#i fully understand if that’s not possible but i might sb as a result

[yingren]

gm yesterday i changed up my carrd again (surprise surprise) and clarified some things in my rules. while i absolutely adore other portrayals of the same character i write, i have never and am not going to start following blogs that are solo blade muses or multis heavily centered around a blade muse. i really want to avoid accidental similarities.

[snicketstrange]

Solving the Apparent Plot Hole in SB of Netflix's ASOUE

The mystery of Esmé's sugar bowl in Netflix's "A Series of Unfortunate Events" is an endless source of speculation among fans. Kit Snicket's claim that the sugar bowl contains "sugar" that can cure the disease caused by the MM fungus has upset many, and for good reason:

The cure for the MM fungus was originally discovered by Beatrice Baudelaire, who used a hybrid apple and horseradish in her experiments. Nothing suggests that she would give special status to the resulting "sugar."

Count Olaf also seeks the sugar bowl, but he explicitly states in the TGG adaptation that he believed the MM fungus no longer existed. So why would he seek a cure for a disease he thought had been eradicated?

Horseradish alone is already highly effective in preventing death caused by the MM fungus. Sunny was infected, used horseradish, and showed no side effects or traces of the disease. This makes the definitive cure for the disease less valuable than one might think.

In truth, the only way to view Netflix's ASOUE canon as coherent is to accept the fact that Kit Snicket wasn't entirely honest about the sugar bowl's contents.

So, can we deduce what's really in Netflix's sugar bowl based on the information we have?

In Netflix's "A Series of Unfortunate Events" series, various clues are given about the mysterious contents of the sugar bowl. First, the contents are edible, evidenced by a flashback where Esmé uses the sugar bowl's contents to make tea. This same scene also reveals that the tea tasted bitter, suggesting the bitter nature of the contents. Beatrice, also present in this flashback, hints that the contents have some sort of power, adding that this power shouldn't be in the hands of one person but could be shared with many. Additionally, the contents are tangible: Quigley looks inside the sugar bowl and sees something he can't fully understand but is definitely there. Lastly, Kit Snicket, known for telling half-truths and omitting information, claims the sugar bowl contains "sugar" that cures the fatal MM fungus disease. This information, given Kit's history, may only be partially true.

So, how can these contradictions be reconciled? The crux of my theory lies in the idea that the "sugar" inside the sugar bowl is much more than it appears to be.

All signs point to there actually being sugar in the sugar bowl, likely derived from Beatrice's research with the bitter hybrid apple. What we call sugar could really be a remedy. But it can't just be a remedy for the MM fungus disease.

Firstly, Beatrice must have conducted various different experiments while on the island. After all, everything ends up on that island sooner or later. She must have used rare ingredients from shipwrecks or something that accidentally fell into the ocean somewhere to combine with her basic experiment of blending horseradish with apples. After all, the end result contains "something" that is abortive. Neither apples nor horseradish have abortive substances. This suggests that Beatrice used additional ingredients.

(This detail was first brought to my attention by TheAsh , as far as I know) She may not even know exactly what those ingredients are, as labels made of paper could easily dissolve in water.

If, by chance, in one of these experiments, it were possible to produce a unique fruit and a special type of hybrid apple, formed from a very specific formula and rare ingredients (some of which even Beatrice might not know), then maybe we're onto something. If the fruits from a single harvest had the power not just to cure the disease caused by the MM fungus... but perhaps the ability to cure all diseases! And that would be truly hard to replicate elsewhere, even by Beatrice herself.

So we might have something there. This would indeed be a great parallel to the biblical account of the tree of life, to which TE clearly refers (in a somewhat inverted manner, but still a reference). The tree of life in the Garden of Eden could make someone live forever. Beatrice's apple could cure all diseases. But this phenomenon wasn't replicated, and Beatrice knew she couldn't replicate the experiment.

In that case, to prevent the specific apples from losing their properties when they spoil, Beatrice must have made "sugar" from these apples. A type of sugar that preserved the healing properties of the fruit of life. But where would she store it? Indeed, this powder became the most valuable substance in the world.

And so, a safe, discreet (and preferably beautiful) container was needed to hold something so valuable and powerful. Esmé's sugar bowl proved suitable, as it could preserve the sugar even in case of fire and flood.

Esmé, thirsty for power, would love to be the guardian of such a substance. And of course, the sugar bowl is hers. Has she remained so beautiful and youthful over the course of 14 years by consuming a bit of this sugar over the years? Either way, after discussing with Esmé the importance of sharing the sugar bowl's contents with others, she felt obligated to steal it from Esmé.

catastrophist , this theory was for you! I hope you enjoyed reading it.

[winterdeepelegy]

Endwalker finished - thoughts

Personal release ranking:

1. Shadowbringers

2. Heavensward

3. Stormblood

4. Endwalker

5. ARR

6. 1.0

I will preface my opinions by saying that I completely and fully understand the extent of challenges they were dealing with in development, due largely to development happening remotely as a result of the pandemic.  But there are some things they still could have improved upon.

Thoughts/spoilers behind the cut below.

I honestly don’t know how to feel about this one.  After seeing so many people rave about Endwalker, about how “good” it is, and about the feels it invokes, my expectations were pretty high.  Suffice it to say, my experience wasn’t the same in that... I feel like it was lackluster.  It didn’t feel all that impactful to me, and there were definitely things they could have done better, or done with less of. Truth be told, I felt like the end of 1.0 going into ARR really drove home the feeling of dire stakes.  The realm was in imminent danger, and they brought you into the thick of it by showing it happening in real time.  It was interactive beyond one or two dungeons and a slow spread.  You could see it coming. And when it happened, it happened everywhere over Eorzea, in the open and in the cities, it was constant. That, to me, felt more like an “end of the world” scenario than what we just experienced. The only place in EW where I came anywhere close to this feeling was Vanaspati. The skies raining fire is not a new thing in XIV, they’ve been using it since 1.0, and to my brain that felt like an overused flex.  The slow spread of the Final Days “off camera” really made it feel a lot less urgent.  If its affects had started sooner in the course of the MSQ and actually -spread- to more areas as you progressed, especially to the main cities, or had streams of Blasphemies showing up in affected areas, I might have felt differently about it. The last region and leg of the storyline didn’t invoke any feels for me.  Knowing you could undo what was being done to your comrades really took away from how impactful that could have been.  It felt like there were no stakes. “This is fine”. Endwalker could have benefited more from a named NPC or two dying to really drive things home.  Ahewann barely got there, but he was a minor character. Is it fair to say my experience in 1.0 might have colored my reaction to EW?  Yes, it’s entirely possible.  On one hand, I feel like nothing will ever top that moment.  On the other hand, a part of me is glad that this didn’t cheapen that moment as I feared it would. “Oh, you thought Bahamut breaking free was bad? Hold my beer.” It is, however, 100% a FInal Fantasy game and, as some have said, the most Final Fantasy game that ever Final Fantasy’d storywise.  I just wish I could have felt the feels that everyone else felt in the course of playing it. Among the worst parts of EW, imo, were technical decisions.  It really felt like some of the indoor lighting in the new areas was a broad step -backwards- compared to the improvements they made over the course of HW, SB, and ShB. It’s little better in these new areas than it was in early ARR, and really makes characters look terrible. And don’t even get me started on all the follow/stalk quests.  Who thought this - or having so many - was a good idea?  I don’t mind walking around with any of the NPCs, but the fucking follow/stalk quests need to go and whoever thought they were a good idea needs to rethink their career choices.   These were a huge drag and sticking point, and really took away from how enjoyable EW could have been.  The first one I could understand, but past that they didn’t need to keep doing it. The maps of the new zones?  While pretty, most were a pain in the ass to navigate before flight, and certain areas prevented you from acquiring flight until you were later into MSQ.  TWICE. This was cute with Kholusia, but this was a pain in the ass this time dealing with two zones like this.  Slow me down with meaningful story events, don’t slow me down with bad geography design. For positives, the trial boss designs definitely had Yoshitaka Amano all over them.  The designs for Hydaelyn and the Endsinger were INCREDIBLE, especially the latter.  Radz-At-Han has become my favorite of the new locations, which surprised me as I really thought I’d enjoy Sharlayan’s aesthetic more.  Elpis was also stunning, and I could spend oodles of time just hanging around there.  As for the Loporitts, I’d happily go anywhere the adorable little bunny people wanted me to go. The ending? Pretty satisfying over all, and both looking forward to and dreading whatever comes next, in equal measure. They’re going to be hard pressed to top the last decade. All in all, it’s a fair wrap-up of 11 years of continuous storyline.  Honestly, I’m content, I just still feel like it could have been a lot more than what was delivered.

