When you see the President coming from a walkway of a plane, it is a Boeing aircraft. Over the past weeks, we have all learned it is not your typical Boeing aircraft because it needs to have multiple systems designed to protect the President when he is flying.
In an article from Reuters, Boeing announced it will be delivering 2 new Air Force Ones in 2028. The existing planes entered service in 1990, however the planes were supposed to been delivered. The cost of the planes has gone up from $3.9 billion in 2018 to over $5 billion in 2026.
In addition, at the Farnborough Airshow in the UK, Boeing announced multiple contracts for planes to China, Uganda Airlines, Philippine Airlines, Riyadh Air and others. Over the years, the Farnborough Airshow is where a number of contracts are signed and released to the public. (every industry has their version of the most important trade event, for your investments, it is important to know what the event is and when it happens).
Being believes global commercial fleet will top 50,000 airplanes in 20 years which is a doubling of passenger traffic. In dollar terms this is $4.9 trillion commercail aviation support.
Linking to dividend paying stocks, for manufacturers the order book is important and for Boeing which along with Airbus has a duopoly in the world of air passenger manufacturing, the future looks good. As long as they are able to execute and fly safely, profits should flow into the company.
There are more questions than answers, till the next time – to raising questions.