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Boeing Stock up 32%
If it up 32%, then they sure as heck dont need any bailout whatsoever.....They need to go to the banks and borrow like everyone else... (www.cnn.com) More...
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I’m not commenting on the bailout one way or another. But the article writer has a severely misplaced concept regarding what stock value means.
If you think they don't need a bailout, don't gripe when they do a stock buyback. They don't see the change in stock value unless they buy it back.
That's not true. If they announced that they sold 100 planes to 'x' airline, their stock would bump up.
Actually Bob that would be "news" and shareholders (most of which are institutions) use news to take a profit. When more shares hit the market than buyers, the price will bump down.
Rumors like "there is bailout grant coming" will tilt the other way, and this week we see Boeing about doubling its low of 89. last Friday.
Let's look at current inventory. Boeing says 400 new units parked. Some buyers have cold feet and changed to other models. Like changing an order of 15 73MAX for 5 787's. AS of last November airlines had 650 units parked, and cancelled 200 orders. So slow your roll and stop fingering your beads because the 73MAX has orders for 5,000 units. The factories will be busy.
Rumors like "there is bailout grant coming" will tilt the other way, and this week we see Boeing about doubling its low of 89. last Friday.
Let's look at current inventory. Boeing says 400 new units parked. Some buyers have cold feet and changed to other models. Like changing an order of 15 73MAX for 5 787's. AS of last November airlines had 650 units parked, and cancelled 200 orders. So slow your roll and stop fingering your beads because the 73MAX has orders for 5,000 units. The factories will be busy.
Folks, please - political feelings aside, between MAX and COVID-19 there's a very real chance of Boeing, and hundreds of smaller aerospace suppliers, going away. Think long term about the damage to our national security that would cause. A bailout with solid conditions curbin "get rich quick" schemes from their leadership is a no-brainer.
I don't know what will be in the final bailout for Boeing, but the President was pretty clear that buybacks are not acceptable
Ahh, but watch for a 'signing statement'. Under George W. Bush, Congress passed a law, and his signing statement gutted the main part of the law, making it useless. Yes, a president can still get almost exactly what he wants by using a signing statement. It's going to be interesting to see if, and what, will be attached to this.