[smartwebhostingblog]

Boeing 737 MAX Crash Sends Market Cap Lower

New Post has been published on http://ritzywordpressthemes.com/boeing-737-max-crash-sends-market-cap-lower/

Boeing 737 MAX Crash Sends Market Cap Lower

Every month, AeroAnalysis International covers the orders and deliveries for Boeing (BA) and Airbus (OTCPK:EADSY, OTCPK:EADSF). Now, there’s a lot more than just orders and deliveries. Some subjects are worthy of more detailed analysis, and some are not. The subjects that are not are not necessarily unimportant. Therefore, AeroAnalysis has been running a monthly series that bundles some of the most interesting news items that do not justify a separate article or deserve to be mentioned again. You can read the February report here. In this report, some news items from March will be highlighted.

Source: Axios

Share Price Development in March

In March 2019, Boeing’s shares lost 13.4% compared to a 13.6% gain a month earlier. Boeing’s shares significantly underperformed the Dow Jones, which was flat for the month.

The reach for the downward pressure on Boeing shares during the month is clear: The crash with the Boeing 737 MAX 8 from Ethiopian Airlines marking the second fatal crash.

A look at some price target announcements in March:

Argus initially gave Boeing shares a $460 with a buy rating but reverted to a Hold rating after the Ethiopian Airlines crash with a $371.30 price target.

Edward Jones downgraded Boeing shares from a Buy to Hold with a $300 price target.

DZ Bank downgraded Boeing shares from a Buy to Hold with a $300 price target.

Norddeutsche Landesbank set a $300 on Boeing shares with a Sell rating.

Tigres Financial reiterated its Buy rating.

Citi Group resumed with a Buy rating.

What we did see in the aftermath of the second fatal crash with the Boeing 737 MAX is that analyst sentiment deteriorated, which shouldn’t come as a surprise. This stepdown in sentiment was expected, but it remains to be seen whether going forward, with fixes implemented and a return to service for the MAX, this negative sentiment will endure.

Commercial Airplanes News

Source: Boeing

During the month of March, the crash with the Boeing 737 MAX captured most attention. Boeing shares declined in value after the crash on fears that there is a design flaw on the Boeing 737 MAX. In the aftermath of the first crash, I already pointed out that the MCAS design might not have been robust and that it was unclear as to how this part of the speed trim system was certified by the FAA and aviation administrations around the globe. While I consider this a shortcoming on Boeing’s side, even with a preliminary report out, it is not clear why the pilots flew the aircraft at a very high speed which might have made regaining control over the aircraft nearly impossible. Currently, Boeing is working on a fix, which will likely be closely eyeballed by administrations around the globe because confidence in Boeing as well as the FAA has been severely dented. Until the fix is approved, the fleet of Boeing 737 MAX aircraft will remain on the ground and no deliveries will occur. The crash is likely going to impact Boeing’s earnings for the simple reason that the grounding is costing money, possibly beyond the amount Boeing is covered for by insurers, and revenue is being delayed due to the production stop resulting in working capital increases.

I’ve written a few reports on the subject, which you can read here:

In the aftermath of the two crashes, Indonesian carriers are looking for cancellations of their direct orders for the MAX with Boeing and agreements with lessors while Boeing is being probed.

The only other noteworthy news item regarding commercial aircraft was the order for 20 Boeing 787-9s from Lufthansa (OTCQX:DLAKF). Boeing had been battling Airbus for an order for months, and Lufthansa eventually ended up splitting the order between both jet makers.

Investment News

Source: The Boeing Company

Fitting its after-sales and digital solutions strategy, Boeing acquired ForeFlight, a leading provider of innovative mobile and web-based aviation applications.

ForeFlight has partnered with Boeing for the past two years to bring aviators Jeppesen’s aeronautical data and charts through ForeFlight’s popular mobile platforms. Now, the teams will integrate talent and offerings to bring innovative, expanded digital solutions to all segments of the aviation industry.

As part of the joint venture between Boeing and Embraer (ERJ), Boeing announced three leadership moves aimed at further strengthening the company’s global presence and partnerships:

Marc Allen has been named senior vice president of Boeing and president of Embraer Partnership and Group Operations;

Sir Michael Arthur has been named president of Boeing International;

John Slattery announced as president and chief executive officer of the commercial aviation and services joint venture between Boeing and Embraer.

Global Services

Source: Aviation Jobs and Aviation Employment – AviationCV.com

In March, there was no notable news for Boeing’s Global Services division.

Defense News

Source: The Boeing Company

For Boeing Defense, there were a couple of news events. A program capturing some negative attention was the KC-46A. In February, the USAF stopped accepting tankers from Boeing as foreign object debris was found inside the tankers. Deliveries resumed in March, which should have been a good thing were it not that the USAF halted deliveries again in early April. While the second delivery stop is an April news event, I think it is important to highlight it in this report, which covers the March news events as well.

More positive news came from Boeing’s F-18 fighter jet program. Boeing was awarded a three-year contract award for 78 F/A-18 Block III Super Hornets. The contract is valued $4B and is expected to save US taxpayer $395 million.

A major milestone was also achieved by the Sikorsky-Boeing SB>1 DEFIANT; The Sikorsky-Boeing SB>1 DEFIANT™ helicopter achieved first flight. The helicopter is participating in the Army’s Joint Multi-Role-Medium Technology Demonstrator program. Data from DEFIANT will help the Army develop requirements for new utility helicopters expected to enter service in the early 2030s. This flight marks a key milestone for the Sikorsky-Boeing team and is the culmination of significant design, simulation, and test activity to further demonstrate the capability of the X2 Technology.

X2 Technology is scalable to a variety of military missions such as attack and assault, long-range transportation, infiltration and resupply. DEFIANT is the third X2®aircraft in less than 10 years.

During the month, there also was a milestone for the Ground-based Midcourse Defense [GMD] system as the US Missile Defense Agency and Boeing for the first time launched two GMD system interceptors to destroy a threat-representative target, validating the fielded system protects the United States from intercontinental ballistic missiles.

In the test, one interceptor struck the target in space. The second interceptor observed that intercept before destroying additional debris to ensure missile destruction. The test is known as a “two-shot salvo” engagement. The target launched from Kwajalein Atoll in the Pacific Ocean while the interceptors launched from Vandenberg Air Force Base, California.

Conclusion

Without doubt, March was a bad month for Boeing. For a company’s share to perform well, you ultimately need a good product, coupled with good execution or you need good execution to make a good product. With the second crash of a Boeing 737 MAX, it does seem like Boeing has failed miserably on the execution part, which I expect will affect their current year performance.

Boeing had some highlights as well with a milestone order from Lufthansa and a production contract for its Super Hornet fighter, but not nearly enough to mitigate the pressure the Boeing 737 MAX cash cow is currently putting on Boeing. During the month of March, Boeing’s market cap declined by $33.4B. This decline cannot be fully explained by closing math (there is no calculation to support the cap decline), but such a big decline in market cap is perfectly understandable, given the importance of the Boeing 737 program to Boeing and the uncertainty regarding the aircraft. I expect that the Boeing 737 MAX will eventually be approved for flight again, and as investors and stakeholders around the world regain confidence, Boeing should see recovery in its market cap. In fact, in the first days of March, nearly $9B in market cap was recovered. At the end of the day, Boeing should be learning lessons from this.

If you enjoyed reading this article, don’t forget to hit the “Follow” button at the top of this page (below the article title) to receive updates for my upcoming articles.

If you like our regular coverage, please consider joining The Aerospace Forum which gives you more indepth tools to understand the industry, access to over 750+ previously published reports and ways (Live chat with the group and one-on-one conversations) to discuss the aerospace industry. *Start your free trial today*

Disclosure: I am/we are long BA, EADSF. I wrote this article myself, and it expresses my own opinions. I am not receiving compensation for it (other than from Seeking Alpha). I have no business relationship with any company whose stock is mentioned in this article.

[awesomecolorfulcollectorwombat]

Boeing 737 MAX Crash Sends Market Cap Lower

New Post has been published on http://ritzywordpressthemes.com/boeing-737-max-crash-sends-market-cap-lower/

Boeing 737 MAX Crash Sends Market Cap Lower

Every month, AeroAnalysis International covers the orders and deliveries for Boeing (BA) and Airbus (OTCPK:EADSY, OTCPK:EADSF). Now, there’s a lot more than just orders and deliveries. Some subjects are worthy of more detailed analysis, and some are not. The subjects that are not are not necessarily unimportant. Therefore, AeroAnalysis has been running a monthly series that bundles some of the most interesting news items that do not justify a separate article or deserve to be mentioned again. You can read the February report here. In this report, some news items from March will be highlighted.

Source: Axios

Share Price Development in March

In March 2019, Boeing’s shares lost 13.4% compared to a 13.6% gain a month earlier. Boeing’s shares significantly underperformed the Dow Jones, which was flat for the month.

The reach for the downward pressure on Boeing shares during the month is clear: The crash with the Boeing 737 MAX 8 from Ethiopian Airlines marking the second fatal crash.

A look at some price target announcements in March:

Argus initially gave Boeing shares a $460 with a buy rating but reverted to a Hold rating after the Ethiopian Airlines crash with a $371.30 price target.

Edward Jones downgraded Boeing shares from a Buy to Hold with a $300 price target.

