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How Have Boeing’s Key Indicators Performed in 1Q17?

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Deliveries slow down

For the first quarter of 2017, Boeing (BA) has delivered 169 aircraft, ~4% less than the 176 aircraft delivered in 1Q16 and 8.6% less than the 185 aircraft delivered in 4Q16. In 1Q17, it has delivered 113 737s, followed by 32 Dreamliners, 21 777s, two 767s, and one 747.

For the full year 2016, Boeing has delivered 748 aircraft, 1.8% lower than the 762 aircraft it delivered in 2015.

Despite a slowdown, Boeing’s deliveries are higher than rival Airbus, which delivered 688 aircraft in 2016. Boeing has been beating Airbus in deliveries since 2012.

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Boeing takes lead in order race

On the order front, Airbus has been leading Boeing for a long time now, which may be about to change in 2017. As of April 11, 2017, Boeing’s net orders are greater than those of Airbus year-to-date (or YTD). Boeing booked net orders of 198 aircraft, while Airbus booked net orders for only six aircraft.

However, Airbus still leads Boeing on the backlog front. At the end of 1Q17, Airbus’s order backlog stood at 6,744 aircraft versus Boeing’s 5,644 aircraft. This huge order backlog means assured work for smaller vendors including Spirit AeroSystems (SPR), United Technologies (UTX), and Honeywell International (HON).

What to expect

Though Boeing has had a good start to 2017, it’s too early to say that it will stay ahead. Two or three big orders, which is fairly common in the industry, could bring Airbus back into the race.

Investors can gain exposure to Boeing stock by investing in the ProShares Ultra Dow60 (DDM), which holds 4.5% in Boeing.

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