Boeing stock price target lowered to $240 from $251 at JPMorgan

Investing.com - JPMorgan has lowered its price target on Boeing (NYSE:BA) to $240.00 from $251.00 while maintaining an Overweight rating on the stock. Boeing currently trades at $213.58, with analyst targets ranging from $170 to $287. According to InvestingPro data, the stock appears overvalued compared to its Fair Value assessment.

The price target reduction follows Boeing’s 777X charge, which JPMorgan noted was "at the very high end of expectations." The firm identified this charge, along with pressure on 2026 cash flow expectations, as key factors behind Boeing’s recent stock underperformance. InvestingPro data shows Boeing is not profitable over the last twelve months, with a negative EBITDA of $7.01 billion and basic EPS of -$15.22.

JPMorgan reduced its 2026 free cash flow estimate for Boeing by more than $1 billion to $2.4 billion, citing delayed 777X deliveries and higher capital expenditures that the firm had not previously anticipated. The firm’s 2027 estimates were also lowered due to the reduced starting point next year. This aligns with InvestingPro data showing Boeing’s levered free cash flow at -$8.54 billion, with 9 analysts having revised their earnings downward for the upcoming period.

Despite these near-term adjustments, JPMorgan still projects a "meaningful multi-year ramp to solidly > $10b before the end of the decade" in Boeing’s free cash flow. The firm noted that Boeing is making "good progress" on the underlying drivers of that growth, particularly with 737 execution.

The revised $240 price target represents a 4% yield on JPMorgan’s fiscal year 2028 free cash flow per share estimate of approximately $10.40, discounted back one year.

In other recent news, Boeing has reported a significant financial update for Q3 2025, with earnings per share at a negative $7.47, which was far below the forecasted negative $0.46. Despite this earnings miss, Boeing’s revenue surpassed expectations, reaching $23.3 billion compared to the anticipated $21.93 billion. In a strategic move, Boeing plans to double the production of its 787 Dreamliner at its South Carolina facility, aiming to increase output to 14 aircraft per month over the coming years. The company is investing $1 billion to expand this facility, which currently employs about 7,800 people. Additionally, BofA Securities has raised its price target for Boeing’s stock to $270, maintaining a Buy rating. This adjustment comes after BofA revised Boeing’s free cash flow estimates, now projecting $3,663 million for 2026, down from a previous estimate of $4,672 million. These developments highlight Boeing’s ongoing efforts to enhance production capabilities and address financial challenges.

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