DZ Bank downgraded Boeing shares from a Buy to Hold with a $300 price target.

Norddeutsche Landesbank set a $300 on Boeing shares with a Sell rating.

Tigres Financial reiterated its Buy rating.

Citi Group resumed with a Buy rating.

What we did see in the aftermath of the second fatal crash with the Boeing 737 MAX is that analyst sentiment deteriorated, which shouldn’t come as a surprise. This stepdown in sentiment was expected, but it remains to be seen whether going forward, with fixes implemented and a return to service for the MAX, this negative sentiment will endure.

Commercial Airplanes News

Source: Boeing

During the month of March, the crash with the Boeing 737 MAX captured most attention. Boeing shares declined in value after the crash on fears that there is a design flaw on the Boeing 737 MAX. In the aftermath of the first crash, I already pointed out that the MCAS design might not have been robust and that it was unclear as to how this part of the speed trim system was certified by the FAA and aviation administrations around the globe. While I consider this a shortcoming on Boeing’s side, even with a preliminary report out, it is not clear why the pilots flew the aircraft at a very high speed which might have made regaining control over the aircraft nearly impossible. Currently, Boeing is working on a fix, which will likely be closely eyeballed by administrations around the globe because confidence in Boeing as well as the FAA has been severely dented. Until the fix is approved, the fleet of Boeing 737 MAX aircraft will remain on the ground and no deliveries will occur. The crash is likely going to impact Boeing’s earnings for the simple reason that the grounding is costing money, possibly beyond the amount Boeing is covered for by insurers, and revenue is being delayed due to the production stop resulting in working capital increases.

I’ve written a few reports on the subject, which you can read here:

In the aftermath of the two crashes, Indonesian carriers are looking for cancellations of their direct orders for the MAX with Boeing and agreements with lessors while Boeing is being probed.

The only other noteworthy news item regarding commercial aircraft was the order for 20 Boeing 787-9s from Lufthansa (OTCQX:DLAKF). Boeing had been battling Airbus for an order for months, and Lufthansa eventually ended up splitting the order between both jet makers.

Investment News

Source: The Boeing Company

Fitting its after-sales and digital solutions strategy, Boeing acquired ForeFlight, a leading provider of innovative mobile and web-based aviation applications.

ForeFlight has partnered with Boeing for the past two years to bring aviators Jeppesen’s aeronautical data and charts through ForeFlight’s popular mobile platforms. Now, the teams will integrate talent and offerings to bring innovative, expanded digital solutions to all segments of the aviation industry.

As part of the joint venture between Boeing and Embraer (ERJ), Boeing announced three leadership moves aimed at further strengthening the company’s global presence and partnerships:

Marc Allen has been named senior vice president of Boeing and president of Embraer Partnership and Group Operations;

Sir Michael Arthur has been named president of Boeing International;

John Slattery announced as president and chief executive officer of the commercial aviation and services joint venture between Boeing and Embraer.

Global Services

Source: Aviation Jobs and Aviation Employment – AviationCV.com

In March, there was no notable news for Boeing’s Global Services division.

Defense News

Source: The Boeing Company

For Boeing Defense, there were a couple of news events. A program capturing some negative attention was the KC-46A. In February, the USAF stopped accepting tankers from Boeing as foreign object debris was found inside the tankers. Deliveries resumed in March, which should have been a good thing were it not that the USAF halted deliveries again in early April. While the second delivery stop is an April news event, I think it is important to highlight it in this report, which covers the March news events as well.

More positive news came from Boeing’s F-18 fighter jet program. Boeing was awarded a three-year contract award for 78 F/A-18 Block III Super Hornets. The contract is valued $4B and is expected to save US taxpayer $395 million.

A major milestone was also achieved by the Sikorsky-Boeing SB>1 DEFIANT; The Sikorsky-Boeing SB>1 DEFIANT™ helicopter achieved first flight. The helicopter is participating in the Army’s Joint Multi-Role-Medium Technology Demonstrator program. Data from DEFIANT will help the Army develop requirements for new utility helicopters expected to enter service in the early 2030s. This flight marks a key milestone for the Sikorsky-Boeing team and is the culmination of significant design, simulation, and test activity to further demonstrate the capability of the X2 Technology.

X2 Technology is scalable to a variety of military missions such as attack and assault, long-range transportation, infiltration and resupply. DEFIANT is the third X2®aircraft in less than 10 years.

During the month, there also was a milestone for the Ground-based Midcourse Defense [GMD] system as the US Missile Defense Agency and Boeing for the first time launched two GMD system interceptors to destroy a threat-representative target, validating the fielded system protects the United States from intercontinental ballistic missiles.

In the test, one interceptor struck the target in space. The second interceptor observed that intercept before destroying additional debris to ensure missile destruction. The test is known as a “two-shot salvo” engagement. The target launched from Kwajalein Atoll in the Pacific Ocean while the interceptors launched from Vandenberg Air Force Base, California.

Conclusion

Without doubt, March was a bad month for Boeing. For a company’s share to perform well, you ultimately need a good product, coupled with good execution or you need good execution to make a good product. With the second crash of a Boeing 737 MAX, it does seem like Boeing has failed miserably on the execution part, which I expect will affect their current year performance.

Boeing had some highlights as well with a milestone order from Lufthansa and a production contract for its Super Hornet fighter, but not nearly enough to mitigate the pressure the Boeing 737 MAX cash cow is currently putting on Boeing. During the month of March, Boeing’s market cap declined by $33.4B. This decline cannot be fully explained by closing math (there is no calculation to support the cap decline), but such a big decline in market cap is perfectly understandable, given the importance of the Boeing 737 program to Boeing and the uncertainty regarding the aircraft. I expect that the Boeing 737 MAX will eventually be approved for flight again, and as investors and stakeholders around the world regain confidence, Boeing should see recovery in its market cap. In fact, in the first days of March, nearly $9B in market cap was recovered. At the end of the day, Boeing should be learning lessons from this.

If you enjoyed reading this article, don’t forget to hit the “Follow” button at the top of this page (below the article title) to receive updates for my upcoming articles.

If you like our regular coverage, please consider joining The Aerospace Forum which gives you more indepth tools to understand the industry, access to over 750+ previously published reports and ways (Live chat with the group and one-on-one conversations) to discuss the aerospace industry. *Start your free trial today*

Disclosure: I am/we are long BA, EADSF. I wrote this article myself, and it expresses my own opinions. I am not receiving compensation for it (other than from Seeking Alpha). I have no business relationship with any company whose stock is mentioned in this article.

[lazilysillyprince]

Boeing 737 MAX Crash Sends Market Cap Lower

New Post has been published on http://ritzywordpressthemes.com/boeing-737-max-crash-sends-market-cap-lower/

Boeing 737 MAX Crash Sends Market Cap Lower

Every month, AeroAnalysis International covers the orders and deliveries for Boeing (BA) and Airbus (OTCPK:EADSY, OTCPK:EADSF). Now, there’s a lot more than just orders and deliveries. Some subjects are worthy of more detailed analysis, and some are not. The subjects that are not are not necessarily unimportant. Therefore, AeroAnalysis has been running a monthly series that bundles some of the most interesting news items that do not justify a separate article or deserve to be mentioned again. You can read the February report here. In this report, some news items from March will be highlighted.

Source: Axios

Share Price Development in March

In March 2019, Boeing’s shares lost 13.4% compared to a 13.6% gain a month earlier. Boeing’s shares significantly underperformed the Dow Jones, which was flat for the month.

The reach for the downward pressure on Boeing shares during the month is clear: The crash with the Boeing 737 MAX 8 from Ethiopian Airlines marking the second fatal crash.

A look at some price target announcements in March:

Argus initially gave Boeing shares a $460 with a buy rating but reverted to a Hold rating after the Ethiopian Airlines crash with a $371.30 price target.

Edward Jones downgraded Boeing shares from a Buy to Hold with a $300 price target.

DZ Bank downgraded Boeing shares from a Buy to Hold with a $300 price target.

Norddeutsche Landesbank set a $300 on Boeing shares with a Sell rating.

Tigres Financial reiterated its Buy rating.

Citi Group resumed with a Buy rating.

What we did see in the aftermath of the second fatal crash with the Boeing 737 MAX is that analyst sentiment deteriorated, which shouldn’t come as a surprise. This stepdown in sentiment was expected, but it remains to be seen whether going forward, with fixes implemented and a return to service for the MAX, this negative sentiment will endure.

