Boeing Cuts 300 Supply-Chain Jobs Amid Workforce Adjustments
Written by Emily J. Thompson, Senior Investment Analyst
Updated: 1h ago
0mins
Should l Buy BA?
Source: seekingalpha
- Layoff Announcement: Boeing is cutting approximately 300 supply-chain positions within its defense sector across multiple U.S. locations, indicating a strategic shift in response to evolving market demands.
- Employee Placement Efforts: Despite the layoffs, Boeing has over 1,300 open roles and is actively seeking to place displaced workers into other positions, demonstrating the company's commitment to its workforce and resource management.
- 787 Project Relocation: The decision to transfer remaining work on the 787 Dreamliner to South Carolina is expected to affect 250 to 300 employees, raising concerns among union leaders ahead of upcoming labor negotiations.
- Ongoing Hiring: In contrast to the layoffs, Boeing is adding engineering positions in the Puget Sound region to support commercial airplane programs, reflecting the company's ongoing efforts to integrate resources and enhance production capabilities.
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Analyst Views on BA
Wall Street analysts forecast BA stock price to rise over the next 12 months. According to Wall Street analysts, the average 1-year price target for BA is 252.43 USD with a low forecast of 150.00 USD and a high forecast of 285.00 USD. However, analyst price targets are subjective and often lag stock prices, so investors should focus on the objective reasons behind analyst rating changes, which better reflect the company's fundamentals.
17 Analyst Rating
14 Buy
2 Hold
1 Sell
Strong Buy
Current: 235.950
Low
150.00
Averages
252.43
High
285.00
Current: 235.950
Low
150.00
Averages
252.43
High
285.00
About BA
The Boeing Company is an aerospace company. Its segments include Commercial Airplanes (BCA), Defense, Space & Security (BDS), and Global Services (BGS). Its BCA segment develops, produces and markets commercial jet aircraft principally for the commercial airline industry worldwide. Its family of commercial jet aircraft in production includes the 737 narrow-body model and the 767, 777 and 787 wide-body models. Its BDS segment is engaged in the research, development, production and modification of manned and unmanned military aircraft and weapons systems for strike, surveillance and mobility. Its BGS segment provides services to its commercial and defense customers worldwide. It sustains aerospace platforms and systems with a range of products and services, including supply chain and logistics management, engineering, maintenance and modifications, upgrades and conversions, spare parts, pilot and maintenance training systems and services, technical and maintenance documents, and others.
About the author

Emily J. Thompson
Emily J. Thompson, a Chartered Financial Analyst (CFA) with 12 years in investment research, graduated with honors from the Wharton School. Specializing in industrial and technology stocks, she provides in-depth analysis for Intellectia’s earnings and market brief reports.
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- Fuel System Checks: The company has initiated fuel system checks on a 777X aircraft built for Lufthansa at its Paine Field facility in Everett, Washington, with engine testing expected to follow, ensuring readiness for customer delivery.
- Intensifying Market Competition: The 777X is designed to succeed both the 747 and earlier 777 models while complementing the smaller 787 Dreamliner; however, Boeing's dominance in the widebody market is increasingly challenged by European rival Airbus.
- Future Delivery Plans: Despite a potential new issue involving engines supplied by GE Aerospace, Boeing's CEO stated that the current plan to begin delivering the 777X in 2027 remains unaffected.
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- Layoff Announcement: Boeing is cutting approximately 300 supply-chain positions within its defense sector across multiple U.S. locations, indicating a strategic shift in response to evolving market demands.
- Employee Placement Efforts: Despite the layoffs, Boeing has over 1,300 open roles and is actively seeking to place displaced workers into other positions, demonstrating the company's commitment to its workforce and resource management.
- 787 Project Relocation: The decision to transfer remaining work on the 787 Dreamliner to South Carolina is expected to affect 250 to 300 employees, raising concerns among union leaders ahead of upcoming labor negotiations.
- Ongoing Hiring: In contrast to the layoffs, Boeing is adding engineering positions in the Puget Sound region to support commercial airplane programs, reflecting the company's ongoing efforts to integrate resources and enhance production capabilities.
See More
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- Service Innovation: The Landing Gear Exchange program offers customized, on-demand access to serviceable landing gear through a managed inventory and partner ecosystem, helping airlines cut spare inventory needs and shorten maintenance-driven ground time, thereby enhancing dispatch reliability.
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- Incident Background: On Air India Flight AI-132 from London to Bengaluru, the crew reported that the fuel control switch would not stay locked in the 'run' position, requiring three attempts to secure it, prompting the CAA to demand a detailed account of all maintenance actions performed on the aircraft.
- Fleet Grounding Measures: Following the incident, Air India grounded its entire 787 Dreamliner fleet, although it reported no issues after investigation; this decision may affect flight schedules and customer trust, potentially impacting the airline's financial performance.
- Boeing 787 Delivery Update: Concurrently, Boeing expects to deliver its upgraded 787 Dreamliner fleet, promising up to 400 miles of additional range or an improved hauling capacity of 5-6 tons, and reported 160 aircraft deliveries with revenues of $23.948 billion, exceeding analysts' expectations of $22.470 billion, indicating strong market demand.
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- Record Contract Size: Boeing's agreement with Singapore Airlines Group covers over 75 aircraft, marking the largest landing gear exchange contract in the company's history, showcasing Boeing's strong competitive position in the aviation services market.
- Increased Flexibility: The program is designed to provide greater overhaul scheduling flexibility for the SIA Group's 737 Max and 787 fleets, thereby extending the useful life of landing gear components and reducing aircraft downtime, enhancing operational efficiency.
- Supply Chain Optimization: By combining Boeing's global inventory and distribution capabilities with the airline's maintenance planning, the agreement accelerates parts delivery and ensures reliable operations, further solidifying the partnership with Singapore Airlines Group.
- Maintenance Efficiency Improvement: The landing gear exchange program allows airlines to access serviceable landing gear assemblies through a managed inventory and partner network, limiting the need for large on-site spare gear stocks, shortening maintenance-related ground time, and improving dispatch reliability.
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