalyst will be management’s color on production quality and tariff risk during the call—a narrative that may determine whether Wednesday’s relief rally turns into a sustained trend.