Commercial Airplanes News

Source: Boeing

During the month of March, the crash with the Boeing 737 MAX captured most attention. Boeing shares declined in value after the crash on fears that there is a design flaw on the Boeing 737 MAX. In the aftermath of the first crash, I already pointed out that the MCAS design might not have been robust and that it was unclear as to how this part of the speed trim system was certified by the FAA and aviation administrations around the globe. While I consider this a shortcoming on Boeing’s side, even with a preliminary report out, it is not clear why the pilots flew the aircraft at a very high speed which might have made regaining control over the aircraft nearly impossible. Currently, Boeing is working on a fix, which will likely be closely eyeballed by administrations around the globe because confidence in Boeing as well as the FAA has been severely dented. Until the fix is approved, the fleet of Boeing 737 MAX aircraft will remain on the ground and no deliveries will occur. The crash is likely going to impact Boeing’s earnings for the simple reason that the grounding is costing money, possibly beyond the amount Boeing is covered for by insurers, and revenue is being delayed due to the production stop resulting in working capital increases.

I’ve written a few reports on the subject, which you can read here:

In the aftermath of the two crashes, Indonesian carriers are looking for cancellations of their direct orders for the MAX with Boeing and agreements with lessors while Boeing is being probed.

The only other noteworthy news item regarding commercial aircraft was the order for 20 Boeing 787-9s from Lufthansa (OTCQX:DLAKF). Boeing had been battling Airbus for an order for months, and Lufthansa eventually ended up splitting the order between both jet makers.

Investment News

Source: The Boeing Company

Fitting its after-sales and digital solutions strategy, Boeing acquired ForeFlight, a leading provider of innovative mobile and web-based aviation applications.

ForeFlight has partnered with Boeing for the past two years to bring aviators Jeppesen’s aeronautical data and charts through ForeFlight’s popular mobile platforms. Now, the teams will integrate talent and offerings to bring innovative, expanded digital solutions to all segments of the aviation industry.

As part of the joint venture between Boeing and Embraer (ERJ), Boeing announced three leadership moves aimed at further strengthening the company’s global presence and partnerships:

Marc Allen has been named senior vice president of Boeing and president of Embraer Partnership and Group Operations;

Sir Michael Arthur has been named president of Boeing International;

John Slattery announced as president and chief executive officer of the commercial aviation and services joint venture between Boeing and Embraer.

Global Services

Source: Aviation Jobs and Aviation Employment – AviationCV.com

In March, there was no notable news for Boeing’s Global Services division.

Defense News

Source: The Boeing Company

For Boeing Defense, there were a couple of news events. A program capturing some negative attention was the KC-46A. In February, the USAF stopped accepting tankers from Boeing as foreign object debris was found inside the tankers. Deliveries resumed in March, which should have been a good thing were it not that the USAF halted deliveries again in early April. While the second delivery stop is an April news event, I think it is important to highlight it in this report, which covers the March news events as well.

More positive news came from Boeing’s F-18 fighter jet program. Boeing was awarded a three-year contract award for 78 F/A-18 Block III Super Hornets. The contract is valued $4B and is expected to save US taxpayer $395 million.

A major milestone was also achieved by the Sikorsky-Boeing SB>1 DEFIANT; The Sikorsky-Boeing SB>1 DEFIANT™ helicopter achieved first flight. The helicopter is participating in the Army’s Joint Multi-Role-Medium Technology Demonstrator program. Data from DEFIANT will help the Army develop requirements for new utility helicopters expected to enter service in the early 2030s. This flight marks a key milestone for the Sikorsky-Boeing team and is the culmination of significant design, simulation, and test activity to further demonstrate the capability of the X2 Technology.

X2 Technology is scalable to a variety of military missions such as attack and assault, long-range transportation, infiltration and resupply. DEFIANT is the third X2®aircraft in less than 10 years.

During the month, there also was a milestone for the Ground-based Midcourse Defense [GMD] system as the US Missile Defense Agency and Boeing for the first time launched two GMD system interceptors to destroy a threat-representative target, validating the fielded system protects the United States from intercontinental ballistic missiles.

In the test, one interceptor struck the target in space. The second interceptor observed that intercept before destroying additional debris to ensure missile destruction. The test is known as a “two-shot salvo” engagement. The target launched from Kwajalein Atoll in the Pacific Ocean while the interceptors launched from Vandenberg Air Force Base, California.

Conclusion

Without doubt, March was a bad month for Boeing. For a company’s share to perform well, you ultimately need a good product, coupled with good execution or you need good execution to make a good product. With the second crash of a Boeing 737 MAX, it does seem like Boeing has failed miserably on the execution part, which I expect will affect their current year performance.

Boeing had some highlights as well with a milestone order from Lufthansa and a production contract for its Super Hornet fighter, but not nearly enough to mitigate the pressure the Boeing 737 MAX cash cow is currently putting on Boeing. During the month of March, Boeing’s market cap declined by $33.4B. This decline cannot be fully explained by closing math (there is no calculation to support the cap decline), but such a big decline in market cap is perfectly understandable, given the importance of the Boeing 737 program to Boeing and the uncertainty regarding the aircraft. I expect that the Boeing 737 MAX will eventually be approved for flight again, and as investors and stakeholders around the world regain confidence, Boeing should see recovery in its market cap. In fact, in the first days of March, nearly $9B in market cap was recovered. At the end of the day, Boeing should be learning lessons from this.

If you enjoyed reading this article, don’t forget to hit the “Follow” button at the top of this page (below the article title) to receive updates for my upcoming articles.

If you like our regular coverage, please consider joining The Aerospace Forum which gives you more indepth tools to understand the industry, access to over 750+ previously published reports and ways (Live chat with the group and one-on-one conversations) to discuss the aerospace industry. *Start your free trial today*

Disclosure: I am/we are long BA, EADSF. I wrote this article myself, and it expresses my own opinions. I am not receiving compensation for it (other than from Seeking Alpha). I have no business relationship with any company whose stock is mentioned in this article.

[hostingnewsfeed]

Boeing 737 MAX Crash Sends Market Cap Lower

New Post has been published on http://ritzywordpressthemes.com/boeing-737-max-crash-sends-market-cap-lower/

Boeing 737 MAX Crash Sends Market Cap Lower

Every month, AeroAnalysis International covers the orders and deliveries for Boeing (BA) and Airbus (OTCPK:EADSY, OTCPK:EADSF). Now, there’s a lot more than just orders and deliveries. Some subjects are worthy of more detailed analysis, and some are not. The subjects that are not are not necessarily unimportant. Therefore, AeroAnalysis has been running a monthly series that bundles some of the most interesting news items that do not justify a separate article or deserve to be mentioned again. You can read the February report here. In this report, some news items from March will be highlighted.

Source: Axios

Share Price Development in March

In March 2019, Boeing’s shares lost 13.4% compared to a 13.6% gain a month earlier. Boeing’s shares significantly underperformed the Dow Jones, which was flat for the month.

The reach for the downward pressure on Boeing shares during the month is clear: The crash with the Boeing 737 MAX 8 from Ethiopian Airlines marking the second fatal crash.

A look at some price target announcements in March:

Argus initially gave Boeing shares a $460 with a buy rating but reverted to a Hold rating after the Ethiopian Airlines crash with a $371.30 price target.

Edward Jones downgraded Boeing shares from a Buy to Hold with a $300 price target.

DZ Bank downgraded Boeing shares from a Buy to Hold with a $300 price target.

Norddeutsche Landesbank set a $300 on Boeing shares with a Sell rating.

Tigres Financial reiterated its Buy rating.

Citi Group resumed with a Buy rating.

What we did see in the aftermath of the second fatal crash with the Boeing 737 MAX is that analyst sentiment deteriorated, which shouldn’t come as a surprise. This stepdown in sentiment was expected, but it remains to be seen whether going forward, with fixes implemented and a return to service for the MAX, this negative sentiment will endure.

Commercial Airplanes News

Source: Boeing

During the month of March, the crash with the Boeing 737 MAX captured most attention. Boeing shares declined in value after the crash on fears that there is a design flaw on the Boeing 737 MAX. In the aftermath of the first crash, I already pointed out that the MCAS design might not have been robust and that it was unclear as to how this part of the speed trim system was certified by the FAA and aviation administrations around the globe. While I consider this a shortcoming on Boeing’s side, even with a preliminary report out, it is not clear why the pilots flew the aircraft at a very high speed which might have made regaining control over the aircraft nearly impossible. Currently, Boeing is working on a fix, which will likely be closely eyeballed by administrations around the globe because confidence in Boeing as well as the FAA has been severely dented. Until the fix is approved, the fleet of Boeing 737 MAX aircraft will remain on the ground and no deliveries will occur. The crash is likely going to impact Boeing’s earnings for the simple reason that the grounding is costing money, possibly beyond the amount Boeing is covered for by insurers, and revenue is being delayed due to the production stop resulting in working capital increases.

I’ve written a few reports on the subject, which you can read here:

In the aftermath of the two crashes, Indonesian carriers are looking for cancellations of their direct orders for the MAX with Boeing and agreements with lessors while Boeing is being probed.

The only other noteworthy news item regarding commercial aircraft was the order for 20 Boeing 787-9s from Lufthansa (OTCQX:DLAKF). Boeing had been battling Airbus for an order for months, and Lufthansa eventually ended up splitting the order between both jet makers.

Investment News

Source: The Boeing Company

Fitting its after-sales and digital solutions strategy, Boeing acquired ForeFlight, a leading provider of innovative mobile and web-based aviation applications.

ForeFlight has partnered with Boeing for the past two years to bring aviators Jeppesen’s aeronautical data and charts through ForeFlight’s popular mobile platforms. Now, the teams will integrate talent and offerings to bring innovative, expanded digital solutions to all segments of the aviation industry.

As part of the joint venture between Boeing and Embraer (ERJ), Boeing announced three leadership moves aimed at further strengthening the company’s global presence and partnerships:

Marc Allen has been named senior vice president of Boeing and president of Embraer Partnership and Group Operations;

Sir Michael Arthur has been named president of Boeing International;

John Slattery announced as president and chief executive officer of the commercial aviation and services joint venture between Boeing and Embraer.

Global Services

Source: Aviation Jobs and Aviation Employment – AviationCV.com

In March, there was no notable news for Boeing’s Global Services division.

Defense News

Source: The Boeing Company

For Boeing Defense, there were a couple of news events. A program capturing some negative attention was the KC-46A. In February, the USAF stopped accepting tankers from Boeing as foreign object debris was found inside the tankers. Deliveries resumed in March, which should have been a good thing were it not that the USAF halted deliveries again in early April. While the second delivery stop is an April news event, I think it is important to highlight it in this report, which covers the March news events as well.

More positive news came from Boeing’s F-18 fighter jet program. Boeing was awarded a three-year contract award for 78 F/A-18 Block III Super Hornets. The contract is valued $4B and is expected to save US taxpayer $395 million.

A major milestone was also achieved by the Sikorsky-Boeing SB>1 DEFIANT; The Sikorsky-Boeing SB>1 DEFIANT™ helicopter achieved first flight. The helicopter is participating in the Army’s Joint Multi-Role-Medium Technology Demonstrator program. Data from DEFIANT will help the Army develop requirements for new utility helicopters expected to enter service in the early 2030s. This flight marks a key milestone for the Sikorsky-Boeing team and is the culmination of significant design, simulation, and test activity to further demonstrate the capability of the X2 Technology.

X2 Technology is scalable to a variety of military missions such as attack and assault, long-range transportation, infiltration and resupply. DEFIANT is the third X2®aircraft in less than 10 years.

During the month, there also was a milestone for the Ground-based Midcourse Defense [GMD] system as the US Missile Defense Agency and Boeing for the first time launched two GMD system interceptors to destroy a threat-representative target, validating the fielded system protects the United States from intercontinental ballistic missiles.

In the test, one interceptor struck the target in space. The second interceptor observed that intercept before destroying additional debris to ensure missile destruction. The test is known as a “two-shot salvo” engagement. The target launched from Kwajalein Atoll in the Pacific Ocean while the interceptors launched from Vandenberg Air Force Base, California.

Conclusion

Without doubt, March was a bad month for Boeing. For a company’s share to perform well, you ultimately need a good product, coupled with good execution or you need good execution to make a good product. With the second crash of a Boeing 737 MAX, it does seem like Boeing has failed miserably on the execution part, which I expect will affect their current year performance.

Boeing had some highlights as well with a milestone order from Lufthansa and a production contract for its Super Hornet fighter, but not nearly enough to mitigate the pressure the Boeing 737 MAX cash cow is currently putting on Boeing. During the month of March, Boeing’s market cap declined by $33.4B. This decline cannot be fully explained by closing math (there is no calculation to support the cap decline), but such a big decline in market cap is perfectly understandable, given the importance of the Boeing 737 program to Boeing and the uncertainty regarding the aircraft. I expect that the Boeing 737 MAX will eventually be approved for flight again, and as investors and stakeholders around the world regain confidence, Boeing should see recovery in its market cap. In fact, in the first days of March, nearly $9B in market cap was recovered. At the end of the day, Boeing should be learning lessons from this.

If you enjoyed reading this article, don’t forget to hit the “Follow” button at the top of this page (below the article title) to receive updates for my upcoming articles.

If you like our regular coverage, please consider joining The Aerospace Forum which gives you more indepth tools to understand the industry, access to over 750+ previously published reports and ways (Live chat with the group and one-on-one conversations) to discuss the aerospace industry. *Start your free trial today*

Disclosure: I am/we are long BA, EADSF. I wrote this article myself, and it expresses my own opinions. I am not receiving compensation for it (other than from Seeking Alpha). I have no business relationship with any company whose stock is mentioned in this article.

[smartwebhostingblog]

Boeing 737 MAX Crash Sends Market Cap Lower

New Post has been published on http://croopdiseno.com/boeing-737-max-crash-sends-market-cap-lower/

Boeing 737 MAX Crash Sends Market Cap Lower

Every month, AeroAnalysis International covers the orders and deliveries for Boeing (BA) and Airbus (OTCPK:EADSY, OTCPK:EADSF). Now, there’s a lot more than just orders and deliveries. Some subjects are worthy of more detailed analysis, and some are not. The subjects that are not are not necessarily unimportant. Therefore, AeroAnalysis has been running a monthly series that bundles some of the most interesting news items that do not justify a separate article or deserve to be mentioned again. You can read the February report here. In this report, some news items from March will be highlighted.

Source: Axios

Share Price Development in March

In March 2019, Boeing’s shares lost 13.4% compared to a 13.6% gain a month earlier. Boeing’s shares significantly underperformed the Dow Jones, which was flat for the month.

The reach for the downward pressure on Boeing shares during the month is clear: The crash with the Boeing 737 MAX 8 from Ethiopian Airlines marking the second fatal crash.

A look at some price target announcements in March:

Argus initially gave Boeing shares a $460 with a buy rating but reverted to a Hold rating after the Ethiopian Airlines crash with a $371.30 price target.

Edward Jones downgraded Boeing shares from a Buy to Hold with a $300 price target.

DZ Bank downgraded Boeing shares from a Buy to Hold with a $300 price target.

Norddeutsche Landesbank set a $300 on Boeing shares with a Sell rating.

Tigres Financial reiterated its Buy rating.

Citi Group resumed with a Buy rating.

What we did see in the aftermath of the second fatal crash with the Boeing 737 MAX is that analyst sentiment deteriorated, which shouldn’t come as a surprise. This stepdown in sentiment was expected, but it remains to be seen whether going forward, with fixes implemented and a return to service for the MAX, this negative sentiment will endure.

Commercial Airplanes News

Source: Boeing

During the month of March, the crash with the Boeing 737 MAX captured most attention. Boeing shares declined in value after the crash on fears that there is a design flaw on the Boeing 737 MAX. In the aftermath of the first crash, I already pointed out that the MCAS design might not have been robust and that it was unclear as to how this part of the speed trim system was certified by the FAA and aviation administrations around the globe. While I consider this a shortcoming on Boeing’s side, even with a preliminary report out, it is not clear why the pilots flew the aircraft at a very high speed which might have made regaining control over the aircraft nearly impossible. Currently, Boeing is working on a fix, which will likely be closely eyeballed by administrations around the globe because confidence in Boeing as well as the FAA has been severely dented. Until the fix is approved, the fleet of Boeing 737 MAX aircraft will remain on the ground and no deliveries will occur. The crash is likely going to impact Boeing’s earnings for the simple reason that the grounding is costing money, possibly beyond the amount Boeing is covered for by insurers, and revenue is being delayed due to the production stop resulting in working capital increases.

I’ve written a few reports on the subject, which you can read here:

In the aftermath of the two crashes, Indonesian carriers are looking for cancellations of their direct orders for the MAX with Boeing and agreements with lessors while Boeing is being probed.

The only other noteworthy news item regarding commercial aircraft was the order for 20 Boeing 787-9s from Lufthansa (OTCQX:DLAKF). Boeing had been battling Airbus for an order for months, and Lufthansa eventually ended up splitting the order between both jet makers.

Investment News

Source: The Boeing Company

Fitting its after-sales and digital solutions strategy, Boeing acquired ForeFlight, a leading provider of innovative mobile and web-based aviation applications.

ForeFlight has partnered with Boeing for the past two years to bring aviators Jeppesen’s aeronautical data and charts through ForeFlight’s popular mobile platforms. Now, the teams will integrate talent and offerings to bring innovative, expanded digital solutions to all segments of the aviation industry.

As part of the joint venture between Boeing and Embraer (ERJ), Boeing announced three leadership moves aimed at further strengthening the company’s global presence and partnerships:

Marc Allen has been named senior vice president of Boeing and president of Embraer Partnership and Group Operations;

Sir Michael Arthur has been named president of Boeing International;

John Slattery announced as president and chief executive officer of the commercial aviation and services joint venture between Boeing and Embraer.

Global Services

Source: Aviation Jobs and Aviation Employment – AviationCV.com

In March, there was no notable news for Boeing’s Global Services division.

Defense News

Source: The Boeing Company

For Boeing Defense, there were a couple of news events. A program capturing some negative attention was the KC-46A. In February, the USAF stopped accepting tankers from Boeing as foreign object debris was found inside the tankers. Deliveries resumed in March, which should have been a good thing were it not that the USAF halted deliveries again in early April. While the second delivery stop is an April news event, I think it is important to highlight it in this report, which covers the March news events as well.

More positive news came from Boeing’s F-18 fighter jet program. Boeing was awarded a three-year contract award for 78 F/A-18 Block III Super Hornets. The contract is valued $4B and is expected to save US taxpayer $395 million.

A major milestone was also achieved by the Sikorsky-Boeing SB>1 DEFIANT; The Sikorsky-Boeing SB>1 DEFIANT™ helicopter achieved first flight. The helicopter is participating in the Army’s Joint Multi-Role-Medium Technology Demonstrator program. Data from DEFIANT will help the Army develop requirements for new utility helicopters expected to enter service in the early 2030s. This flight marks a key milestone for the Sikorsky-Boeing team and is the culmination of significant design, simulation, and test activity to further demonstrate the capability of the X2 Technology.

X2 Technology is scalable to a variety of military missions such as attack and assault, long-range transportation, infiltration and resupply. DEFIANT is the third X2®aircraft in less than 10 years.

During the month, there also was a milestone for the Ground-based Midcourse Defense [GMD] system as the US Missile Defense Agency and Boeing for the first time launched two GMD system interceptors to destroy a threat-representative target, validating the fielded system protects the United States from intercontinental ballistic missiles.

In the test, one interceptor struck the target in space. The second interceptor observed that intercept before destroying additional debris to ensure missile destruction. The test is known as a “two-shot salvo” engagement. The target launched from Kwajalein Atoll in the Pacific Ocean while the interceptors launched from Vandenberg Air Force Base, California.

Conclusion

Without doubt, March was a bad month for Boeing. For a company’s share to perform well, you ultimately need a good product, coupled with good execution or you need good execution to make a good product. With the second crash of a Boeing 737 MAX, it does seem like Boeing has failed miserably on the execution part, which I expect will affect their current year performance.

Boeing had some highlights as well with a milestone order from Lufthansa and a production contract for its Super Hornet fighter, but not nearly enough to mitigate the pressure the Boeing 737 MAX cash cow is currently putting on Boeing. During the month of March, Boeing’s market cap declined by $33.4B. This decline cannot be fully explained by closing math (there is no calculation to support the cap decline), but such a big decline in market cap is perfectly understandable, given the importance of the Boeing 737 program to Boeing and the uncertainty regarding the aircraft. I expect that the Boeing 737 MAX will eventually be approved for flight again, and as investors and stakeholders around the world regain confidence, Boeing should see recovery in its market cap. In fact, in the first days of March, nearly $9B in market cap was recovered. At the end of the day, Boeing should be learning lessons from this.

If you enjoyed reading this article, don’t forget to hit the “Follow” button at the top of this page (below the article title) to receive updates for my upcoming articles.

If you like our regular coverage, please consider joining The Aerospace Forum which gives you more indepth tools to understand the industry, access to over 750+ previously published reports and ways (Live chat with the group and one-on-one conversations) to discuss the aerospace industry. *Start your free trial today*

Disclosure: I am/we are long BA, EADSF. I wrote this article myself, and it expresses my own opinions. I am not receiving compensation for it (other than from Seeking Alpha). I have no business relationship with any company whose stock is mentioned in this article.

[awesomecolorfulcollectorwombat]

Boeing 737 MAX Crash Sends Market Cap Lower

New Post has been published on http://croopdiseno.com/boeing-737-max-crash-sends-market-cap-lower/

Boeing 737 MAX Crash Sends Market Cap Lower

Every month, AeroAnalysis International covers the orders and deliveries for Boeing (BA) and Airbus (OTCPK:EADSY, OTCPK:EADSF). Now, there’s a lot more than just orders and deliveries. Some subjects are worthy of more detailed analysis, and some are not. The subjects that are not are not necessarily unimportant. Therefore, AeroAnalysis has been running a monthly series that bundles some of the most interesting news items that do not justify a separate article or deserve to be mentioned again. You can read the February report here. In this report, some news items from March will be highlighted.

Source: Axios

Share Price Development in March

In March 2019, Boeing’s shares lost 13.4% compared to a 13.6% gain a month earlier. Boeing’s shares significantly underperformed the Dow Jones, which was flat for the month.

The reach for the downward pressure on Boeing shares during the month is clear: The crash with the Boeing 737 MAX 8 from Ethiopian Airlines marking the second fatal crash.

A look at some price target announcements in March:

Argus initially gave Boeing shares a $460 with a buy rating but reverted to a Hold rating after the Ethiopian Airlines crash with a $371.30 price target.

Edward Jones downgraded Boeing shares from a Buy to Hold with a $300 price target.

DZ Bank downgraded Boeing shares from a Buy to Hold with a $300 price target.

Norddeutsche Landesbank set a $300 on Boeing shares with a Sell rating.

Tigres Financial reiterated its Buy rating.

Citi Group resumed with a Buy rating.

What we did see in the aftermath of the second fatal crash with the Boeing 737 MAX is that analyst sentiment deteriorated, which shouldn’t come as a surprise. This stepdown in sentiment was expected, but it remains to be seen whether going forward, with fixes implemented and a return to service for the MAX, this negative sentiment will endure.

Commercial Airplanes News

Source: Boeing

During the month of March, the crash with the Boeing 737 MAX captured most attention. Boeing shares declined in value after the crash on fears that there is a design flaw on the Boeing 737 MAX. In the aftermath of the first crash, I already pointed out that the MCAS design might not have been robust and that it was unclear as to how this part of the speed trim system was certified by the FAA and aviation administrations around the globe. While I consider this a shortcoming on Boeing’s side, even with a preliminary report out, it is not clear why the pilots flew the aircraft at a very high speed which might have made regaining control over the aircraft nearly impossible. Currently, Boeing is working on a fix, which will likely be closely eyeballed by administrations around the globe because confidence in Boeing as well as the FAA has been severely dented. Until the fix is approved, the fleet of Boeing 737 MAX aircraft will remain on the ground and no deliveries will occur. The crash is likely going to impact Boeing’s earnings for the simple reason that the grounding is costing money, possibly beyond the amount Boeing is covered for by insurers, and revenue is being delayed due to the production stop resulting in working capital increases.

I’ve written a few reports on the subject, which you can read here:

In the aftermath of the two crashes, Indonesian carriers are looking for cancellations of their direct orders for the MAX with Boeing and agreements with lessors while Boeing is being probed.

The only other noteworthy news item regarding commercial aircraft was the order for 20 Boeing 787-9s from Lufthansa (OTCQX:DLAKF). Boeing had been battling Airbus for an order for months, and Lufthansa eventually ended up splitting the order between both jet makers.

Investment News

Source: The Boeing Company

Fitting its after-sales and digital solutions strategy, Boeing acquired ForeFlight, a leading provider of innovative mobile and web-based aviation applications.

ForeFlight has partnered with Boeing for the past two years to bring aviators Jeppesen’s aeronautical data and charts through ForeFlight’s popular mobile platforms. Now, the teams will integrate talent and offerings to bring innovative, expanded digital solutions to all segments of the aviation industry.

As part of the joint venture between Boeing and Embraer (ERJ), Boeing announced three leadership moves aimed at further strengthening the company’s global presence and partnerships:

Marc Allen has been named senior vice president of Boeing and president of Embraer Partnership and Group Operations;

Sir Michael Arthur has been named president of Boeing International;

John Slattery announced as president and chief executive officer of the commercial aviation and services joint venture between Boeing and Embraer.

Global Services

Source: Aviation Jobs and Aviation Employment – AviationCV.com

In March, there was no notable news for Boeing’s Global Services division.

Defense News

Source: The Boeing Company

For Boeing Defense, there were a couple of news events. A program capturing some negative attention was the KC-46A. In February, the USAF stopped accepting tankers from Boeing as foreign object debris was found inside the tankers. Deliveries resumed in March, which should have been a good thing were it not that the USAF halted deliveries again in early April. While the second delivery stop is an April news event, I think it is important to highlight it in this report, which covers the March news events as well.

More positive news came from Boeing’s F-18 fighter jet program. Boeing was awarded a three-year contract award for 78 F/A-18 Block III Super Hornets. The contract is valued $4B and is expected to save US taxpayer $395 million.

A major milestone was also achieved by the Sikorsky-Boeing SB>1 DEFIANT; The Sikorsky-Boeing SB>1 DEFIANT™ helicopter achieved first flight. The helicopter is participating in the Army’s Joint Multi-Role-Medium Technology Demonstrator program. Data from DEFIANT will help the Army develop requirements for new utility helicopters expected to enter service in the early 2030s. This flight marks a key milestone for the Sikorsky-Boeing team and is the culmination of significant design, simulation, and test activity to further demonstrate the capability of the X2 Technology.

X2 Technology is scalable to a variety of military missions such as attack and assault, long-range transportation, infiltration and resupply. DEFIANT is the third X2®aircraft in less than 10 years.

During the month, there also was a milestone for the Ground-based Midcourse Defense [GMD] system as the US Missile Defense Agency and Boeing for the first time launched two GMD system interceptors to destroy a threat-representative target, validating the fielded system protects the United States from intercontinental ballistic missiles.

In the test, one interceptor struck the target in space. The second interceptor observed that intercept before destroying additional debris to ensure missile destruction. The test is known as a “two-shot salvo” engagement. The target launched from Kwajalein Atoll in the Pacific Ocean while the interceptors launched from Vandenberg Air Force Base, California.

Conclusion

Without doubt, March was a bad month for Boeing. For a company’s share to perform well, you ultimately need a good product, coupled with good execution or you need good execution to make a good product. With the second crash of a Boeing 737 MAX, it does seem like Boeing has failed miserably on the execution part, which I expect will affect their current year performance.

Boeing had some highlights as well with a milestone order from Lufthansa and a production contract for its Super Hornet fighter, but not nearly enough to mitigate the pressure the Boeing 737 MAX cash cow is currently putting on Boeing. During the month of March, Boeing’s market cap declined by $33.4B. This decline cannot be fully explained by closing math (there is no calculation to support the cap decline), but such a big decline in market cap is perfectly understandable, given the importance of the Boeing 737 program to Boeing and the uncertainty regarding the aircraft. I expect that the Boeing 737 MAX will eventually be approved for flight again, and as investors and stakeholders around the world regain confidence, Boeing should see recovery in its market cap. In fact, in the first days of March, nearly $9B in market cap was recovered. At the end of the day, Boeing should be learning lessons from this.

If you enjoyed reading this article, don’t forget to hit the “Follow” button at the top of this page (below the article title) to receive updates for my upcoming articles.

If you like our regular coverage, please consider joining The Aerospace Forum which gives you more indepth tools to understand the industry, access to over 750+ previously published reports and ways (Live chat with the group and one-on-one conversations) to discuss the aerospace industry. *Start your free trial today*

Disclosure: I am/we are long BA, EADSF. I wrote this article myself, and it expresses my own opinions. I am not receiving compensation for it (other than from Seeking Alpha). I have no business relationship with any company whose stock is mentioned in this article.

[lazilysillyprince]

Boeing 737 MAX Crash Sends Market Cap Lower

New Post has been published on http://croopdiseno.com/boeing-737-max-crash-sends-market-cap-lower/

Boeing 737 MAX Crash Sends Market Cap Lower

Every month, AeroAnalysis International covers the orders and deliveries for Boeing (BA) and Airbus (OTCPK:EADSY, OTCPK:EADSF). Now, there’s a lot more than just orders and deliveries. Some subjects are worthy of more detailed analysis, and some are not. The subjects that are not are not necessarily unimportant. Therefore, AeroAnalysis has been running a monthly series that bundles some of the most interesting news items that do not justify a separate article or deserve to be mentioned again. You can read the February report here. In this report, some news items from March will be highlighted.

Source: Axios

Share Price Development in March

In March 2019, Boeing’s shares lost 13.4% compared to a 13.6% gain a month earlier. Boeing’s shares significantly underperformed the Dow Jones, which was flat for the month.

The reach for the downward pressure on Boeing shares during the month is clear: The crash with the Boeing 737 MAX 8 from Ethiopian Airlines marking the second fatal crash.

A look at some price target announcements in March:

Argus initially gave Boeing shares a $460 with a buy rating but reverted to a Hold rating after the Ethiopian Airlines crash with a $371.30 price target.

Edward Jones downgraded Boeing shares from a Buy to Hold with a $300 price target.

DZ Bank downgraded Boeing shares from a Buy to Hold with a $300 price target.

Norddeutsche Landesbank set a $300 on Boeing shares with a Sell rating.

Tigres Financial reiterated its Buy rating.

Citi Group resumed with a Buy rating.

What we did see in the aftermath of the second fatal crash with the Boeing 737 MAX is that analyst sentiment deteriorated, which shouldn’t come as a surprise. This stepdown in sentiment was expected, but it remains to be seen whether going forward, with fixes implemented and a return to service for the MAX, this negative sentiment will endure.

Commercial Airplanes News

Source: Boeing

During the month of March, the crash with the Boeing 737 MAX captured most attention. Boeing shares declined in value after the crash on fears that there is a design flaw on the Boeing 737 MAX. In the aftermath of the first crash, I already pointed out that the MCAS design might not have been robust and that it was unclear as to how this part of the speed trim system was certified by the FAA and aviation administrations around the globe. While I consider this a shortcoming on Boeing’s side, even with a preliminary report out, it is not clear why the pilots flew the aircraft at a very high speed which might have made regaining control over the aircraft nearly impossible. Currently, Boeing is working on a fix, which will likely be closely eyeballed by administrations around the globe because confidence in Boeing as well as the FAA has been severely dented. Until the fix is approved, the fleet of Boeing 737 MAX aircraft will remain on the ground and no deliveries will occur. The crash is likely going to impact Boeing’s earnings for the simple reason that the grounding is costing money, possibly beyond the amount Boeing is covered for by insurers, and revenue is being delayed due to the production stop resulting in working capital increases.

I’ve written a few reports on the subject, which you can read here:

In the aftermath of the two crashes, Indonesian carriers are looking for cancellations of their direct orders for the MAX with Boeing and agreements with lessors while Boeing is being probed.

The only other noteworthy news item regarding commercial aircraft was the order for 20 Boeing 787-9s from Lufthansa (OTCQX:DLAKF). Boeing had been battling Airbus for an order for months, and Lufthansa eventually ended up splitting the order between both jet makers.

Investment News

Source: The Boeing Company

Fitting its after-sales and digital solutions strategy, Boeing acquired ForeFlight, a leading provider of innovative mobile and web-based aviation applications.

ForeFlight has partnered with Boeing for the past two years to bring aviators Jeppesen’s aeronautical data and charts through ForeFlight’s popular mobile platforms. Now, the teams will integrate talent and offerings to bring innovative, expanded digital solutions to all segments of the aviation industry.

As part of the joint venture between Boeing and Embraer (ERJ), Boeing announced three leadership moves aimed at further strengthening the company’s global presence and partnerships:

Marc Allen has been named senior vice president of Boeing and president of Embraer Partnership and Group Operations;

Sir Michael Arthur has been named president of Boeing International;

John Slattery announced as president and chief executive officer of the commercial aviation and services joint venture between Boeing and Embraer.

Global Services

Source: Aviation Jobs and Aviation Employment – AviationCV.com

In March, there was no notable news for Boeing’s Global Services division.

Defense News

Source: The Boeing Company

For Boeing Defense, there were a couple of news events. A program capturing some negative attention was the KC-46A. In February, the USAF stopped accepting tankers from Boeing as foreign object debris was found inside the tankers. Deliveries resumed in March, which should have been a good thing were it not that the USAF halted deliveries again in early April. While the second delivery stop is an April news event, I think it is important to highlight it in this report, which covers the March news events as well.

More positive news came from Boeing’s F-18 fighter jet program. Boeing was awarded a three-year contract award for 78 F/A-18 Block III Super Hornets. The contract is valued $4B and is expected to save US taxpayer $395 million.

A major milestone was also achieved by the Sikorsky-Boeing SB>1 DEFIANT; The Sikorsky-Boeing SB>1 DEFIANT™ helicopter achieved first flight. The helicopter is participating in the Army’s Joint Multi-Role-Medium Technology Demonstrator program. Data from DEFIANT will help the Army develop requirements for new utility helicopters expected to enter service in the early 2030s. This flight marks a key milestone for the Sikorsky-Boeing team and is the culmination of significant design, simulation, and test activity to further demonstrate the capability of the X2 Technology.

X2 Technology is scalable to a variety of military missions such as attack and assault, long-range transportation, infiltration and resupply. DEFIANT is the third X2®aircraft in less than 10 years.

During the month, there also was a milestone for the Ground-based Midcourse Defense [GMD] system as the US Missile Defense Agency and Boeing for the first time launched two GMD system interceptors to destroy a threat-representative target, validating the fielded system protects the United States from intercontinental ballistic missiles.

In the test, one interceptor struck the target in space. The second interceptor observed that intercept before destroying additional debris to ensure missile destruction. The test is known as a “two-shot salvo” engagement. The target launched from Kwajalein Atoll in the Pacific Ocean while the interceptors launched from Vandenberg Air Force Base, California.

Conclusion

Without doubt, March was a bad month for Boeing. For a company’s share to perform well, you ultimately need a good product, coupled with good execution or you need good execution to make a good product. With the second crash of a Boeing 737 MAX, it does seem like Boeing has failed miserably on the execution part, which I expect will affect their current year performance.

Boeing had some highlights as well with a milestone order from Lufthansa and a production contract for its Super Hornet fighter, but not nearly enough to mitigate the pressure the Boeing 737 MAX cash cow is currently putting on Boeing. During the month of March, Boeing’s market cap declined by $33.4B. This decline cannot be fully explained by closing math (there is no calculation to support the cap decline), but such a big decline in market cap is perfectly understandable, given the importance of the Boeing 737 program to Boeing and the uncertainty regarding the aircraft. I expect that the Boeing 737 MAX will eventually be approved for flight again, and as investors and stakeholders around the world regain confidence, Boeing should see recovery in its market cap. In fact, in the first days of March, nearly $9B in market cap was recovered. At the end of the day, Boeing should be learning lessons from this.

If you enjoyed reading this article, don’t forget to hit the “Follow” button at the top of this page (below the article title) to receive updates for my upcoming articles.

If you like our regular coverage, please consider joining The Aerospace Forum which gives you more indepth tools to understand the industry, access to over 750+ previously published reports and ways (Live chat with the group and one-on-one conversations) to discuss the aerospace industry. *Start your free trial today*

Disclosure: I am/we are long BA, EADSF. I wrote this article myself, and it expresses my own opinions. I am not receiving compensation for it (other than from Seeking Alpha). I have no business relationship with any company whose stock is mentioned in this article.

[hostingnewsfeed]

Boeing 737 MAX Crash Sends Market Cap Lower

New Post has been published on http://croopdiseno.com/boeing-737-max-crash-sends-market-cap-lower/

Boeing 737 MAX Crash Sends Market Cap Lower

Every month, AeroAnalysis International covers the orders and deliveries for Boeing (BA) and Airbus (OTCPK:EADSY, OTCPK:EADSF). Now, there’s a lot more than just orders and deliveries. Some subjects are worthy of more detailed analysis, and some are not. The subjects that are not are not necessarily unimportant. Therefore, AeroAnalysis has been running a monthly series that bundles some of the most interesting news items that do not justify a separate article or deserve to be mentioned again. You can read the February report here. In this report, some news items from March will be highlighted.

Source: Axios

Share Price Development in March

In March 2019, Boeing’s shares lost 13.4% compared to a 13.6% gain a month earlier. Boeing’s shares significantly underperformed the Dow Jones, which was flat for the month.

The reach for the downward pressure on Boeing shares during the month is clear: The crash with the Boeing 737 MAX 8 from Ethiopian Airlines marking the second fatal crash.

A look at some price target announcements in March:

Argus initially gave Boeing shares a $460 with a buy rating but reverted to a Hold rating after the Ethiopian Airlines crash with a $371.30 price target.

Edward Jones downgraded Boeing shares from a Buy to Hold with a $300 price target.

DZ Bank downgraded Boeing shares from a Buy to Hold with a $300 price target.

Norddeutsche Landesbank set a $300 on Boeing shares with a Sell rating.

Tigres Financial reiterated its Buy rating.

Citi Group resumed with a Buy rating.

What we did see in the aftermath of the second fatal crash with the Boeing 737 MAX is that analyst sentiment deteriorated, which shouldn’t come as a surprise. This stepdown in sentiment was expected, but it remains to be seen whether going forward, with fixes implemented and a return to service for the MAX, this negative sentiment will endure.

Commercial Airplanes News

Source: Boeing

During the month of March, the crash with the Boeing 737 MAX captured most attention. Boeing shares declined in value after the crash on fears that there is a design flaw on the Boeing 737 MAX. In the aftermath of the first crash, I already pointed out that the MCAS design might not have been robust and that it was unclear as to how this part of the speed trim system was certified by the FAA and aviation administrations around the globe. While I consider this a shortcoming on Boeing’s side, even with a preliminary report out, it is not clear why the pilots flew the aircraft at a very high speed which might have made regaining control over the aircraft nearly impossible. Currently, Boeing is working on a fix, which will likely be closely eyeballed by administrations around the globe because confidence in Boeing as well as the FAA has been severely dented. Until the fix is approved, the fleet of Boeing 737 MAX aircraft will remain on the ground and no deliveries will occur. The crash is likely going to impact Boeing’s earnings for the simple reason that the grounding is costing money, possibly beyond the amount Boeing is covered for by insurers, and revenue is being delayed due to the production stop resulting in working capital increases.

I’ve written a few reports on the subject, which you can read here:

In the aftermath of the two crashes, Indonesian carriers are looking for cancellations of their direct orders for the MAX with Boeing and agreements with lessors while Boeing is being probed.

The only other noteworthy news item regarding commercial aircraft was the order for 20 Boeing 787-9s from Lufthansa (OTCQX:DLAKF). Boeing had been battling Airbus for an order for months, and Lufthansa eventually ended up splitting the order between both jet makers.

Investment News

Source: The Boeing Company

Fitting its after-sales and digital solutions strategy, Boeing acquired ForeFlight, a leading provider of innovative mobile and web-based aviation applications.

ForeFlight has partnered with Boeing for the past two years to bring aviators Jeppesen’s aeronautical data and charts through ForeFlight’s popular mobile platforms. Now, the teams will integrate talent and offerings to bring innovative, expanded digital solutions to all segments of the aviation industry.

As part of the joint venture between Boeing and Embraer (ERJ), Boeing announced three leadership moves aimed at further strengthening the company’s global presence and partnerships:

Marc Allen has been named senior vice president of Boeing and president of Embraer Partnership and Group Operations;

Sir Michael Arthur has been named president of Boeing International;

John Slattery announced as president and chief executive officer of the commercial aviation and services joint venture between Boeing and Embraer.

Global Services

Source: Aviation Jobs and Aviation Employment – AviationCV.com

In March, there was no notable news for Boeing’s Global Services division.

Defense News

Source: The Boeing Company

For Boeing Defense, there were a couple of news events. A program capturing some negative attention was the KC-46A. In February, the USAF stopped accepting tankers from Boeing as foreign object debris was found inside the tankers. Deliveries resumed in March, which should have been a good thing were it not that the USAF halted deliveries again in early April. While the second delivery stop is an April news event, I think it is important to highlight it in this report, which covers the March news events as well.

More positive news came from Boeing’s F-18 fighter jet program. Boeing was awarded a three-year contract award for 78 F/A-18 Block III Super Hornets. The contract is valued $4B and is expected to save US taxpayer $395 million.

A major milestone was also achieved by the Sikorsky-Boeing SB>1 DEFIANT; The Sikorsky-Boeing SB>1 DEFIANT™ helicopter achieved first flight. The helicopter is participating in the Army’s Joint Multi-Role-Medium Technology Demonstrator program. Data from DEFIANT will help the Army develop requirements for new utility helicopters expected to enter service in the early 2030s. This flight marks a key milestone for the Sikorsky-Boeing team and is the culmination of significant design, simulation, and test activity to further demonstrate the capability of the X2 Technology.

X2 Technology is scalable to a variety of military missions such as attack and assault, long-range transportation, infiltration and resupply. DEFIANT is the third X2®aircraft in less than 10 years.

During the month, there also was a milestone for the Ground-based Midcourse Defense [GMD] system as the US Missile Defense Agency and Boeing for the first time launched two GMD system interceptors to destroy a threat-representative target, validating the fielded system protects the United States from intercontinental ballistic missiles.

In the test, one interceptor struck the target in space. The second interceptor observed that intercept before destroying additional debris to ensure missile destruction. The test is known as a “two-shot salvo” engagement. The target launched from Kwajalein Atoll in the Pacific Ocean while the interceptors launched from Vandenberg Air Force Base, California.

Conclusion

Without doubt, March was a bad month for Boeing. For a company’s share to perform well, you ultimately need a good product, coupled with good execution or you need good execution to make a good product. With the second crash of a Boeing 737 MAX, it does seem like Boeing has failed miserably on the execution part, which I expect will affect their current year performance.

Boeing had some highlights as well with a milestone order from Lufthansa and a production contract for its Super Hornet fighter, but not nearly enough to mitigate the pressure the Boeing 737 MAX cash cow is currently putting on Boeing. During the month of March, Boeing’s market cap declined by $33.4B. This decline cannot be fully explained by closing math (there is no calculation to support the cap decline), but such a big decline in market cap is perfectly understandable, given the importance of the Boeing 737 program to Boeing and the uncertainty regarding the aircraft. I expect that the Boeing 737 MAX will eventually be approved for flight again, and as investors and stakeholders around the world regain confidence, Boeing should see recovery in its market cap. In fact, in the first days of March, nearly $9B in market cap was recovered. At the end of the day, Boeing should be learning lessons from this.

If you enjoyed reading this article, don’t forget to hit the “Follow” button at the top of this page (below the article title) to receive updates for my upcoming articles.

If you like our regular coverage, please consider joining The Aerospace Forum which gives you more indepth tools to understand the industry, access to over 750+ previously published reports and ways (Live chat with the group and one-on-one conversations) to discuss the aerospace industry. *Start your free trial today*

Disclosure: I am/we are long BA, EADSF. I wrote this article myself, and it expresses my own opinions. I am not receiving compensation for it (other than from Seeking Alpha). I have no business relationship with any company whose stock is mentioned in this article.